I convert enough each year to use up the 25% bracket. It is going to take me a long time but I figure paying uncle sugar 25% over a longer period is better than giving him 39% all at once.Mike,How did you determine that doing Roth conversions through the 25% tax bracket was worth while? I used this to calculate RMD per 100,000, (http://apps.finra.org/Calcs/1/RMD), but having a tough time with all the factors involved in determining best strategy. Some problem areas involve:- compounding of savings vs paying taxes now- impact of higher income from conversions on things like FAFSA and ACA subsidy, capital gains taxes- benefit of taking SS at 62 and investing, as opposed to FRA or 70. (http://www.sscalc.net/)We still have time. DH will retire at 56 and we have a projected negligible need for income. It's pretty much a no brainer for us to do conversions up to the 15% income cap, and re-evaluate at 61 to see what next, but not so sure about 25% bracket.Very much like having more control over what we pull out of tax deferred accounts, particularly as I will most likely survive DH and be stuck with RMDs as a single filer. Also have a couple of kids who will inherit whatever is left over, and find leaving that to them in Roth form very attractive.IP
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