IRA withdrawal timing

Hyper

Recycles dryer sheets
Joined
Nov 4, 2014
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371
Both 57yo. Both have IRA CD maturing soon. No need for IRA funds at this time.
Best scenario for taxes, please?
1)Lock in 5-7 yr cd?
2)Lock in 2 yr cd and start conversions @ 59.5, trying to have all converted by ss withdrawal @ 67? Eliminating taxing of both IRA and SS at the same time.
3) don't touch the IRA until 70, mandatory withdrawal with the assumption the IRA will be inherited funds to our beneficiaries at our passing?
 
ROTH conversion is a personal decision and much of it depends on your current and future tax brackets. Also, based on your ages, your RMD age is 75 yo and not 70.
 
Both 57yo. Both have IRA CD maturing soon. No need for IRA funds at this time.
Best scenario for taxes, please?
1)Lock in 5-7 yr cd?
2)Lock in 2 yr cd and start conversions @ 59.5, trying to have all converted by ss withdrawal @ 67? Eliminating taxing of both IRA and SS at the same time.
3) don't touch the IRA until 70, mandatory withdrawal with the assumption the IRA will be inherited funds to our beneficiaries at our passing?
Are you planning on ACA for health insurance?
 
I mistyped 62. So because we will definitely be using ACA until 65, it'd be best to not touch the IRAs until 65?
Just remember that the Roth conversions will add to your income for ACA purposes. You may have to moderate the conversions to optimize things.
 
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