Talk of The Villages Florida - View Single Post - Interesting tidbit from the Fidelity Advisor
View Single Post
 
Old 04-29-2023, 12:36 PM
Packer Fan's Avatar
Packer Fan Packer Fan is offline
Veteran member
Join Date: Feb 2008
Posts: 789
Thanks: 422
Thanked 588 Times in 188 Posts
Default

Quote:
Originally Posted by CoachKandSportsguy View Post
Thanks for your analysis of the difference in ages explanations. . seems that this piece of information is where the differences lie, and where several posters may assume that the rule they were told was based upon their current age or situation. .

since we are over 65, seems the 5 year rule would apply.

So the issue is when to take the income. . and what are you avoiding. . as you are paying taxes now versus in the future.

So by taking 401K now, and not taking social security for a year or two, one is increasing social security basis, and reducing RMD in the future, assuming that you have enough income to support the expenses, without getting hit with excess taxes while taking social security.
If you are making Roth conversions it should be long term anyway, so not sure why people obsess about this.

That said, I HIGHLY recommend listening to this Podcast-
The Retirement and IRA Show with Jim Saulnier and Chris Stein. It is highly entertaining and informative. One of the best podcasts out there. If you look back they have whole episodes on this subject.
__________________
Packer Fan
Retired
Village of Hillsborough
FROG, 10 years in the Making
World Traveler
From Oak Creek, WI