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There Is No Age Limit for the End of Taxation - MSN - US Money
Taxation of certain income you receive has no expiration date, regardless of your age. With one exception, you may no longer be subject to paying taxes if Social Security is your only income.
If you continue to work, you cannot stop paying into Social Security and Medicare even after you start receiving benefits. Social Security is a pay-as-you-go system. Workers today are paying for current Social Security recipients.
Many seniors qualify for higher tax deductions depending on their income type. As part of your retirement plan, you should understand how Social Security and your other retirement income may be taxed. You may be able to reduce your tax liability in retirement by timing your withdrawals and using tax-free income sources, such as a Roth IRA or 401(k). You should make Roth conversions before you turn 63 if you plan to start Medicare at 65, or you could find yourself subject to IRMAA (Income-Related Monthly Adjustment Amount).
The Smart Asset Team wrote an article on the importance of knowing your tax liability when you retire. To obtain a tax estimate as you prepare to retire, speak with your tax advisor.
This posting is presented for informational purposes only and does not represent legal or financial guidance. Any opinions or interpretations presented are either those of the original author or, in the case of articles authored by the AMAC Foundation, are the opinions of AMAC Foundation staff, originally trained and accredited by the National Social Security Association (NSSA) and certified via the AMAC Foundation. Any links included in the article are valid on the posted date; socialsecurityreport.org cannot guarantee the duration of the links’ validity. NSSA and the AMAC Foundation and its staff are not affiliated with or endorsed by the Social Security Administration or any other governmental entity. To submit a question, visit our website (https://amacfoundation.org/services/) or email us at ssadvisor@amacfoundation.org. Because we are a non-profit organization, there is no charge for these services.