Age 69: The final tax-smart window before RMDs to shape retirement and heirs

1 min read
Source: USA Today
Age 69: The final tax-smart window before RMDs to shape retirement and heirs
Photo: USA Today
TL;DR Summary

Age 69 marks a pivotal pre-RMD window where retirees can reduce taxes by doing Roth conversions in a lower tax bracket, especially before required distributions begin at 73. Conversions help manage taxable income, potentially lower Social Security taxes and Medicare costs, and preserve wealth for heirs since Roth funds aren’t subject to RMDs. The article advises careful income planning, spreading conversions over several years, and working with a fiduciary financial adviser to craft a sustainable withdrawal strategy and protect the legacy.

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