Sponsored
Ad slot is loading...

Retirement Account Withdrawal Sequence Calculator

Optimize withdrawal order to minimize taxes and maximize longevity.

Account Summary

Taxable:$ 50000
Traditional:$ 300000
Roth:$ 100000
Total Balance:$ 450000
Years Covered:9.0

Strategy 1: Taxable → Traditional → Roth

Order:Taxable first, then Traditional
Final Roth:$ 0
Tax on Traditional:$ 80472
Preserves Roth for late retirement. Traditional taxed at withdrawal.

Strategy 2: Roth → Taxable → Traditional

Order:Roth first, preserve Traditional
Final Traditional:$ 0
Tax on RMDs:$ 0
Reduces RMD burden. Traditional grows tax-deferred but taxed at RMD.

RMD Considerations

RMD Starts:Age 73
RMD Applies:No (yet)
Est. Annual RMD:$ 11321
SECURE 2.0 Act: RMDs start at age 73 (was 72). Traditional accounts subject to RMD.

Recommended Sequence

Taxable → Traditional → Roth
Based on your account balances, tax bracket, and RMD timing.

Withdrawal Sequence Key Points

  • Taxable first: already taxed, reduces estate taxes
  • Traditional: taxed at withdrawal, RMD at age 73+
  • Roth: tax-free growth, no RMD, ideal for late retirement
  • High tax bracket: consider Roth first to lower taxable income
  • Low tax bracket: withdraw Traditional to fill bracket
  • Consider Roth conversions in low-income years
  • Balance RMDs with voluntary withdrawals
  • Coordinate with Social Security taxation thresholds
  • Review annually as tax brackets and balances change
Sponsored
Ad slot is loading...