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Kick the IRS to the Curb in Retirement


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  That 401(k) or traditional IRA you've filled with your hard-earned money could turn into a tax bomb. Before it blows, see if a Roth could help rescue you.

The article "Kick the IRS to the Curb in Retirement" from Kiplinger discusses strategies for minimizing tax liabilities in retirement. It highlights the benefits of moving to states with no income tax or low taxes on retirement income, such as Florida, Nevada, or Wyoming. The piece also explores the advantages of investing in tax-efficient vehicles like Roth IRAs, where qualified withdrawals in retirement are tax-free. Additionally, it suggests considering municipal bonds, which offer tax-exempt interest, and health savings accounts (HSAs) for tax-free medical expense withdrawals. The article emphasizes the importance of planning ahead, understanding state tax laws, and possibly consulting with a financial advisor to tailor a retirement plan that reduces tax burdens, thereby allowing retirees to keep more of their hard-earned money.

Read the Full Kiplinger Article at:
[ https://www.kiplinger.com/retirement/kick-the-irs-to-the-curb-in-retirement ]

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