Know State Tax Rates Before You Move
Many retirees make the decision of moving to another state to finally get the life they worked for all their lives. However, beware of taxes, because they are different!
It’s always good to check which are the main costs and laws for the state you’re about to move in. There are many online resources where you can check them out, including this very website. There’s a good chance this change in federal tax law could prompt more retirees to consider relocating.
2 thoughts on “7 Clever Tax Strategies Every Retiree Should Know”
I’m 72 1/2 I cant retire because of credit card debt I hav good credit but 33k in credit card total What do you suggest? I have never been late on my payments
I have concerns with the advice given.
1) According to IRS Publication 590B, you must be 70 1/2 to make such a contribution, not 70. Also, the limit is $100,000 not 4100,000, as your article suggests.
2) The advice to rollover to a Roth as soon as possible may cost tax money. Had one done it in 2017 the rates would have been higher than they will be in 2018. The issue of one’s personal marginal tax rate is not even mentioned. If one is in a 25% marginal tax bracket this year because of unusually high income, but expects to be in a 15% marginal tax bracket next year, your advice to do it as soon as possible will cost the tax payer money.