I need to generate about $94,000* for next years spending.
I'm going to the top of the 22% tax bracket with Roth Conversions.
I can generate some income selling taxable long term capital gains, But I want to minimize that because I have a margin loan and with the markets in turmoil, I don't want to get close to the margin call area.
Is it silly to pull Roth money for spending while doing Roth Conversions to reduce IRA money in anticipation of RMDs? I still have 5 years before RMDs.
Why I think it might be wise,
If the market continues at 10% growth, I would still have a substantial IRA balance 5 years from now, even though I maximized Roth Conversions.
So, does, withdrawing and contributing to a Roth make sense with my scenario?Edit: for After thought,
Or do I just spend the IRA money?
* The $94,000 does include $28,000 to pay that taxes on Roth Conversions.
I'm going to the top of the 22% tax bracket with Roth Conversions.
I can generate some income selling taxable long term capital gains, But I want to minimize that because I have a margin loan and with the markets in turmoil, I don't want to get close to the margin call area.
Is it silly to pull Roth money for spending while doing Roth Conversions to reduce IRA money in anticipation of RMDs? I still have 5 years before RMDs.
Why I think it might be wise,
If the market continues at 10% growth, I would still have a substantial IRA balance 5 years from now, even though I maximized Roth Conversions.
So, does, withdrawing and contributing to a Roth make sense with my scenario?Edit: for After thought,
Or do I just spend the IRA money?
* The $94,000 does include $28,000 to pay that taxes on Roth Conversions.
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