Understand the decision before choosing a direction.

A Roth conversion creates current federal taxable income in exchange for potential future tax free qualified withdrawals. The review process compares current and expected tax brackets, conversion size and timing, cash available to pay tax, Medicare premium thresholds, required distributions, charitable and estate goals, investment horizon, and state tax treatment. A conversion should be designed around your specific needs, goals, financial means, and circumstances rather than treated as an automatic strategy.

Beginning with tax year 2026, Michigan allows taxpayers, regardless of birth year, to subtract qualifying combined public and private retirement benefits up to the state’s inflation adjusted retirement benefit maximum. Qualifying benefits generally include qualified IRA distributions and most payments from employer retirement plans, but distributions above the limit or amounts that do not qualify may remain subject to Michigan income tax, and federal tax rules still apply. Review the Form 1099-R, distribution type, filing status, other retirement benefits, and current Michigan instructions with a qualified tax professional before relying on the subtraction.

Long term care protection can hedge the risk that an extended care need creates substantial costs, rapidly depletes retirement assets, or leaves a healthy spouse with too little income and savings. It may be worth considering when that protective need is meaningful and premiums fit sustainably within your financial means. The review should compare traditional coverage, hybrid policies, available benefits, inflation options, waiting periods, exclusions, insurer strength, family support, and self funding capacity so the approach is designed for your needs and goals.

Begin by protecting near term cash flow and gathering death certificates, account statements, beneficiary forms, insurance policies, employer benefits, debts, and estate documents before making major financial changes. The process then addresses survivor income, Social Security and pension elections, insurance claims, account ownership and beneficiary rules, required distributions, taxes, estate administration, healthcare, housing, and investment risk. Decisions should be paced and coordinated with qualified legal and tax professionals so each next step reflects the surviving spouse’s needs, goals, and financial means.