Welcome back, James
Age 66 · 2026 · RMD begins in 2035 (9 years)
Your Retirement Milestones
Early
care
FRA
Max
Start
Begins
Early
care
FRA
Max
Start
Begins
Your Snapshots
Part A covers hospital care (usually premium-free), Part B covers outpatient services (~$203/mo in 2026), and Part D covers prescription drugs. Higher earners pay IRMAA surcharges based on income from two years prior.
Spouse
2029 (in 3 yrs)
Not enrolled
Not enrolled
RMDs begin at age 75 from traditional 401k and IRA accounts. The amount is your prior year-end balance divided by an IRS life expectancy factor — rising each year. Failure to take the full RMD triggers a 25% excise tax on the shortfall. Qualified Charitable Distributions (QCDs) from age 70½ count toward RMDs tax-free.
- IRA / 401k / 403b balance: $2.3M (yours $1.6M · spouse $700k)
- Roth IRA balance: $150k
- RMD begins: 2035 (9 yrs away)
Under SECURE 2.0, heirs who inherit a traditional IRA must withdraw everything within 10 years, paying income tax on each withdrawal. Inherited Roth IRAs pass tax-free. Roth conversions now reduce both your future RMDs and your heirs' taxable inheritance.
- Conversion goal: Drain IRA fully
- Aggressiveness: Moderate — up to the 1st IRMAA surcharge
- Est. heir IRA RMD (baseline): $230k/yr (÷10 rough estimate)
- Roth (tax-free to heirs): $150k
- View full projection →
A HELOC is an emergency liquidity tool for retirement — a credit line secured against your home that costs nothing if unused. It provides flexible, tax-neutral cash for temporary needs without forcing you to sell investments at a bad time or take large taxable distributions.
Qualifying after retirement is harder — banks prefer employment income. Some lenders offer asset-based qualification for retirees with strong portfolios. Check with your bank or a credit union about options.
Typical costs
- Application: $0-$1,500 (many lenders waive closing costs)
- Annual fee: $0-$75/yr while unused
- Interest: Variable, Prime + 0-2% (only on amounts drawn)
Where to apply: Start with your primary bank or credit union — existing customers often get rate discounts and waived fees. Credit unions frequently offer the lowest rates.
Your plan works best when it reflects reality. Instead of forecasting future contributions, update your actual balances each quarter — this naturally captures contributions, market changes, and life adjustments.
What to check each quarter
- Account balances — IRA, Roth, taxable, and HSA with current values
- Income changes — raise, job change, new side income
- Expense changes — new recurring costs, paid-off debts
- Life events — marriage, dependents, health changes, home purchase
- Retirement timeline — still planning to retire the same year?
Current Balances
Converting pre-tax IRA funds to a Roth reduces future RMDs, lowers lifetime taxes, and passes tax-free to heirs. The trade-off: you pay taxes now at today's rates.
Conversion Progress
Total planned conversions: $3.7M
2026 Recommended Conversion
$31,309
Estimated extra tax: $8,474 — included in your quarterly estimated tax payments
| Quarter | Planned | Actual | Status |
|---|---|---|---|
| Q1 | $6,262 | $7,500 | done |
| Q2 | $6,262 | $7,500 | done |
| Q3 | $6,262 | $7,500 | done |
| Q4 | $8,809 | — | due |
| Total | $31,309 | $22,500 | $8,809 left |
Your Strategy
- Goal: Drain IRA fully
- Aggressiveness: Moderate — up to the 1st IRMAA surcharge
- View full projection in My Plan →
Lifetime Plan Impact
Conv. tax
$872k
RMD tax saved
$923k
Heirs save
~$963k
Heirs: $321k/yr forced withdrawals → $0/yr with conversions (est. ~30% rate)
Estimated quarterly payments cover taxes on income that isn't subject to paycheck withholding — Roth conversions, investment income, and Social Security benefits. Missing or underpaying a quarter can trigger an IRS penalty.
Includes $9,153 of suggested inherited IRA withdrawal beyond the minimum. Take less and your tax is lower.
| Quarter | Income Period | Due Date | Federal | Total |
|---|---|---|---|---|
| Q1 | Jan – Mar | Apr 15, 2026 | $4,000paid | $4,000 |
| Q2 | Apr – May | Jun 15, 2026 | $4,000paid | $4,000 |
| Q3 | Jun – Aug | Sep 15, 2026 | $4,000paid | $4,000 |
| Q4 | Sep – Dec | Jan 15, 2027 | $4,719 | $4,719 |
| Annual Total | $16,719 | $16,719 | ||
Estimates are based on your plan inputs and may differ from your actual liability. The IRS safe harbor rule lets you avoid underpayment penalties by paying at least 100% of last year's tax (or 110% if your prior-year AGI exceeded $150,000) — or 90% of this year's estimated tax, whichever is less. Consult a tax advisor for your precise amounts.