John and Judy are in the 12% tax bracket. But when they took $10k from their IRA they had a 50% tax increase. Why? When John died Judy’s income went down by 33% but her taxes went UP! Why? Isn’t interest on municipal bonds tax free? Then why did it cause John and Judy’s taxes
John and Judy are in the 12% tax bracket. But when they took $10k from their IRA they had a 50% tax increase. Why? When John died Judy’s income went down by 33% but her taxes went UP! Why? Isn’t interest on municipal bonds tax free? Then why did it cause John and Judy’s taxes to increase? When Judy took out $20k to take her daughter on a cruise it cost her $9,908 in taxes. Yet when Jane did the same it cost her nothing. And they both have $80k in total income. Why? When Bob took out $10,000 from his IRA his taxes tripled. Why? Why did Bob’s Medicare premiums nearly double when he took out an extra $10k from his IRA? When Jenny, a divorced gas station attendant making $35k a year, inherited an IRA from her mom she lost 25% in Federal taxes. Why? In this book we’re not only going to answer these questions but we’re also going to show you what you should be doing NOW to avoid the stealth tax increases retirees face but are ignorant of…until it’s too late.
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Easy to understand and read I took my time going through this book and read several chapters or sections of chapters more than once. Despite the multiple readings I was still able to finish the book in about 90 minutes. In my opinion, what you learn, or re-learn, from spending an hour and a half is worth its weight in gold.An extremely valuable income and estate tax planning tool. I highly recommend Josh Scandlenâs âThe Tax Bomb in Your Retirement Accountâ for workers and taxpayers of all ages.
A good warning about traditional IRAs The book is short and to the point. It shows the future direct and indirect tax consequences of using a traditional IRA vs a Roth IRA, and recommends either purchasing Roth IRAs in the first place, or converting to Roth in low tax years before collecting social security or having to take RMDs from traditional IRAs.
OK book on Taxes in retirement Pretty much a complete copy of the great Ed Slot book only greatly condensed. Obviously written by a CFP who has watched and read from the Great One…The Father if the stretch IRA.