NW-Bound
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Jul 3, 2008
- Messages
- 35,712
In a concurrent thread, a couple of posters said they wished to have more money in taxable accounts. In my case, due to circumstances, I happen to have a bit more than 30% in after-tax money accumulated over the years.
I thought that I could have done better to shelter more money and to pay less taxes. Then, when I started thinking about ER a couple of years ago, and looked into doing 72t distributions, I discovered that I did not have to, as I could live on the money already mostly taxed.
At this point, my taxable accounts are good enough for 8 years of living expenses, ignoring potential gains/losses. That money will tide me over until I can claim SS or withdraw from 401k/IRA at my discretion, which will open up some options. I counted our Roth accounts as taxable, because they are small and I have not had much gain there to make a difference.
I thought that I could have done better to shelter more money and to pay less taxes. Then, when I started thinking about ER a couple of years ago, and looked into doing 72t distributions, I discovered that I did not have to, as I could live on the money already mostly taxed.
At this point, my taxable accounts are good enough for 8 years of living expenses, ignoring potential gains/losses. That money will tide me over until I can claim SS or withdraw from 401k/IRA at my discretion, which will open up some options. I counted our Roth accounts as taxable, because they are small and I have not had much gain there to make a difference.
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