No. of Recommendations: 6
And, by the way, you should do your calculations to see how much control you will have over taxes in retirement. Take current IRA balances and extrapolate the value out to reflect compounding until age of RMDs. Look up the amount the RMDs will be from a RMD calculator. Add the RMD to all other anticipated retirement income, including SS and pensions, dividends and interest. For us, we found that at a minimum we would be in the 28% tax bracket, based on 2017 tax law, which was what we anticipated for 2026 prior to the Trump taxes being made "permanent." That guided us to take our annual income up to the 25% tax bracket via Roth contributions, a level we felt reasonably safe in assuming we would be taxed over in retirement.
The only thing I remain certain of is that tax law will change, and likely not for the better.
FWIW,
IP
