In today’s world, the responsibilities of preparing for retirement fall upon each individual. When you retire, you will find that income taxes do not stop when you stop working. It is for this reason that age-based tax planning should be an integral part of your overall retirement strategy.
As you’re nearing or are in your 50s, it is very important to be aware of certain milestones that create opportunities for you to maximize your savings opportunities. Some of those important ages to remember include Age 59 ½ when IRA & Savings Plan distributions are allowed and Age 65, when Medicare enrollment begins. These are just two examples of the many essential milestones to remember.
The biggest challenge in retirement is making your funds last a lifetime. Just as a builder uses a blueprint to construct a home, a retiree should have a similar plan for achieving his or her own retirement goals. By being aware of those important dates along the way, it insures that you are taking full advantage of those tools available to you.
This preview article is part of a 12 section Wealth Strategies series. Note that while the article mentions the stateside 401(k) plan, it will still help put you in prime position to create a successful retirement through the Savings Plan. To read the full article in detail, including examples, please click the link or button below:
Be sure to visit Aramcoexpats.com next month for another article in our Wealth Strategies series.