A client in retirement has $800,000 in a traditional IRA and $200,000 in a Roth IRA. Which account should typically be drawn down first to minimize lifetime taxes?
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A
Roth IRA first, since withdrawals are tax-free and reduce tax-deferred balances that require RMDs
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B
Traditional IRA first to reduce the RMD burden and tax-deferred balance
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C
Both accounts should be drawn in equal proportions each year
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D
The taxable brokerage account first, then traditional IRA, then Roth IRA last