My name is XXXXX XXXXX I am 72 years old. I have two IRA accounts, one which is doing OK and a second, smaller one which I would like to close in order to pay off some debts and for other expenses. I would like to withdraw $35,000 from that account this year and the balance of $27,000 in January, 2010. I am concerned that this would put me in a higher tax
bracket, and I want to know how much I could withdraw without having that happen.
This year my total income was $68,550 and my itemized deductions
were $14,696. After the $3,500 allowance for a single person,my taxable income
was $50,354.The tax on that was $8608. The federal tax
that was withheld from my social security and pension was $8325, and I owed and paid $258.
My account wants me to leave this money untouched, but I prefer to pay down debt and so want advice on how much I can safely withdraw without going into a new tax bracket.I'm a retired social worker living on a tight budget.