From Savvy Saver to Smart Spender: How to Pick a Tax-Wise Retirement Withdrawal Strategy in Bloomington, MN

Updated for new retirement withdrawal rules from the SECURE 2.0 Act. Winner of a 2022
Readers' Favorite
Book Award. Recommended by Kirkus Reviews.
You may have spent years
saving
for retirement. But have you thought of the best way to
use
the money you saved? How you withdraw from your IRA, 401(k), and other accounts can have a major impact on how much you will pay in federal income taxes during retirement. This book shows how to develop your own tax-wise withdrawal strategy. Topics include:
-- Why
Conventional wisdom
-waiting to use "tax deferred" 401k and IRA accounts until Required Minimum Distributions begin at age 72- can lead to
paying
more taxes than you need to
.
--
One simple change
can
save thousands of dollars
in federal income taxes.
-- You can
implement
the change
without new investments, purchases or fees
-just use your existing accounts.
-- Evaluate whether you can save in taxes by using an online
Retirement Tax Saver tool
-- Use the Retirement Tax Saver tool to pick your winning withdrawal strategy and
estimate how much you could save
over the course of your retirement years.
-- Why you can and should implement a withdrawal strategy
now
to take full advantage of the strategy
before 2026 when the current tax cuts expire.
-- Design your own personal strategy that takes into account your tax deferred and other assets, your Social Security benefits, and other sources of income. (Yes,
Social Security can be subject to federal and even state income taxes
!)
-- Find out
which states tax Social Security
-and how a withdrawal strategy could save you even more if you live in a state with income taxes.
When I prepared for semi-retirement, I could not find information to guide me on how to withdraw from retirement accounts tax-efficiently. I decided to create the Retirement Tax Saver tool. I thought the information I learned from the tool was important to share with others so I wrote the book,
From Savvy Saver to Smart Spender: How to Pick a Tax-Wise Retirement Withdrawal Strategy
About 80 percent of retirees wait to use tax-deferred accounts such as 401(k) and IRA accounts until they "have" to withdraw from them at age 72 (when Required Minimum Distributions kick in for most people). That "Conventional" approach, however, can wind up costing a lot
more
in taxes in the years
after
72. This book shows you a better way that takes advantage of lower tax rates before you reach age 72.
Married and single filers can use this book and the Retirement Tax Saver tool to Implement a simple withdrawal strategy for retirement that could save you thousands, or even tens of thousands, of dollars in taxes.