income tax
Considering Income Tax Rates in Retirement
Many of us have looked to retirement as a time when we become free–well, more free–of the federal income tax burden we carried during our working years. For many retirees, that is the case, But for higher earners and those…
Ask Rusty – Should I Retire at 65 or 67? And What About Earnings & Taxes?
Dear Rusty: I’m just trying to figure out how to determine whether to retire at 65 or 67 and, if I retire, approximately how much could I make outside of my Social Security without being overly taxed. Signed: Thinking About…
Tax Season is at a midpoint, and Social Security taxation is on many minds
Tax season is the time when many of us are reminded of the daunting impact that income taxes–state and federal–have on our financial situation. And, as the tax season rapidly moves toward its April end, not being fully aware of…
Taxation of Social Security Benefits: A Stealth Tax Increase
A series of inflation-driven cost-of-living adjustments can be both a positive and a negative for retirees, as many will find out when filing their federal income tax returns in future years. This is simply because the thresholds for federal income…
How Are Social Security Benefits Taxed?
More than half of the 65 million Social Security recipients pay taxes on their benefits. The amount of taxes you will pay depends on your income, including retirement, survivor, and disability benefits, and filing status. Kemberley Washington and Kim Porter…
Understanding the “Taxability” of Your Social Security Benefits
It comes as a blunt surprise to many folks, but the monthly benefits paid to them out of Social Security can be subject to federal income tax. Yes, even though the proceeds are the result of taxes they’ve already paid,…
Understanding Taxes and How They’re Assessed
From Federal Income Taxes to Unemployment Taxes, with Social Security taxes (FICA) in between, the Motley Fool’s Christy Bieber explains what’s taken from your paycheck in an article posted on finance.yahoo.com’s News page. It’s a timely refresher on our tax system, given…
Strategic Thinking on Deferred Compensation Withdrawals
With hundreds of thousands of 401k and IRA millionaires now looking at using these funds to support retirement, its time to recognize the importance of tax-effective strategies for withdrawals. In a post on www.forbes.com, contributor Stephen Chen takes a look at strategies…
Surprise! Your Social Security Benefits May be Taxed
For many folks entering the retirement world with an understanding of what their monthly Social Security benefit payment–the benefit they’ve earned through a lifetime of work and FICA tax contribution–will be, it comes as a surprise at tax time to…
How Taxes Eat Away at Your Social Security Benefits
“Our new Constitution is now established, and has an appearance that promises permanency; but in this world nothing can be said to be certain, except death and taxes.” This enduring statement was penned by Benjamin Franklin in 1789, and rings true…