January 18, 2024
Retirement Taxes: What You Need to Know
Retirement brings new financial considerations, particularly concerning taxes. Income from sources like Social Security, 401(k) distributions, pensions, and savings accounts can all be taxable. Social Security benefits may be taxed depending on your “combined income,” with 50% or 85% potentially subject to taxation. Traditional retirement accounts are taxed upon withdrawal at your ordinary income rate, while Roth accounts offer potential tax-free income if certain rules are followed. Other income sources like annuities, pensions
