Retirement Planning Guidebook Chapters 10 - 13
Chapters 10, 11, and 12 deal with Tax Planning, Legacy and Incapacity Planning and Non-Financial Aspects of Retirement. Chapter 13 is a summation of all previous chapters, gathering all of the action steps that were at the end of each chapter in one place for reference. Chapter 10 notes on Tax Planning: I already knew most of the things in regards to taxes and retirement plans, but learned a lot about the "Social Security Tax Torpedo" and will need to model how that will affect my retirement spending and distribution. It's a bit of tricky math. Because your "combined income" that the IRS looks at to tax Social Security is linear, it feels like the Social Security tax should be roughly linear, but extra income could reclassify a dollar of Social Security that was subject to 0% or 50% tax now 85% tax just by increasing $1 in income. And because it doesn't change with inflation, it's been affecting middle income retirees more than the wealthy. This was suc...