Identify exactly how much room remains in your current marginal tax bracket and optimize single-year "bracket topping" execution values.
The gap between your last paycheck and your first Social Security or RMD payment is a golden window. Income often falls to its lowest point in decades — making now the cheapest time to convert Traditional IRA dollars to Roth at a low marginal rate.
Once converted and seasoned (5-year rule), Roth dollars are withdrawn completely tax-free — no federal tax, no state tax, no impact on Medicare IRMAA, and no effect on Social Security taxability. Dollar for dollar, Roth dollars are worth more than pre-tax dollars in retirement.
Starting at age 73, the IRS requires you to draw down your Traditional IRA — whether you need the money or not. Large RMDs can push you into higher brackets, increase Social Security taxation, and trigger IRMAA surcharges. Converting now reduces your future RMD burden permanently.
Medicare Part B and D premiums are based on income from two years prior. A large Traditional IRA withdrawal at 72 can spike your IRMAA surcharge at 74. Roth withdrawals don't count toward IRMAA MAGI — converting now keeps your future Medicare costs predictable and lower.
Up to 85% of Social Security can be taxable if your combined income (MAGI + half of SS) exceeds $44,000 for MFJ. Roth withdrawals don't count toward this formula — whereas every Traditional IRA dollar does. Shifting to Roth now means less of your SS benefit gets taxed later.
Under the SECURE 2.0 Act, non-spouse heirs must drain inherited IRAs within 10 years — often at their peak earning years and highest tax rates. Leaving a Roth IRA instead means your heirs receive those dollars income-tax free, dramatically increasing the after-tax legacy you leave behind.
Slide to dynamically test conversion impacts against tax thresholds and IRMAA premium surcharges.
Calculate remaining limits to avoid unexpected tax friction hikes.