There are many significant considerations to plan for with taxes in retirement. Retirement savings are crucial, but Social Security, investments and pensions are also important. Will you have additional income sources once you’re retired? Knowing your tax rate and how those rates could change once you retire is also an essential piece of your plan.
There are four primary account types to consider that all have distinctive advantages: Tax-Deferred, Roth, Taxable and Health Savings. Having the right blend depends on several variables, including your current and retirement tax rates and financial preferences. Sarah Williamson CPA can help you answer these questions to optimize your retirement.