Three ways to draw down the same retirement- IN BETA
Enter both spouses' numbers once. This models three withdrawal & Roth-conversion
strategies side by side — same spending, same accounts, different sequencing — and
shows the arithmetic behind whichever one comes out ahead.
2026 federal brackets & standard deduction are approximate — verify against IRS Rev. Proc. 2025-32 before acting.
RMDs begin at age 75 (SECURE 2.0, applies to anyone born 1960 or later).
South Carolina modeled with a flat 6.2% top rate above a simplified $3K/$10K per-person retirement-income exclusion, full Social Security exemption, and a 44% long-term capital gains exclusion. Other states default to $0 state tax — extend as needed.
ACA premiums and subsidies use a simplified age-rating curve and linear applicable-percentage formula — directional, not a quote. Real premiums vary by county, insurer, and plan metal tier.
IRMAA uses a 2-year MAGI lookback and 2026 CMS tiers, doubled from single-filer thresholds for MFJ.
Roth withdrawals are assumed fully accessible without penalty — verify the 5-year rule on converted amounts if withdrawing before 59½.
Cash needed to pay income tax and net health premiums is drawn from taxable → Roth → Traditional, same as spending.
Does not model either spouse's death, remarriage, long-term care costs, or legislative change...
No conversions, discretionary withdrawals, or portfolio spending are modeled until the year both partners have retired. Years before that assume the still-working partner's income fully covers household spending.
MAGI is calculated two different ways, per IRS/CMS rules: the IRMAA test counts only the taxable portion of Social Security, while the ACA subsidy-cliff test is required to add back the full benefit amount, taxable or not. This tool models both separately.
This tool currently uses a single MAGI figure for both the IRMAA test and the ACA subsidy-cliff test. In reality these differ — ACA MAGI must add back the full Social Security benefit, not just its taxable portion — which is not yet reflected here.
Federal and state tax brackets, standard deductions, and income thresholds are held at their approximate 2026 values for the entire projection, however many decades that spans. Actual tax law changes over time — this is not a forecast of future legislation.
Investment growth is modeled as a single flat rate (default 6%, editable) applied uniformly to every account and every year — it does not reflect market volatility, sequence-of-returns risk, or different returns by asset allocation.
Inflation is modeled as a single flat rate (default 3%, editable) applied to spending every year, not actual year-to-year variation.
This tool is an illustrative planning aid, not tax, legal, investment, or financial advice. Confirm all figures and strategies with a qualified CPA, financial advisor, and/or estate attorney before acting on them.