Originally Posted by mpeirce
Out of curiosity, has anyone run a model showing what amount in an IRA when one is 70 and having to take RMDs would put you into the 28% bracket? (for simplicity, assuming no other income and no change in tax laws)
There are a lot of factors going into the calculation. Every couple is different due to the age/work history/SS amount/401K amount.
In my case, DW is 5 1/2 years younger than I. Though we worked exactly the same number of years in US, her 401k total is 30% higher than mine.
I have an elaborate spreadsheet with all different possible cases: when to begin our SS; how much to convert to Roth, how much is used as ACA MAGI etc.
For now it appears to me that the best case is that we start our SS at 70, and start Roth conversion right after we RE and turn 59 1/2, we can maintain 15% tax bracket into RMD years using today's dollar.
By the time I am 70 1/2, my 401K will have $40,000 remaining, and my DW will have $320K remaining. This is because I have more years to convert, and DW will have fewer years plus she will be the only member purchasing ACA at later years, so we plan to convert hers less in order to receive subsidy if it is still available.
There is just too many variables involved. We will be doing this calculation each year even after we RE next year.