Less than one percent of last year’s returns got audited.
The profit on investments that you hold for less than a year and then sell are considered short term gains and are taxed as ordinary income. Investments you hold longer than one year are taxed at a lower rate, a long term capital gains rate.
College is a very expensive experience. Congress and the IRS have given us a few ways to offset education costs.
Tax deductions lower your taxable income. Tax credits provide a dollar-for-dollar reduction of your income tax liability.
The tax information has begun to arrive. Open those envelopes!
Congress and the IRS decided that you cannot leave your pre-tax retirement savings growing forever tax-deferred, so they chose 70½ for you to begin mandatory withdrawals.
Current thinking has 65 as the normal retirement age and that’s because at one time a worker could collect full Social Security benefits at age 65.
Almost 60 is technically 59½, the age you finally can get at those dollars you have been stashing away for years.
Age 55 seems to be a magical number. It’s the elusive goal for retiring early!
Many birthdays are key to successful retirement planning, but I thought I’d outline the ones that are key to retirement success.