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I am 67 and retired and a lot of my nest egg is in traditional IRA's of which I will have to start withdrawing in 2010 about the same date as the new tax laws go into effect.

Are there any suggestions as to what i should do in preparation for this?


First, don't assume that most of the changes since 2001 will die, as currently scheduled. I wouldn't waste any time trying to divine what the tax law will actually look like.

I would look at RMD's from your traditional IRA. If your MAGI is under $100,000 you might look at converting some of your traditional IRA to Roth each year. This will reduce the base amount for RMD's when they begin. You need to be careful in this analysis to make sure you see the total effect of the conversion, including the effect on how much of your SS benefit is taxed.

Phil
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