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The 401(k) bracket smoothing math: Why a 65 year old with $1.6 million should convert exactly $43,000 a year until 73
A 65 year old single retiree posted a familiar question on a Bogleheads thread last month: "I have $1.6 million in a traditional 401(k) and $30,000 in Social Security. Every article tells me to do ...
Converting exactly $90,000 fills the 12% federal bracket to its $100,800 ceiling, avoiding an 83% marginal rate jump on every dollar above it. Paying 12% now on $360,000 converted over four years ...
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How a 65-year-old extracts $50,000 annually from a $1.3 million 401(k) and avoids the IRMAA Medicare trap
Quick ReadMost retirees pull everything from their 401(k) in retirement, and that single habit is what quietly inflates their federal tax bill every year.The five years between 65 and 70 represent the ...
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