Retirement income can be subject to taxes depending on the specific type of retirement account or benefit you receive and your tax bracket. Here are a few examples of common types of retirement income and how they may be taxed:
1. Social Security benefits: Social Security benefits are generally taxable if you have other substantial income in addition to your benefits. The amount of tax you pay on your benefits depends on your taxable income and tax filing status.
2. Traditional Individual Retirement Account (IRA) and 401(k) withdrawals: Withdrawals from traditional IRAs and 401(k)s are generally taxed as ordinary income at your current tax rate.
3. Roth IRA withdrawals: Withdrawals from Roth IRAs are generally tax-free if you are over the age of 59 1/2 and you have held the account for at least five years.
Showing 50 results of 1483
What you don't know could cost you a fortune. Here's how to make the most of a tax-deferred retirement account and possibly save your heirs a bunch on taxes....
Happy 2025! At Keen Wealth, we're often of two minds at the beginning of the New Year. On the one hand, Tax Day is just around the corner, so we're helping folks put a bow on last year's financials an...
In this episode, we tackle Kay's questions about managing her IRA and Roth accounts in retirement. With significant assets, no LTC insurance, and children in differing financial circumstances, Kay wan...
This year my wife will retire from her job of 28 years. I will continue to work, likely until December 2025. To replace her income, we will start using dividends coming out of an IRA, probably in the ...
It can be pretty amazing how much income one can have in retirement while paying very little tax at all. Here are 16 examples. The post Retirement Spending Is Ridiculously Tax Advantaged appeared firs...
If you receive income such as interest, dividends, alimony, self-employment income, capital gains, or prizes, you may have to make what the IRS terms “estimated tax payments.”...
Irrevocable trusts offer nearly endless possibilities for high-net-worth individuals to reduce their estate taxes and protect their assets....
I recently received an email from a reader asking me about the Earned Income Tax Credit. It made me realize, I’ve written little about tax credits. This is an important topic that early retirees...
Once you retire, how you pay some of your taxes can change. Here's how to get a handle on them so you don't run afoul of the IRS and face penalties....
YMYW friends, welcome to 2025. Today on Your Money, Your Wealth® podcast number 511, we’re revisiting your favorite topics of 2024 as Joe Anderson, CFP® and Big Al Clopine, CPA spitball ...
Even with Donald Trump's win, the future of the Tax Cuts and Jobs Act remains uncertain, so here's how to make the most of its provisions while you still can....
As the calendar turns to a new year, some retirees have tax reasons to celebrate....
I'm reaching out to encourage everyone to contact their representatives and support President Trump's proposal to eliminate income taxes on Social Security benefits. Here's why this matters: Key Point...
In the first few hours of 2025, over 229 U.S. workers earning over $50 million per year will have likely paid all their Social Security taxes for the entire year....
Does it make sense for Alex and his wife in Massachusetts to do Roth conversions now to the top of their eventual tax bracket? Steve in San Diego got serious about saving for retirement after Joe and ...
If you own a business and have young children, here’s a tip with the potential to transfer wealth to the next generation tax-free....
The Trump tax cuts are set to expire at the end of next year. And when they do expire, it means nearly everyone – including you – will be paying…...
Are you ready to simplify the complexities of high-net-worth tax planning and maximize your retirement savings? Today, we unveil key strategies with our expert guest, Jeremy Green. In this Retirement&...
There’s a Stealth Tax retirees and near-retirees often don’t know about until they inadvertently trigger it, increasing taxes they often could have avoided or reduced....
My wife and I (61 & 58) have several retirement accounts: Trad 401(k), Trad IRAs, Roth IRA, I-Bonds, and taxable brokerage. We will both have pretty good SS income as well. Planning to retire in 2...
Those at or near retirement need to account for slightly higher tax brackets, as well as higher Basic Personal Amount and OAS clawback thresholds, among other changes for 2025. The post What retirees ...
One of the reasons my team at Keen Wealth puts so much care into personalizing our comprehensive planning process is that there's no one path to a successful retirement. Yes, we often incorporate some...
Will the TCJA Estate and Gift Tax Provisions Really Sunset?...
But the increase should be small and gradual. Enough with politics. It’s time to get back to solving problems. Not surprisingly – given my slant on the world – the problem I care mos...
Consider this host of strategies to help clients keep more of what they earn....
Depending on your income and other factors, you many not need to file a tax return. However, in some cases you may want to file anyhow. The post Do You Need to File a Tax Return This Year? appeared fi...
It’s been 40 years since the social security tax was imposed back in 1984. And the AARP has done nothing to repeal that tax. That seems like it should have been a year after year priority with e...
Let me be super clear about 2 things up front: I (68, retired) am very fortunate to have enough saved and invested for my retirement, including maxing my 401k and IRA over 40 years and paying off my h...
Here's what you need to know about the kiddie tax, how to figure out how much it'll cost, and whether it's required for you to pay. The post The Kiddie Tax appeared first on The White Coat Investor - ...
A bill has been introduced to eliminate taxes on Social Security benefits....
These 2025 top-retiree-friendly countries have an added benefit: potential tax savings for you and your heirs....
How might a second Trump term affect your tax bill in retirement — or the inheritance tax bill for your heirs? This pro has three predictions....
I was annoyed that the online calculator I previously used to estimate my taxes wasn’t updated for 2024 tax data. So I decided to just build one myself. I wanted it to be simple and quickly answ...
Since the first robo-advisors came on the market, I have been “robo-curious”. Robots could manage hundreds of individual positions while creating daily tax loss harvesting opportunities. B...
Hey FAANG FIRE! I just returned from 7 days in Oahu, Hawaii. All contributing towards my goal of increasing spend on vacation that I mentioned in my last post where I outlined my current spending. We ...
Joe Anderson, CFP® and Big Al Clopine, CPA spitball on paying the tax on your Roth conversions on Your Money, Your Wealth® podcast number 507. If you take the money out of your retirement acco...
Today I have a guest post from personal finance enthusiast Dan Griffin. While Dan is not a practicing financial planner, he passed the CFP exam in 2010 and holds an Executive Certificate in Personal F...
How could Trump’s tax policies impact your retirement plans? In this episode, we break down the potential changes, from tax cuts to shifting brackets, and discuss what they could mean for your s...
Consider implementing these four strategies before December 31 to potentially improve your tax situation for this year and the future....
Let's review tax reduction strategies that can help you minimize your tax burden and keep you in a lower tax bracket. The post Top 10 Ways to Lower Your Taxes and Lower Your Tax Bracket appeared first...
RMD mistakes can lead to IRS penalties and in some cases, more taxable income than necessary....
When picking which type of 401(k) or IRA is right for you, consider whether you want to save a little on your taxes now — or save a lot more on them later....
There’s a lot of enthusiasm for Roth IRA conversions and Mega Backdoor Roth IRAs—and for good reason. Paying taxes upfront on your retirement accounts can be a savvy move, especially if yo...
TAX BILL CALCULATOR COULD YOUR TAX BILL IN RETIREMENT BE TOO BIG? If you’ve saved for retirement in an IRA, 401(k), or other tax-deferred vehicle, you have a tax bill…...
Why wait until you're gone to help the people and causes you love? Get a jump-start on gifting and see all the good you can do....
A few years ago, I came across a profound quote by Seneca in Ryan Holiday’s The Daily Stoic: “All the ... Read more...
If you are like many people, you put off finalizing estate tax planning until the results of the 2024 election were in. Now they are in - it is time to move forward....
Spoiler alert: It's the secret weapon of savvy real estate investors. Here's how it works and details about the tools you need to do it....
Your traditional IRA has served you well, but when your heirs inherit it, watch out. Consider some of these strategies to minimize their tax burdens....
Jennifer, 54, plans to retire soon. Her husband, 70, is retired, on Social Security, and dealing with some severe health issues. Jennifer worries about possibly becoming single in retirement, which co...