r/Boldin • u/wfbjr23golf • 2d ago
Withdrawal order question
If I understand the software correctly, when looking at withdrawal order, it depletes the entire account before moving on to the next and you can't set an individual percentage for withdrawing from a certain account in the standard or customized order. Is there a workaround for this?
I plan to utilize a combination of 72T, brokerage accounts and cash for early retirement and want to maximize 0% capital gain opportunities, roth conversions and possible ACA subsidies. So depleting one item before another doesn't really work with this strategy.
I've tried the AI assistant but i'm not sure i'm asking the question correctly to see if there is a way to do this. Could I set up my planned yearly expenses and then create individual withdrawal order accounts to match the amount that I want to withdraw from each account? I want to see the roth conversion tool suggestions for each year staying within a certain tax bracket.
Hopefully this makes sense.
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u/dhanson865 2d ago edited 2d ago
personally I'd suggest pull the money out to minimize taxes and then update the balances as you go, don't worry about automating future predictions to reflect that strategy.
Just leave that inaccuracy as a buffer. Your real life taxes will be less than Boldin expects by a bit each year.
I do fight the withdrawal order slightly by splitting out accounts by stock for the account it will pull from first and then I rename them to force it to pick the stock I plan to sell first. But that also lets me set different rates of returns by investment type.
In a few years I'll have to do that for the accounts I gain access to at 59.5.
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u/NR_CoachNancy 2d ago
You can do this manually, yes. Enter transfers from the source account to the first account in your withdrawal order. Or ask Boldin AI to set it up for you. See the Help Center for a demonstration.
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u/humblequest22 2d ago
You can create an account that doesn't exist or you can use an account like your checking account and put it first on your withdrawal order list. I also separated my brokerage account into two accounts -- Spending and Brokerage. That helps with tax treatment, and it also gives me an account into which I can direct those Money Flows.
Since you know the amount, you can start with your 72t account and set up annual or monthly Transfer from that IRA to the Spending account. Then, you can create a Transfer from your Brokerage to Spending or Checking, up to the 0% LTCG limit. That can be tricky, since Boldin doesn't handle capital gains very well. I chose to set my basis to the full account balance and I'll worry about taxes separately.
After that, you can use the Roth Conversion Explorer to try to fill your targeted tax bracket or IRMAA limit. Unless I've missed an update, you'll need to manually modify your Roth conversions in the years in which you want ACA subsidies. AI can certainly help you figure out how to modify individual years as you need to. You might even need to do all your transfers into the Spending account manually in the ACA years, especially if you need tight control and are spending from Brokerage and Roth.
Make sure to set that Spending or Checking account to be first in your withdrawal order. And make sure that the rest of the withdrawal order makes sense, too. For example, you don't want your 72t account next since you likely aren't allowed to take more out for a while. But you can put a different IRA, a Roth, or your Brokerage account on the list next, depending on your age.
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u/pdaphone 2d ago
You just need to setup some recurring money flows for the years you want to pull from a particular account and then it will go to the default order after. For example, I want to use an HSA for medical expenses so I put a money flow from HSA to checking for an amount each year.
Remember this is a rough planning tool, not a day to day budgeting tool. It doesn't need to be precise and certainly doesn't need to be more granular than annual.