Download The Findit App

Share Your Posts On These Major Social Networks

Instatag Your Posts to Instagram Facebook + Twitter

News

Qualified Retirement Accounts Could Lose Up to 40% Via Taxes

Taxes on Qualified Plans, Social Security Benefits & Bank Accounts All on the Chopping Block

Mesa 5/29/2019 10:00:00 AM

Throughout your retirement Uncle Sam will demand his share of your hard-earned savings. Often this includes taxing your Social Security benefits. The whole marginal progressive tax system is correlated to take Sam’s cut right off the top.

Many seniors have plans to take up hobbies, sports and volunteer activity to enjoy the time they’ll have in retirement. But every senior should take up a little course on taxes and learn how to game the system. Surprisingly, retirees are shocked to learn that the government is their retirement partner and it wants its share. Over your retirement years, the accumulated taxes paid throughout retirement will be the biggest expense in your golden years. It can be disheartening to discover that state and federal taxes can deplete your assets faster than any other risk in retirement. So taxes in your senior years can turn your retirement dreams into a nightmare.

The first thing you need to understand is the effective tax bracket or blended tax rate that you pay. Second, you need to take inventory of all your income resources and categorize them by their tax status, i.e. taxable, tax deferred and tax-free. You may be able to construct a strategy that can lower your tax bill and, in turn, increase your spendable cash flow. For most consumers, learning the basics of taxation is well within their learning capacity. Many retirees can increase their monthly income by 10 to 15%. If you can learn a card game as challenging as Bridge, you can learn the principles of taxation. But if you want a pro to do it for you then start interviewing financial advisers who are experts in retirement and incorporate tax management as a major component of their plan designs.

The third item to learn is Social Security Benefit taxation. Social Security benefits are the main source of income for most retired Americans. It’s important to discover what forms of income trigger taxation of your Social Security benefits.  There’s a one-page worksheet that can be daunting but mastering it will assist you in your learning experience. There are also web sites that provide calculators that simply require you to input the information.

So learn how to play bridge, golf, and volunteer in your community. But first become a gamer of the tax system. It’s your money. It’s your retirement. Make it the best retirement possible.

Lindahl has authored two books available on Amazon.com The Pros and Cons of Indexed Annuities and Retirement Reality Check.

Portions of this press release contain content from Lightbulb Press with permission.

More News

https://s3.amazonaws.com/findit-pictures/304618/15cbd0ce-653d-42fe-904b-60b160b30688.jpg

Risk & Reward: Everyone Has Some Threshold of Financial Pain

Most people have a predisposition about risk. It’s generally environmental and based on family upbringing. That doesn’t mean it’s necessarily right, it’s just where you are, depending upon your financial literacy. Whether you know it or not, you ...

Released On: 12/27/2019
Views: 1886

https://s3.amazonaws.com/findit-pictures/304618/5c11d9a2-2454-420f-bb42-7d9f0e9c7763.jpg

Establish Your Financial Timeline Based On Approximating Your Life Span

There are mortality averages based on actuarial statistics that can approximate the life expectancy of the general population at large. But “averages” don’t address half of those who will exceed the norms. The more data you put into determining y ...

Released On: 12/26/2019
Views: 1839

https://s3.amazonaws.com/findit-pictures/304618/2daf071e-f113-44d4-ac16-5fc18b17a4e4.jpg

You Can’t Make Good Financial Decisions Without Knowing Your Effective Tax Bracket

For most wage earners and retirees taxes are the biggest expense they’ll ever have over their lifetime. Managing your tax bill effectively is learning to become a “gamer,” by avoiding tax traps and snares along life’s journey. You have to know th ...

Released On: 12/25/2019
Views: 1754

https://s3.amazonaws.com/findit-pictures/304618/225d9f5d-44e6-4e13-b3ee-c07900ef43f0.jpg

Baby Boomers Must Create a Retirement Budget or Risk Losing Control of their Money

It’s rather stunning to discover that most baby boomers have never had a budget in their life, but they’re going to need one in retirement. Retirement may be the biggest motivator for most Americans to create a budget because retirees live month ...

Released On: 12/24/2019
Views: 1857

https://s3.amazonaws.com/findit-pictures/304618/11103acb-9d7e-46de-afaa-81db9a26dd89.jpg

Life Has Milestone Events That Have A Financial Impact

Life just happens, but there are predictable events common to most in our culture and most of those events have a financial impact. Planning for those predictable events can prepare you to meet many of these obligations. The life event checklist ...

Released On: 12/23/2019
Views: 1923

https://s3.amazonaws.com/findit-pictures/304618/32f77340-ae1d-42d4-88d7-222f83292aad.jpg

The Extension of Human Life Expectancy: The Final Frontier of Retirement Planning

The Mortality Revolution may very well be the final frontier in mankind’s quest to beat death. So far, the grim reaper has won every time, but new timelines are emerging in human longevity that are delaying the inevitable. Prepare yourself for l ...

Released On: 12/20/2019
Views: 1756

https://s3.amazonaws.com/findit-pictures/304618/99f307a7-8aeb-4972-bfbf-69d62336bb9b.jpg

Longevity Risk is its Own Risk Multiplier of Every Other Retirement Risk

Living longer is exacerbating over a dozen other retirement risks that threaten the vast majority of retirees and those near retirement. If the status quo continues, the retirement lifestyle of most seniors will be severely pared back. Watch the ...

Released On: 12/19/2019
Views: 1797

https://s3.amazonaws.com/findit-pictures/304618/b1bdcb96-7415-499f-ba7a-36c65b92ee87.jpg

Almost All Retirement Plans Need Serious Updating in Light of the Mortality Revolution

Most of the retirement plans currently operational have a significant flaw. They’ve grossly underestimated the increase in life expectancy over the last generation. But government and military pensions are in the greater financial jeopardy, becau ...

Released On: 12/18/2019
Views: 1769

https://s3.amazonaws.com/findit-pictures/304618/e64bac33-4257-4124-bcea-41317cc82cd6.jpg

Bonds Have Interest Rates, Stocks their Dividends, Annuities Longevity Credits

The law of large numbers and changing demographics of life expectancy is having a significant impact on guaranteed lifetime annuities. Annuity manufacturers are touting their alpha with mortality credits and receiving newfound interest among fina ...

Released On: 12/17/2019
Views: 1789

https://s3.amazonaws.com/findit-pictures/304618/0758fe7d-25a8-4eae-9ce9-e7ca90b52e0b.jpg

Shock! The Age Wave is Upon Us and We’re Not Ready

The last 100 years have seen a significant increase in human longevity compared to the earliest records of mankind. The spike in longevity has caught the Western world by surprise. The effects of this revolution are affecting financial planning a ...

Released On: 12/16/2019
Views: 1742

https://s3.amazonaws.com/findit-pictures/304618/c92a8a0b-8492-4325-b6d4-530642b4667f.jpg

Protecting Social Security Benefits from Taxation

There was a time when Social Security benefits were not exposed to ordinary income taxation. But over the years, small incremental steps were taken to tax the benefits. Maybe “means testing” may be implemented to shore up the vulnerable Social Se ...

Released On: 12/13/2019
Views: 1433

https://s3.amazonaws.com/findit-pictures/304618/369c956a-4a3d-4960-8a83-f992bc8b0b97.jpg

Collateralized Loans from Cash Value Life Insurance Policies & Home Equity Could Be Tax Free

Collateralized loans are not characterized as income and are not reportable, as such, on your 1040 form. And because these loans are not forms of taxable income, they are not counted for the provisional income test for Social Security taxation. W ...

Released On: 12/12/2019
Views: 1901

https://s3.amazonaws.com/findit-pictures/304618/1ba4827b-5a3c-4987-a478-0f09471640b2.jpg

Tax Management in Retirement Requires Tax Management During the Contribution Period

Retirement, as it is today, is inherently crippled by taxes. You may very well have one million dollars in your retirement plan, but Uncle Sam may own up to 40% of it. Health Savings Accounts (HSA) and Roth IRAs need to be reconsidered as a first ...

Released On: 12/11/2019
Views: 1706

https://s3.amazonaws.com/findit-pictures/304618/13faf649-2308-49d3-948d-a7f19e8064d7.jpg

Taxes in Retirement is the #1 Threat in Retirement Cash Flow

Most American workers don’t comprehend the realities of retirement until they’re a few years from retirement date, which is often too late. They’re just too busy dealing with immediate financial pressures to understand the long-haul consequences ...

Released On: 12/10/2019
Views: 1734

https://s3.amazonaws.com/findit-pictures/304618/24e22fdc-181b-40c9-8fc5-7d6bb4855405.jpg

Retirement Facts, Stats and Hacks for the Next Generation

Retirement will undergo a drastic reinvention as the newest generation redefines it's golden years in their investment habits and senior lifestyle goals. https://www.youtube.com/watch?v=RAdtMWBaseY&feature=youtu.be

Released On: 12/9/2019
Views: 1694

https://s3.amazonaws.com/findit-pictures/304618/3d46241d-4d89-4874-a7fa-5a604f1912c4.jpg

Uncle Sam Owns a Chunk of Your Retirement Accounts

Your retirement account is only as big as your tax planning strategy. Your personal exemptions and standard deductions in retirement will not be enough to offset your tax bill. Tax management must be a major component of your retirement plan. Wat ...

Released On: 12/6/2019
Views: 1801

https://s3.amazonaws.com/findit-pictures/304618/8a315712-71ea-4ca2-a116-f4e41d6c5ed3.jpg

Guaranteed Income You Can’t Outlive Can Mitigate Market & Longevity Risk

If you have longevity in your family, guaranteed income for life is a must consideration. If you think it’s reasonable that medical advances will impact your longevity, then guaranteed income for life may need to be in your retirement plan. Watch ...

Released On: 12/5/2019
Views: 1655

https://s3.amazonaws.com/findit-pictures/304618/d5d6ff6d-c69b-4aed-8d08-c0759001e726.jpg

How to Retire Happy

A happy retirement is based on math and science, not on wishful thinking and hoping things turn out right. You need to eliminate debt and risk in retirement and secure reliable income to generate the peace of mind that seniors desire in their gol ...

Released On: 12/4/2019
Views: 1402

Load More wait

Map

LifeSize Solutions, LLC

Get Directions

LifeSize Solutions, LLC

  • 236 N Country Club Dr #2
    Mesa, Arizona 85201
    United States
  • 5202614599
  • 8:00am to 5:00pm Mountain Time