Your investment return isn’t the only driver of retirement success. The way you turn savings into a paycheck: your income plan and the order you liquidate accounts, can add years to portfolio longevity, reduce taxes, and create steadier cash flow.

Income Planning

An income plan is a year-by-year roadmap for which accounts to draw from and when. The “order of liquidation” is the sequence you use across taxable, tax-deferred, Roth, HSA, and annuity accounts to keep lifetime taxes, healthcare costs, and market risk in check.

Why the Order Matters

Minimizes lifetime taxes by filling lower brackets, managing RMDs, and avoiding the 3.8% NIIT when possible.
Helps protect ACA premium tax credits before 65 and avoids Medicare IRMAA surcharges after 65.
Reduces the risk of selling stocks in a down market by funding a cash/bond buffer.
Preserves Roth tax-free growth for later life or heirs.

A Practical Starting Sequence (your details may differ)

Spend what you can’t control: pensions, annuity income, rental net income, and RMDs when they begin.
Use taxable accounts next: spend interest/dividends; realize long-term gains up to a target bracket; harvest losses when available.
Draw from tax-deferred or convert to Roth to fill your chosen ordinary-income bracket in low-tax years (often between retirement and RMDs/Social Security).
Save Roth for last: keep tax-free flexibility for late-life spending, big one-time needs, or legacy.
Use HSAs tax-free for qualified medical costs (including Medicare Parts B and D).

Smart Tactics that Add Value

Roth conversions in low-income years to reduce future RMDs.
Capital gains harvesting to reset cost basis at low tax rates.
Qualified charitable distributions (QCDs) from IRAs after age 70½.
Asset location: put tax-inefficient assets in tax-deferred accounts, high-growth in Roth.

How a Fiduciary Financial Advisor Helps

Build multi-year tax projections that coordinate RMDs, Roth conversions, ACA/IRMAA thresholds, Social Security timing, and state taxes.
Select which lots to sell, rebalance tax-aware, and maintain a cash reserve to navigate markets.
Monitor and adjust as laws and life change, working with your CPA and attorney.

Conclusion

Ready to turn savings into a reliable, tax-efficient paycheck? Let’s design your personalized retirement income plan—and document the order of liquidation that helps you keep more of what you’ve earned.

This is being provided for informational purposes only and should not be construed as a recommendation to buy or sell any specific securities. Past performance is no guarantee of future results, and all investing involves risk. Index returns shown are not reflective of actual performance nor reflect fees and expenses applicable to investing. One cannot invest directly in an index. The views expressed are those of Silver State Wealth Management and do not necessarily reflect the views of Mutual Advisors, LLC, or any of its affiliates. Investment advisory services offered through Mutual Advisors, LLC, DBA Silver State Wealth Management, an SEC registered investment adviser. Silver State Wealth Management nor any of its members, are tax accountants or legal attorneys, and do not provide tax or legal advice. For tax or legal advice, you should consult your tax or legal professional.

How a Financial Advisor can Help Develop a Tax Advantaged Income Plan