Because the U.S. has progressive tax rates, reducing your Taxable Income will conversely reduce the amount of tax you owe at a progressively higher rate! In this True Vine Letter, I explain why it is important to understand your marginal tax bracket and we look at some strategies for reducing income taxed at higher rates.
Understanding Qualified Charitable Distributions
Understanding Required Minimum Distributions From IRAs
All assets in retirement plans must eventually be distributed to their owners or their beneficiaries (if they are deceased). The Internal Revenue Service (IRS) has structured the IRA rules so the advantages of tax deferral do not last forever. In this Letter we will look at “Required Minimum Distributions” (RMDs)—the amount that must be distributed each year for certain IRA owners.