Twelve Overlooked Retirement Planning Conversations

In a workshop session at Horizons 2026, Don Graves, RICP®, CLTC, CSA, IRMAACP™, delivered a high-energy session challenging one of retirement planning’s most persistent misconceptions: that reverse mortgages are merely “last resort” products.

Instead, Graves positioned home equity as an often-overlooked asset, one that can help advisors address taxes, healthcare costs, liquidity concerns, and retirement income flexibility. In his session, “Expanding Tax Planning With Reverse Mortgages: Twelve Overlooked Retirement Conversations,” he argued that advisors who ignore housing wealth may be overlooking one of the largest and most flexible assets many retirees possess.

“It’s just a mortgage,” Graves said. “It’s not new, it’s not dangerous, and it’s not spooky.”

Throughout the session, Graves emphasized this simple but recurring idea: a reverse mortgage is just a mortgage: not a gimmick or dangerous strategy, but a federally backed planning tool that can create additional flexibility in retirement. At the center of the discussion was the idea of home equity as a “fourth bucket” of retirement income alongside taxable, tax-deferred, and tax-free assets. Graves argued that strategically accessing housing wealth through a reverse mortgage line of credit can help retirees manage income tax exposure, preserve Individual Retirement Account (IRA) assets, and create a more flexible source of retirement income.

What Tax Planning Strategies Can Help Reduce Social Security Tax Exposure?

The first retirement planning conversation focused on Social Security taxation and how additional IRA withdrawals can unintentionally increase ordinary income tax and retirement tax exposure.

Graves used the example of a retiree named Barbara, who receives:

• $24,000 annually from Social Security
• $20,000 annually from her IRA for living expenses

Initially, only part of Barbara’s Social Security income is taxable. When she withdraws an additional $10,000 from her IRA to take her grandchildren on vacation, her provisional income rises enough that up to 85% of her Social Security benefits become taxable.

“The resulting taxes go from $850 to closer to $3,000,” Graves explained, “by simply taking too much and boosting her to another level.”

Rather than taking additional taxable withdrawals, Graves suggested advisors consider whether clients could instead access home equity through a reverse mortgage line of credit. Because those proceeds are loan advances rather than taxable income, they may help clients avoid triggering higher Social Security taxation.

The broader point, Graves noted, is that many retirees unknowingly create avoidable tax consequences simply because they lack flexibility in where retirement income is sourced.

Can Reverse Mortgages Reduce IRMAA and Retirement Income Tax Pressure?

The second conversation centered on Income-Related Monthly Adjustment Amounts (IRMAA), the Medicare surcharges applied when retirees exceed certain income thresholds.

Graves described a scenario in which a retiree needs an additional $20,000 for expenses. If the funds are withdrawn from taxable retirement accounts, the added income could push the client above an IRMAA threshold, increasing future Medicare Part B and Part D premiums.

“She’s going to get a letter from IRMAA saying, ‘You’ve crossed the threshold,’” Graves said.

Using housing wealth as an alternative income stream, he suggested, may help retirees avoid crossing income thresholds that trigger IRMAA surcharges.

As IRMAA thresholds continue affecting more retirees, Graves encouraged attendees to think more strategically about how clients fund larger expenses in retirement — particularly when those withdrawals may have ripple effects on taxes and Medicare premiums.

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