Long term care
My husband’s Parkinson’s has progressed rapidly. I need to use his IRA. I have access. Our assets: 330,00 (his IRA,our stock portfolio)300,000(paid off house)245,00(my IRA). How much tax should be taken on withdrawal? We always file- haven’t had to pay in years. How do I keep from getting killed in taxes.Thanks
Terry Says
You will have to pay ordinary income taxes on withdrawals from an IRA.
Here are the tax brackets for 2023 for a married couple filing jointly:
37% for incomes over $578,125 ($693,750 for married couples filing jointly)
35% for incomes over $231,250 ($462,500 for married couples filing jointly)
32% for incomes over $182,100 ($364,200 for married couples filing jointly)
24% for incomes over $95,375 ($190,750 for married couples filing jointly)
22% for incomes over $44,725 ($89,450 for married couples filing jointly)
If you can keep your taxable income below $89,450 you won’t have to worry much about taxes. See your accountant regarding your personal situation. I assume you’re already taking RMDs from his IRA. You might be better selling some long-held stocks at a profit, and paying lower capital gains tax rates.
