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Tools · Withdrawal Sequencer
UPDATED APRIL 2026

Withdrawal sequencer.
Tax-efficient retirement drawdown order.

Given your account balances and income needs, this tool produces a year-1 withdrawal plan: which accounts to draw from, in what order, and what the tax cost is. With IRMAAIncome-Related Monthly Adjustment Amount (IRMAA)A Medicare surcharge added to your monthly premium if your income exceeds certain thresholds.Full definition flagging, RMDRequired Minimum Distribution (RMD)The minimum amount the IRS requires you to withdraw annually from Traditional IRAs and 401ks starting at age 73 (rising to 75 in 2033). Calculated as account balance divided by your IRS life expectancy factor. Roth IRAs have no RMDs during the owner’s lifetime. detection, and Roth conversionRoth conversionMoving money from a tax-deferred retirement account (where you'll owe tax later) into a Roth account (where everything grows and comes out tax-free). You pay regular income tax this year on the amount moved.Full definition opportunity hints.

US-only. Tax brackets, RMD ages, and IRMAA tiers are US-specific.

Worked example: Age 65. Taxable brokerage $200,000 (50% basis). Traditional IRAIndividual Retirement Account (IRA)A personal retirement savings account with tax advantages. Two main types: Traditional (tax now, pay later) and Roth (pay now, tax-free forever).Full definition $600,000. Roth IRA $150,000. Spending need $80,000. Social Security $24,000. Gap to fill: $56,000. Optimal: draw $56,000 from taxable. The realized long-term gain of ~$28,000 may fall in the 0% LTCGLong-Term Capital Gains (LTCG)Profit from selling an asset held over one year, taxed at lower preferential rates than ordinary income.Full definition bracket (filing single, taxable income under ~$48,350 in 2026). Traditional IRA stays untouched, leaving room for Roth conversions in low-income years before RMDs at 73.

SITUATION
ACCOUNT BALANCES
Cost basis as a percentage of current value. 100% means no embedded gains; 50% means half the value is gain.
YEAR 1 PLAN
INCOME GAP TO FILL
$0
FROM TAXABLE
$0
TAX ON GAINS
$0
FROM TRADITIONAL
$0
TAX (ORDINARY)
$0
FROM ROTH
$0
TAX
$0 (tax-free)
TOTAL TAX YEAR 1
$0
Effective rate on withdrawals: 0%
How this tool works
  • Conventional withdrawal order (taxable, then Traditional, then Roth) preserves Roth growth longest and uses the lowest applicable tax rates first.
  • The tool fills the income gap from taxable first, then Traditional, then Roth.
  • Long-term capital gainscapital gainsThe profit from selling an asset for more than you paid for it. Taxed differently depending on how long you held the asset. tax: 0% if total taxable income (after standard deductionstandard deductionA fixed dollar amount that reduces your taxable income without itemizing. Most people claim this instead of listing individual deductions.Full definition) is under approximately $49,450 single / $98,900 MFJMarried Filing Jointly (MFJ)A tax filing status where a married couple combines their income and deductions on one tax return. in 2026 ×DON'T TRUST, VERIFYClaim: 0% LTCG bracket extends to ~$49,450 single / ~$98,900 MFJ for 2026 per IRS Rev. Proc. 2025-32.Verify at: IRS Topic 409 ↗Verify exact 2026 thresholds at IRS publication and Rev. Proc. annual update.. 15% above that up to ~$545,500 single / ~$613,700 MFJ. 20% above.
  • Traditional IRA withdrawals are added to ordinary income and taxed at the marginal rate (0-37% federal in 2026, plus state).
  • RMDs start at age 73 (SECURE 2.0). If RMD exceeds the spending need, you must take it anyway. The tool flags this case.
  • IRMAA tiers above $106,000 MAGIModified Adjusted Gross Income (MAGI)Your taxable income with certain deductions added back in. The IRS uses this slightly different number to decide if you qualify for some tax breaks.Full definition single / $212,000 MFJ in 2026 raise Medicare premiums two years later ×DON'T TRUST, VERIFYClaim: IRMAA tiers begin at ~$106K single / ~$212K MFJ in 2026.Verify at: CMS ↗Verify current year's exact IRMAA thresholds at CMS.. The tool flags Traditional withdrawals that cross thresholds.
  • Social Security taxation can apply if provisional incomeprovisional incomeThe income figure used to determine how much of your Social Security benefit is taxable. Includes adjusted gross income, tax-exempt interest, and 50% of your Social Security benefit. Up to 85% of SS benefits can be taxable for higher earners. exceeds $25,000 single / $32,000 MFJ. The tool does not currently model this; treat as a separate analysis.
  • State income tax is not included. Your Traditional IRA withdrawals are likely subject to your state's ordinary income rate as well.

Related

→ Withdrawal Sequencing · the full strategy → Roth Conversion Timing → Roth Conversion Sweet Spot → IRMAA

Not financial or tax advice. Simplified sequencing logic; consult a CPA for your full situation.