Trooper
Full time employment: Posting here.
Hi...Just wanted to validate with the experts here that I am thinking about something correctly.
I'm not retired yet, looking at OMY or 2, and I am trying to determine withdrawal needs during retirement. My specific question is around taxes.
If my DW and I have budgeted $60,000 of spending needs, how much will need to be pulled out of our portfolio to attain that? Note: we will not have SS and pension in the earlier years of our retirement.
If I assume a 30% tax bracket, is the amount $60,000/(1-30%) = ~$86,000? Should I use marginal or effective tax rates -- I'm thinking effective?
I know that the rates will depend on my withdrawal mix of qualified vs.non-qualified accounts, but I am I thinking about this correctly?
Thanks,
Troop
I'm not retired yet, looking at OMY or 2, and I am trying to determine withdrawal needs during retirement. My specific question is around taxes.
If my DW and I have budgeted $60,000 of spending needs, how much will need to be pulled out of our portfolio to attain that? Note: we will not have SS and pension in the earlier years of our retirement.
If I assume a 30% tax bracket, is the amount $60,000/(1-30%) = ~$86,000? Should I use marginal or effective tax rates -- I'm thinking effective?
I know that the rates will depend on my withdrawal mix of qualified vs.non-qualified accounts, but I am I thinking about this correctly?
Thanks,
Troop