Saw this new Graco Snugride Rear Facing Carseat on Cool Mom Picks! We had our little one rear-facing until she was just about two years old.
She honestly never complained about having her legs squished - which they weren't really, and all the studies and research around rear-facing accidents with older kids etc shows it is safer, etc.
But for those who were concerned about the leg-room - this might be the way to go!
Finally, a rear-facing car seat that won't squish your toddler's legs - See more at: http://www.coolmompicks.com/2013/02/graco-snugride-rear-facing-car-seat.php#sthash.wkQba3fO.dpuf