Hi JimPK!!
You've two issues here with interplay.
Withdrawals from an IRA in your situation is taxable as ordinary income. Also if your total Adjusted gross income is less than $27,700 (assuming you are married) you will pay no tax.
But.... With other income, social security can become taxable. If you are married, and your "combined income" is over $35,000, then 50-80% of your social security becomes taxable income, and you get to the $27,700 faster.
Combined income would be 1/2 of your social security plus the amount you withdraw from your IRA (in your example).
So the math is a little squirrelly, but if you have enough income, you will pay some taxes.
The tax rate begins low, so depending on how much you take out, it would not be much tax. But if 1/2 of your social security plus your IRA withdrawals is greater than $35,000, you will likely pay tax because a chunk of your SSI becomes taxable and that probably drives you over $27,700 in AGI
Does that help? I hope that I answered your question this time.
Marty
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