Jul 6, 2021
The tax laws surrounding retirement accounts are extraordinarily complex and astoundingly confusing. The average taxpayer doesn’t just know what they’re up against; many financial advisors barely understand them either. For so many Americans, this leads to tax penalties, complications, and a whole lot of frustration, both now and decades down the line.
Joining us to talk about why this happens–and what to do about it–is my good friend, teacher, and mentor Ed Slott. If you haven’t listened to my previous conversation with him on Episode 31 of this podcast, I would highly recommend you do so before you dig into this one. Ed is America’s IRA expert, and in his new book, The New Retirement Savings Time Bomb, he shares important information about the latest threats to retirement savings and how to avoid them.
In this episode, Ed and I talk about why your IRA or 401(k) might be turning into a ticking time bomb of unpaid debt, how to stop your Social Security check from going entirely toward paying tax in retirement, how we may see the tax code change during President Biden’s time in office, and how to rethink your assets so you can safely take money out of your accounts and grow tax-free.
In this podcast interview, you’ll learn:
- Why your financial advisor probably isn’t keeping up on changes to the tax code concerning retirement accounts.
- What makes an IRA or 401(k) a uniquely complex financial asset–and how changes to the tax code are putting you at greater risk of paying even more tax later in life.
- Why the Roth IRA is the greatest planning tool ever created.
- How to take advantage of low tax rates while they’re still here–and why they’re highly unlikely to change before 2022.
- What makes the 10-year rule on inherited IRAs so dangerous–and why so many people are going to lose their inherited wealth when they’re in their top tax brackets.
- The difference between tax preparation and tax planning.
Get Today's Show Notes
To get a full recap of today's conversation, including the biggest takeaways, transcripts, and links to all the resources mentioned, visit GuidedRetirementShow.com/45
Learn More about Retirement Planning
Find out more about retirement planning and Barber Financial Group, by visiting BarberFinancialGroup.com