It’s important when preparing for retirement to have a plan. Information is key to having a good retirement plan. You can want to vacation after retirement, but if you haven’t planned for the travel expenses, you won’t be prepared. Did you know that once you turn 65, you are entitled to a a larger tax deduction? Or that you can continue to contribute to your IRA even post retirement? Information like this is crucial to making a well informed retirement plan.
Key Takeaways:
- Social Security benefits can be taxed up to 85%, so go into retirement with a plan, knowing that your check may be less than you’d hoped.
- That said, Americans over 65 can receive a tax deduction, which may give your finances a boost.
- If you plan to travel when you retire, it’s best to take travel expenses into account before you make any travel plans; the expenses can add up!
“While you cannot contribute to a traditional IRA after the age of 70½, you can contribute earned income to a Roth IRA for the rest of your life.”
