Hi - I'm retired for three years, single, 62 years old. I have most of my retirement money in two mutual fund accounts: an "individual" non-taxable account (let's call it A1) and a "traditional IRA" account, A2. I have been withdrawing my living expenses from A1.
Since I have so little income (tiny annuity, capital gains), I have been paying zero income tax since retirement.
For a number of reasons, I want to transfer money from my (so-far untouched) A2 to A1. And I'm willing to do this once per year over several years. I realize that when I do this the money withdrawn from A2 is subject to income tax.
My question is, how can I determine (or estimate), for a single year, the maximum amount I can transfer from A2 to A1 and still pay no income tax?
Thanks for any answers and insight.
Since I have so little income (tiny annuity, capital gains), I have been paying zero income tax since retirement.
For a number of reasons, I want to transfer money from my (so-far untouched) A2 to A1. And I'm willing to do this once per year over several years. I realize that when I do this the money withdrawn from A2 is subject to income tax.
My question is, how can I determine (or estimate), for a single year, the maximum amount I can transfer from A2 to A1 and still pay no income tax?
Thanks for any answers and insight.