In today's episode, Ready for Retirement, we're going to take a look at Patrick and Mary's

retirement withdrawal strategy to see what they get right and what they might be able to improve.

This is another episode of Ready for Retirement. I'm your host, James Cannell, and I'm here

to teach you how to get the most of the life with your money. And now, on to the episode.

This episode is based upon a question that Patrick and Mary submitted, and the question

says this, Dear James, my wife and I find your podcast and videos extremely valuable, not only

for the education you provide on financial matters, but also for the non-financial

perspectives about retirement that many of us should keep in mind.

I am 58 and retired, and my wife is 57 and will be retiring next year.

Upon her retirement, we will have a $58,500 pension free of state income tax.

She has $102,000 in a 403B.

I have $430,000 in an IRA.

We have $200,000 in a brokerage account, and we have combined $510,000 in Roth accounts. We do own our home outright,

but have no near-term plans to tap any of the $350,000 of equity in it. We both will be eligible

for social security benefits but have not made any determination as to what age we might take

those benefits. Our combined social security at age 62 would be $,600, or if we wait until age 70,

that amount would be $72,420. Given that our taxable income has been comfortably within the

0% long-term gains capital gains bracket, we have spent the last few years harvesting gains

in our brokerage account and will have eliminated all gains by the end of 2024.

The brokerage account holds approximately $70,000 in money market fund with the remainder in tax-efficient stock index funds, so further dividend income should not be substantial.

I realize that brokerage account with rolls would be the most tax-efficient source of income.

However, my state also allows for $20,000 per person exclusion of income

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