How One Couple Built a Tax-Smart Retirement Plan and Saved $525,000 in Taxes
Clients
James & Elizabeth, early 60s
Goal
Retire with confidence, minimize taxes
Strategy
Roth conversions, Social Security delay, income buffer
Result
Projected $525k tax savings & downturn-protected income plan
Meet James & Elizabeth
When we met in early 2020, James and Elizabeth were approaching retirement: unsure about timing, concerned about taxes, and trying to figure out what "retirement ready" really meant.
- James was still working, earning a strong six-figure income.
- Together, they had just over $1 million in pre-tax savings.
The Strategy: Three Pillars of Success
1. Income Protection: We set aside $500,000 in stable investments as a "war chest" to draw from during market downturns.
2. Social Security Timing: By delaying James' benefit, we grew his future income and opened a window for lower-tax Roth conversions.
3. Intentional Roth Conversions: The projected impact is a potential lifetime tax savings of $525,000.
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