Hello.
I am 60 years and will be retiring from AT&T on 12.2.2021. I have elected a pension lump sum to be rolled into my employee 401K with Fidelity Investments. I also have a small Roth IRA with Fidelity. My plan is to payoff all debts including our remaining mortgage - appx $160K. My questions is if I withdraw funds from my 401K after retirement, what will be the tax implications (e.g., the tax on $160K+ to payoff debt). If the amount will be significant, can I benefit from a tax break by rolling funds into the Roth IRA to withdraw funds to payoff my bills? Will this potentially eliminate the amount of taxes to be paid?
Please let me know your thoughts.
Thank you.
HoneyGee
