January 30, 2024

Episode 110: RWS Live (not really): Answering Your Tax-Planning Questions (Part 4)

39 minutes

In this episode, Alex and Wade discuss various tax planning strategies for retirement. They announce a webinar on tax-efficient retirement distributions and highlight the importance of the Retirement Planning Guidebook. They address the impact of taxes on deferred accounts versus non-qualified accounts, including the implications for Social Security benefits and IRMAA surcharges. They also discuss determining the amount to convert to a Roth IRA and the considerations for inherited Roth IRAs. The conversation covers managing taxes for couples with over $5 million, the intersection of tax planning and safety-first income annuities, and the importance of preparation and account setup for retirement. They conclude by addressing strategies to limit the impact of ACA premiums on MAGI. Listen now to learn more!

Takeaways

Consider attending the webinar on tax-efficient retirement distributions to gain a deeper understanding of tax planning strategies.

The Retirement Planning Guidebook is a valuable resource for retirement planning and is regularly updated to reflect changes in tax laws.

Tax planning should consider the impact of taxes on deferred accounts versus non-qualified accounts, including Social Security benefits and IRMAA surcharges.

Inherited Roth IRAs may be subject to different rules and tax implications, and it is important to understand the options and potential tax consequences.

Preparation and account setup for retirement can help optimize tax planning strategies and provide more flexibility in managing income and expenses.

Strategies to limit the impact of ACA premiums on MAGI may include suspending Social Security benefits, spending from taxable accounts, and tax-efficient asset management.

Timestamps

00:00 Introduction and Webinar Announcement

02:12 Discussion on the Retirement Planning Guidebook

03:12 Considerations for Buying the New Book

04:08 Tax Planning for Deferred Accounts vs. Non-Qualified Accounts

05:03 Impact of Taxes on Social Security Benefits and IRMAA Surcharges

07:01 Determining Roth IRA Conversion Amounts

09:06 Understanding IRMAA and Social Security Tax Torpedo

12:12 Inherited Roth IRAs and Legacy Goals

15:04 Managing Taxes in Retirement for Couples with Over $5 Million

18:22 Tax Planning and Safety-First Income Annuities

22:36 Preparation and Account Setup for Retirement

25:21 Limiting ACA Premium Impact on MAGI

Links

The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/

To celebrate the updated RPG, Wade is hosting a FREE Webinar where he will be discussing the most significant update, tax planning. Visit risaprofile.com/podcast to register to attend, How to Create Tax-Efficient Retirement Distributions on Monday, February 5th at 2:00 PM ET.

This episode is sponsored by McLean Asset Management. Visit https://www.mcleanam.com/roth/ to download McLean's free eBook, "Is a Roth Conversion Right For You?"

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By Wade Pfau & Alex Murguia

3.9

167167 ratings