Retired Couple Who Hasn't Claimed Social Security Can Convert $47,500 Before Dec. 31 and Owe $0 Federal Tax. On Jan. 1 the Space Resets, and Whatever They Didn't Use Is Gone

A recent article explains how a retired couple delaying Social Security could potentially do a Roth conversion in 2026 without owing federal income tax. The scenario targets married spouses aged 65 or older living mainly on savings, with no other taxable income. It cites that in 2026 they could move $47,500 from a traditional IRA to a Roth IRA, using deductions that sum to the amount: a standard deduction for joint filers of $32,200 plus $1,650 extra per spouse, and a new senior deduction of $6,000 per person for tax years 2025 through 2028. It notes unused room is lost by Dec. 31 and the “space” shrinks once the deduction ends. Details also cover how conversion income affects Social Security taxation thresholds once benefits begin.