I have a pension and 457 so my Roth IRA is not a big player, but I've like some feedback on a strategy I've developed for my Roth. I'm 56, earn $110k $16k Uber driving on the weekends, own a house worth $700k and owe $200k. No other debt. My pension and 457 will cover most if not all of my retirement income but I'm growing my Roth to provide an extra buffer and a cushier life. I currently have $40k in my Roth and it's invested in 4 CEFs: CLM, CRF, SRV and OXLC. It is generating around $500 per month in dividend income and I have it set to reinvest. Once I turn 60, I can set it to not reinvest and take that out as tax-free monthly income. I'm hoping by the time I'm 60 I'll have around $85k in it which should generate around $1k per month, tax free.

So, what do you think of the idea of using the Roth IRA to invest in CEFs that generate monthly dividend income? It seems ideal to me and I can't see a downside.