taxable vs. tax-deferred accounts - revise my plan?
I think I need to revise my savings plan.
I know the standard advice for retirement savings is to max out all the tax-advantaged plans you have access to, and then put anything else into taxable accounts. Which of course makes sense. But I wasn't completely doing it, because we plan on retiring well before 59 1/2, and I thought I needed some money in the taxable accounts to pay for those years until we can get the IRAs and TSP without penalty. So we've always maxed out the Roth IRAs and the rest has gone into taxable accounts.
Now that I've had the benefit of hanging around here and learning about 72T withdrawals, I see that the traditional advice is still the best. The better way to go would be to max the IRAs, then the TSP, and anything extra goes into the taxable accounts. At ER, we'd roll the TSP into a traditional IRA. If we do need that money between ER and 59 1/2 (we may not, due to pension and rental income), we can withdraw our contributions from the Roths without penalty, and/or do a 72T withdrawal from the new traditional IRAs.