**retirement planning Alert: The Tax Time Bomb** 🚨

Are you inadvertently setting yourself up for a tax headache in your golden years?

Julia Lembcke, CFP®, sheds light on crucial aspects of retirement savings that demand our attention:

– **Tax Diversification**: It isn’t just about *how much* you save, but *where* you’re saving it!

– **Lifetime Wealth Accumulation**: Are we considering the tax impact across your entire lifetime, not just year-to-year?

Let’s discuss:
– ✅ Max-funding Traditional Retirement Accounts
– ✅ Anticipating Future Tax Rates
– ✅ Navigating Medicare Erma Surcharges

Here are some actionable insights to guide your clients:
– 🛑 Don’t put all eggs in the pre-tax basket; consider Roth IRAs for tax-free growth.
– 📊 Balance immediate tax deferral benefits with potential future liabilities.
– Retirement income strategies should account for the possibility of rising tax rates.
– 🧐 Review historical tax trends to make informed predictions for the future.
– 🤔 Are all eligible deduction opportunities being leveraged effectively?

The bottom line? It’s about embracing tax diversification for a stress-free retirement.

Like, comment, and share for more insights on a secure retirement!

[00:00:00] Maxing Out Your Traditional retirement account Can Create a Ticking Tax Time Bomb

[00:45] Current low tax rates

[01:30] Catch up contributions hurt

[02:15] Income-related Medicare adjusted amount

[03:00] The widow’s penalty

[03:45] The SECURE Act

[04:30] Strategies to minimize lifetime taxes

[05:15] Review employer benefit plans

[06:00] Roth conversions

[06:45] Backdoor Roth IRA conversions

[07:30] Health Savings Accounts

[08:15] Tax loss harvesting

[09:00] Asset location investing

[09:45] Beat conventional wisdom

[10:30] Qualified charitable distributions

Contact us now at (561) 594-0100 or Schedule a Free Conversation with Julia Lembcke today.

Join our Email List:

Schedule a 20-minute Conversation:

Opinions expressed herein are solely those of URS Advisory. All written content is for information purposes only. It is not intended to provide any tax or legal advice or provide the basis for any financial decisions. Material presented is believed to be from reliable sources; however, we make no representations as to its accuracy or completeness. All information and ideas should be discussed in detail with your financial adviser or qualified professional before making any financial decisions.

#retirementplanning #financialplanning #taxes #RothIRA #401k #IRAs #wealthmanagement #financialadvice #retirementaccounts #taxstrategy #Rothconversions #Medicare #taxdiversification #backdoorRoth #HSA
#healthsavingsaccount #investing…(read more)

LEARN MORE ABOUT: IRA Accounts

CONVERT IRA TO GOLD: Gold IRA Account

CONVERT IRA TO SILVER: Silver IRA Account

REVEALED: Best Gold Backed IRA

CFP® Answers: Do You Have A Ticking TAX Time Bomb?

As tax season approaches, many individuals and families are preparing to file their tax returns and hoping for a smooth process. However, for some, there may be a ticking tax time bomb waiting to explode if they are not properly prepared.

A ticking tax time bomb refers to a situation in which a person or family has unknowingly accumulated a large tax liability that could create significant financial strain when it comes time to file their taxes. This can occur for a variety of reasons, including not properly accounting for income, failing to report certain financial transactions, or not understanding the tax implications of certain investments or financial decisions.

To help identify and defuse potential tax time bombs, it is important to seek the expertise of a Certified Financial Planner, or CFP®. A CFP® is trained to provide comprehensive financial planning and can help individuals and families navigate the complexities of the tax code to ensure they are in compliance and are not caught off guard with unexpected tax liabilities.

One common source of tax time bombs is the failure to report all sources of income. This can include income from freelance work, rental properties, investment dividends, and more. Failing to report this income can result in penalties and interest, and can also trigger an audit by the IRS. A CFP® can help individuals and families track and report all sources of income to avoid potential tax time bombs.

Another potential tax time bomb is the misreporting of financial transactions, such as the sale of stocks, bonds, or other investments. The tax implications of these transactions can be complex, and failure to properly report them can result in a higher tax liability than anticipated. A CFP® can provide guidance on the tax implications of financial transactions and ensure they are properly reported on tax returns.

Furthermore, some people may unknowingly be sitting on a tax time bomb in the form of an underfunded or mismanaged retirement account. Contributions to retirement accounts can have significant tax advantages, but failure to properly manage these accounts can result in unexpected tax liabilities in the future. A CFP® can help individuals and families optimize their retirement savings to minimize their tax burden.

In addition, changes in tax laws and regulations can create potential tax time bombs for those who are not staying up to date with these changes. A CFP® can help individuals and families stay informed about changes in the tax code and make adjustments to their financial plans as needed.

In conclusion, it is important for individuals and families to be proactive in identifying and defusing potential tax time bombs before they create financial turmoil. Seeking the expertise of a CFP® can provide peace of mind and ensure that tax liabilities are properly managed. By working with a CFP®, individuals and families can navigate the complexities of the tax code and avoid any unwelcome surprises when tax time arrives.