Tax-Efficient Withdrawal Strategies: Keeping More of What You’ve Earned

One of the most overlooked aspects of retirement planning is how you withdraw money from your savings. Many people focus on how much they’ve saved—but few consider how taxes will impact those savings once they begin taking income. At 100Retire, we help you understand the power of tax-efficient withdrawal strategies—so that every decision about when and where to take money from retirement accounts is part of a coordinated, thoughtful plan.

Led by Joel Marius, RICP®, a financial professional with over 25 years of experience, our process is guided by the advanced principles of the Retirement Income Certified Professional (RICP®) framework. Joel specializes in helping retirees and pre-retirees organize their income plan so they can avoid unnecessary taxation, reduce the risk of costly mistakes, and maintain more flexibility throughout retirement.

During your working years, taxes are predictable—you earn income, withhold taxes, and file your return. In retirement, however, taxes become more complex because your income comes from multiple sources: Social Security, IRAs, 401(k)s, pensions, Roth accounts, and taxable investments. The order in which you withdraw from these accounts can have a major effect on how long your savings last and how much of your income is taxed each year.

A poorly timed withdrawal strategy can unintentionally push you into a higher tax bracket, increase Medicare IRMAA surcharges, or cause more of your Social Security benefits to become taxable. That’s why a tax-smart distribution plan is essential—it helps you coordinate withdrawals so your retirement income works efficiently and predictably.

Joel uses the RICP® framework to help clients create personalized, tax-efficient income plans that integrate investment, tax, and retirement timing decisions into one unified strategy. Each plan examines:

• The optimal withdrawal order between taxable, tax-deferred, and Roth accounts.
   
• The timing of Social Security benefits and how they interact with required minimum distributions (RMDs).
   
• Opportunities for Roth conversions during lower-income years.
   
• The use of Qualified Charitable Distributions (QCDs) to meet charitable goals while lowering taxable income.
   
• How to manage capital gains, dividends, and investment sales in taxable accounts.
   

By coordinating these strategies, Joel helps clients create smoother income patterns, reduce tax surprises, and preserve flexibility in the face of changing tax laws.

The process begins with a detailed analysis of your income sources and tax situation. Joel builds a customized withdrawal plan that illustrates the long-term tax impact of different strategies. Using tools and projections, he helps you understand the potential benefits of actions such as delaying Social Security, converting traditional IRA assets to Roth IRAs, or adjusting the mix of investment accounts used each year for income.

This proactive approach aligns your tax, investment, and income strategies to support your retirement lifestyle while maintaining tax efficiency year after year.

At 100Retire, we believe that tax-efficient withdrawal planning is not about avoiding taxes—it’s about managing them wisely. Through expert guidance and an integrated planning process, Joel Marius, RICP®, helps retirees make informed decisions that align with their broader financial goals.

Before you take your next distribution or claim your benefits, ensure your plan includes a clear, coordinated tax strategy. The way you withdraw money can make all the difference in the comfort, sustainability, and flexibility of your retirement income.