Tools · Withdrawal Sequencer

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 IRMAA flagging, RMD detection, and Roth conversion 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 IRA $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% LTCG bracket (filing single, taxable income under ~$49,450 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 gains tax: 0% if total taxable income (after standard deduction) is under approximately $49,450 single / $98,900 MFJ 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 MAGI 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 income 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.

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

Related

→ Withdrawal Sequencing · the full strategy → Roth Conversion Timing → Roth Conversion Sweet Spot → IRMAA
HOW THIS IS CALCULATED

This tool runs entirely in your browser — no data is sent to any server. All formulas use standard financial math. Verify the methodology or inspect the source code in your browser's dev tools.