Tax Planning
Planning ahead can go a long way toward keeping your taxes as manageable as possible, especially for those who have reached their retirement years. It can be a bit of a challenge, however, if you don’t understand or even know about all the options available to you. The good news is that retirees do have some control over their tax situations but it’s important that you work with a tax professional to help determine your personal best-case scenario.
For tax preparation, we use deductions, credits, exemptions and exclusions to minimize the effect of the W2s and 1099s you’ve already received.
In tax planning we make strategic decisions that determine the amount in taxes you pay now versus later.
Unfortunately, the future of our tax system is unclear which makes it difficult to prepare for the future with 100% certainty. However, we can lessen the tax burden by addressing the following:
- When it may be a good thing to trigger a tax today in order to save on tax tomorrow
- To Roth or not to Roth?
- How to use tax diversification to bolster your total after-tax dollars in retirement
- Understanding Required Minimum Distributions (RMDs) for your retirement accounts
- How to use the concept of “tax alpha” to bolster after-tax return
- How to evaluate the potential benefit of Roth conversion in your 60s to minimize the effect of Required Minimum Distributions (RMDs) at age 72
At Kreppel Tax Advisory Group, we carefully evaluate the short and long-term effect of taxes on your financial plan, and act as your tax professional to help you devise a strategy to maximize your dollars.