We have populated yearly numbers for form 8606. i noticed they seem to have relevance when we do sep conversions to roth. those are all done. I believe the basis amounts help reduce the taxable amounts since they go down after following the formulas? Now all those are done, how do we use the remaining total basis to help with taxes? how are they applied? I asked my adviser if they help with RMDs and he said 8606 has no bearing..so when do i use the amounts to offset and what do i offset against? is there a link that explains a simple explanation?
