RetireAge50
Thinks s/he gets paid by the post
- Joined
- Aug 6, 2013
- Messages
- 1,660
We need funds from our IRA’s to bridge the gap from age 50 to 59 1/2 starting in 2018.
By the end of 2017 my wife and I will have put $156,000 into Roth IRAs. We also have a separate rollover IRA from an old 401k with about the same amount.
Our plan is to withdraw $15,600 per year (for 10 years) from the Roth accounts. This will be tax free since it is a return of our investment.
At the same time we will convert $15,600 per year from the rollover IRA into the Roth. We will pay the taxes on this rollover.
This method allows us to get our money out of the regular IRA without paying a penalty and at the same time have zero net effect on our Roth account.
Anybody see any flaws or have better idea.
By the end of 2017 my wife and I will have put $156,000 into Roth IRAs. We also have a separate rollover IRA from an old 401k with about the same amount.
Our plan is to withdraw $15,600 per year (for 10 years) from the Roth accounts. This will be tax free since it is a return of our investment.
At the same time we will convert $15,600 per year from the rollover IRA into the Roth. We will pay the taxes on this rollover.
This method allows us to get our money out of the regular IRA without paying a penalty and at the same time have zero net effect on our Roth account.
Anybody see any flaws or have better idea.