Roth IRA question (Conversion from Traditional IRA)

I contributed a small amount of money to a Traditional IRA when I first started investing for retirement. I decided very quickly afterwards that a Roth IRA was more appropriate for me.

If I convert the balance of the Traditional IRA to a Roth and transfer those assets to the Roth that I've been funding, will that decrease the amount that I can contribute to that Roth this year?

For example....hypothetically speaking....

If I have a Traditional IRA that I funded with $2500 last year and convert it to a Roth by having that $2500 transferred over to another Roth into which I've already invested $2500 this year, have I met my $5000 limit for the year? Do I have to stop my IRA contributions for the year?

Fortunately, it does not count against current year contributions.

You can convert the entire T-IRA and still make your maximum contribution of $5000 for the 2008 tax year.

pricespector--I sure do appreciate your diligence with my questions. Much obliged.

The great part is that the Traditional IRA was liquidated at yesterday's closing prices and was invested into the already-established and funded Roth at TODAY'S closing prices. They got my envelope in the mail just in time with instructions for the transaction. Sold high and bought low just in time --not that it was of any significant difference but it was just interesting how it worked out.