For 2020 I modulated our Roth conversions to keep our taxable income below $150K, to be sure we received the full amounts of the stimulus (which we did). We do not have dependents so the child tax credit won't apply to us.
I am now planning the 2021 Roth conversion and am mindful of the MAGI thresholds for IRRMA and the tax brackets based on taxable income. Are there other income thresholds I need to be mindful of?
Roth conversions and stimulus payments
Re: Roth conversions and stimulus payments
Here’s a long discussion on that topic. Many/most may not apply in your case but good to be aware and check them all.
viewtopic.php?p=2570101#p2570101
viewtopic.php?p=2570101#p2570101
"The greatest enemy of a good plan is the dream of a perfect plan" - Carl Von Clausewitz
Re: Roth conversions and stimulus payments
+1BigJohn wrote: ↑Sat Sep 25, 2021 7:35 am Here’s a long discussion on that topic. Many/most may not apply in your case but good to be aware and check them all.
viewtopic.php?p=2570101#p2570101
The estimation tool mentioned in the last post of that thread has been updated for 2021 tax laws (at least as they are today...) and can show your marginal rate changes for whatever income range you wish.
The important "trigger" income levels 2021 - Early Retirement & Financial Independence Community has a good static list.
Re: Roth conversions and stimulus payments
That link to
https://www.early-retirement.org/forums ... 06300.html
is spectacular and much more thorough and up to date than the thread on the Bogleheads site.
I am working my way through the personal finance toolbox
https://www.bogleheads.org/wiki/Tools_a ... ce_toolbox
It is daunting but so far so good.
https://www.early-retirement.org/forums ... 06300.html
is spectacular and much more thorough and up to date than the thread on the Bogleheads site.
I am working my way through the personal finance toolbox
https://www.bogleheads.org/wiki/Tools_a ... ce_toolbox
It is daunting but so far so good.