In this post I cover the 2021 and 2022 contribution limits for the the most popular types of retirement plans. This is a helpful reference for eligible participants of these plans.
Know Your Marginal Tax Bracket
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.
Get Paid to Save for Retirement with the Retirement Savings Contributions Credit
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.
Understanding How IRAs Work
Individual Retirement Accounts are an important part of the investing landscape faced by Americans. They offer long term investors the potential for significant tax savings. In this Letter, I review the essential components of IRAs. Subsequent Letters on more complex IRA related topics will build upon this foundation.