Independent retirement accounts, or IRA’s, offer several benefits for those that seek to minimize their tax bills. A Roth IRA is built of after-tax dollars and therefore has tax-free earning potential and allow for tax-free distributions. In the past, high earners were ineligible to contribute to a Roth IRA. The Internal Revenue Service recently removed the income cap for the conversion of traditional IRA’s to Roths. Therefore earners of more than $135,000 individually or $199,000 as a couple may reduce their tax liabilities through a “backdoor” Roth IRA. If you have other sources of income, the assets in a Roth IRA are free to grow tax-free.