I purchased MaxiFi Planner to run Roth Conversion estimates. Here is my somewhat surprising conclusion. Are my assumptions wrong? Does this conclusion sound right?
Assumptions:
No Heirs/Dependents, so spend down assets to 0
At age 80 (Year 2045), buy into an expensive CCRC for $5,000,000
The buy-in amount is a medical expense (tax deduction), so I do a big Roth conversion in that year (2045).
According to MaxiFi Planner, this gives me a better outcome than, for example, converting $100,000 each year starting in 2024.
What am I missing?
Also, it is my understanding (from googling) that both the initial buy-in and the monthly fee are tax deductible medical expenses. Correct?
Assumptions:
No Heirs/Dependents, so spend down assets to 0
At age 80 (Year 2045), buy into an expensive CCRC for $5,000,000
The buy-in amount is a medical expense (tax deduction), so I do a big Roth conversion in that year (2045).
According to MaxiFi Planner, this gives me a better outcome than, for example, converting $100,000 each year starting in 2024.
What am I missing?
Also, it is my understanding (from googling) that both the initial buy-in and the monthly fee are tax deductible medical expenses. Correct?
Statistics: Posted by Hayden — Sun May 19, 2024 1:24 pm — Replies 5 — Views 236