Going through and looking at things like VPW where you withdraw a certain amount from your investments monthly.
Assuming dividends and RMD and pensions don't cover your usual and customary monthly needs (like, say, for an early retiree) and you're not working
-- You need to sell some taxable stuff
-- You need to withdraw from your IRA
I know how various things are taxed. I know I'll need to withdraw more to cover the estimated full-year tax, which will vary depending on where the funds come from (dividend, capital gains, tIRA withdrawals). I can probably put a spreadsheet together to estimate it easy enough after a year or two and/or use the excellent tools to tax optimize the funding sources.
Questions:
1. Do folks typically just do estimated taxes once a quarter? How much of a burden is this to a non-financially aware spouse?
2. Do folks pay (via withholding) at the end of the year via a tIRA RMD/withdrawal/roth conversion? Here, the burden is somewhat less, but still needs estimation.
3. Other ways?
Assuming dividends and RMD and pensions don't cover your usual and customary monthly needs (like, say, for an early retiree) and you're not working
-- You need to sell some taxable stuff
-- You need to withdraw from your IRA
I know how various things are taxed. I know I'll need to withdraw more to cover the estimated full-year tax, which will vary depending on where the funds come from (dividend, capital gains, tIRA withdrawals). I can probably put a spreadsheet together to estimate it easy enough after a year or two and/or use the excellent tools to tax optimize the funding sources.
Questions:
1. Do folks typically just do estimated taxes once a quarter? How much of a burden is this to a non-financially aware spouse?
2. Do folks pay (via withholding) at the end of the year via a tIRA RMD/withdrawal/roth conversion? Here, the burden is somewhat less, but still needs estimation.
3. Other ways?
Statistics: Posted by ryman554 — Sat Oct 12, 2024 6:54 pm — Replies 3 — Views 251