prepaying funeral expenses from an IRA. we are low income. How much can we withdraw in a year and avoid any taxes?

[idlewild94]

We would like to prepay our funerals from an Individual IRA. Our income is below $45000. How much can we withdraw to do this each year and not have to pay income taxes? We are ages 69 and 72.

[Anonymous]

I'm assuming these are not ROTH IRA's, post back in this thread if they are

can't say - that $45,000 probably includes social security and its taxability depends on your other income if any.

one of you is 72 so if that person has an IRA they are required to take an RMD.   the RMD affects the calculation of the taxability of social security.   As a matter of fact that person should have taken an at least 1  RMD possibly 2  last year if they have an IRA.       

[idlewild94]

Our total income of $45000 includes my RMD for this year. $45000 is our TOTAL income period.

[fanfare]

Your tax will depend on how much of your total income is from

Soc Sec

IRA RMDs

dividends and interest

Wages, if any.

Other.

The only way to know is to do a trial tax return with your specific situation.