What have you done to help mitigate the risk of rising taxes during your retirement? For many approaching retirement, rising taxes are concerning.
Don’t face Uncle Sam unprepared during your retirement. Having a strong tax plan in place can have a positive impact on the overall amount of money that stays with you in your retirement years. You will need to plan for your future income and taxes owed on that income. For example, you must consider if your social security will be taxed on when taking distributions. For most, but not all, social security is taxable.
Other considerations like pensions, spousal income, dividends from stocks, and other paychecks will have an impact on the amount owed to the IRS. During working years, many have one job, but upon retirement, retirees tend to have multiple streams of income to consider when it comes time for taxation, and all hit differently.
With a strong tax plan in place and a team by your side, you could limit your exposure to excess tax liabilities.