Tax Efficient Distribution Strategies
It’s quite simple, really.
The strategy you utilize for withdrawing your retirement assets is just as, if not more, important as developing a strategy for accumulating those assets.
Having a tax efficient distribution strategy can help save you money and live better in retirement. That’s our aim here at Tactical Wealth Advisors.
In just three simple steps, you can start on the path toward peace of mind and financial security before, during, and through retirement.
By creating an account with Tactical Wealth Advisors, you can begin viewing and tracking your net worth, income, and spending habits.
This gives you full control over your financial health and security. Not to mention, you get access to the advice and expertise from our financial advisors, who can help you find the right tax efficient distribution strategy for your needs.
Simply create an account, use the guided process to enter your financial data, and start managing your finances from one secure location.
Hit the button below to start your account today and discover financial solutions that you can count on.
You may have assets in IRAs (Individual Retirement Accounts), employer-sponsored (or solo) 401K plans, or even taxable retirement investment accounts.
So, how do you know which accounts your distributions should come from, and in what order, to minimize taxes?
We offer three potential strategies for you to consider, each with its own benefits and tax efficiencies which can help you save more money and live better through retirement.
The tax efficient retirement strategies we employ at Tactical Wealth Advisors include:
- Pro-Rata Strategy
- Sequential Strategy
- Sequential With Roth Conversion Strategy
Contact Tactical Wealth today to learn more or create your account to get started on the financial solutions you deserve.
Retirement tax can be surprising.
When you consider the fact that your salary and other income tends to drop off between the retirement age (67) and age 70, you may think that you’re in the clear when it comes to your tax bracket.
However, Social Security and required minimum distributions (RMDs) from your retirement accounts begin to drive up your taxable income starting at age 70, meaning you actually have a higher taxable income in your later years of retirement.
While you may think that larger distributions from your traditional IRA may be the way to go, that strategy can actually drive up taxes as you move through higher tax brackets in retirement.
So, what’s the answer?
One proposed tax efficient retirement strategy that we offer at Tactical Wealth Advisors is a sequential strategy with Roth conversions built in.
This allows you to smooth your taxes over the course of your retirement to ultimately save money — allowing you to build a tax-adjusted ending portfolio consisting of upwards of $1 million in some cases.
By using intelligent Roth conversions to fill up the tax bracket during the retirement years in which your income drops off and minimum distributions haven’t yet kicked in (between ages 67-70), you can smooth out your tax obligations and ultimately find yourself in a position to have less taxable income when your tax rates are higher.
Interested in learning more?
Simply contact Tactical Wealth to get started with your financial planning account today.
We are happy to offer our expertise when it comes to financial planning, tax efficient retirement strategies, Social Security optimization, risk management, private lending and more.
Get the most out of your retirement and experience peace of mind with your new, tax efficient strategies. Click the button below to create your account and get started.