Retiring at age 62 each. Very good pensions with lifetime survivorship on each, low bills, low group retiree hc premiums, no debt except tiny low interest mortgage. Life on these pensions completely doable without tapping retirement acct.
Would like to structure a Roth conversion schedule that moves 550K pretax $ from a 403 and 457 into Roth without touching principle, just sucking up the taxes and getting the funds in position by the time RMDs kick in a decade later.
Thinking about a couple of variables here:
\-identifying the timing of each chunk
rolled into Roth. Is there any best time of each fiscal year to do this? One lump sum or spread over 12 months?
\-the tax impact of the amounts rolled over in a given year, since the pensions already will put us in upper range of the 24% bracket. Tax cliff avoidance if possible.
\-IIRMAS at 65 when Medicare kicks in and added social security checks. Does it make sense to front load big big rollovers before hitting 65, to avoid the iirma cliff?
\- the five year window for Roth deposits before they are accessible.
Should we establish a private side Roth acct with just a small deposit now, in order to get the five year window clock ticking ?
\- other things I haven’t asked that YOU would ask?
\- other ways to protect retirement nest egg from longer term taxed withdrawals and RMDs ?
Thank you.