Continuing a new series of articles designed to help you begin planning at home for retirement. Second in our series is an educational article on strategic planning for taxes. Retirees can be affected by a variety of taxes — state income taxes, estate taxes and Social Security taxes, to name a few. But the most common tax — the one that all retirees will deal with — is the federal income tax.
Many people wait far too long to begin thinking about how they will pay for their retirement. And most tax strategies have a stronger impact if they are started early… as early as possible. Creating tax-efficient investments is one way to maximize your retirement portfolio. Learn about the 4 tax buckets and how planning for different types of investments with differing tax treatments can significantly impact your retirement income. As tax savings and tax deferments accumulate and compound over the years, it is possible to save tens of thousands of dollars by simply planning ahead and implementing your tax strategies early. [Read more…]