Tax Strategies for Early Retirees

This chapter explores the complexities of tax planning for early retirees, focusing on the interaction between the Affordable Care Act and Roth IRA conversions. It highlights the significance of Modified Adjusted Gross Income and the risks tied to exceeding healthcare subsidy thresholds. The chapter emphasizes strategic considerations around tax-efficient investment decisions, diversification, and the timing of Roth conversions to optimize retirement income and benefits.