Quote:
Originally Posted by kaneohe
Perhaps you could use Taxcaster (baby sibling of TT) to do your estimates.
It suggests you are just a tad over the 25% boundary for 2016 but maybe ok for 2017. Not sure how being international affects you but have you considered doing a Roth conversion instead of just a withdrawal. In the US tax consequences would be the same but you would have a Roth instead of a taxable account.
https://turbotax.intuit.com/tax-tool...ors/taxcaster/
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Thanks. I've played around with the Taxcaster a little bit (thanks Alan). I figured I had the numbers pretty close but was just wondering if there was something I was missing. If I started the withdrawals in March there shouldn't be a problem for 2017 since I would be missing a couple of months of payments. Once I start them....I can only make an adjustment during the Open Season which begins at the end of November and the changes are made for the beginning of the next year.
I totally changed my retirement plan a couple of months ago. Now that I have been ER'd since June 2011.....the amount that we are spending is less than we thought. If I just pull the money out as fast as I can, several things happen that I like....
-I can get my UK wife off my US taxes earlier before she starts into her UK pension in 10 years.
-my estimate of our money situation 8-10 years from now...at least £450,000 cash in the bank/under the bed....wherever.
-my pension/social security- combined it should be about $2700 a month at todays prices......about £2100 at current exchange rates (which, like the markets will go up or down..who knows). More than we are spending.
-wife's pensions at that time should bring in about £700 a month on top of that.
-wife should get half of my SS......so even taking early adds another £300+ a month.
-on our deaths, much much easier for her kids here in the UK to get what's left.
-we own our house......worth around £270,000.
If we can't live on that......there is something wrong. ROTH conversion just not worth it for us....in fact, in the next week I will probably be selling the only thing I have left at Vanguard, which is my ROTH (I turned 59 1/2 earlier this month). Trying to get as much of our financial "stuff" over here and making it really really simple for my wife in case I get hit in the head by a golf ball....or a heart attack from missing another easy putt
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