Understanding Tax Consequences on Retirement Accounts

Tax consequences are one reason retirement planning can be so difficult, leaving many people confused about which accounts best fit their needs.

On today’s episode, we are breaking down the tax consequences on various retirement accounts. Tax consequences are one reason retirement planning can be so difficult, leaving many people confused about which accounts best fit their needs. So we break down each account type and the impacts they could have on your finances.

Tax-deferred accounts like a 401(k) or IRA, allow you to postpone your tax bill until you withdraw that money. But you have to be aware of what you’ll owe in retirement. In contrast, a tax-free account like a Roth IRA allows for qualified tax-free withdrawals if you meet certain conditions. Taxable accounts come in the form of securities or stocks. You can sell your investments at any time without penalty, but you are going to owe taxes. We encourage clients to have a plan that strategically uses each of these accounts, allowing for a diversified tax plan in retirement.

0:00 – Introduction
0:44 – Tax deferred
1:28 – Tax free
2:08 – Taxable

SHARE THIS PODCAST

Facebook
Twitter
LinkedIn

HAVE A QUESTION?

SPIROS VASSILAKOS

For more than 20 years, Spiros has helped families and individuals, corporate executives, physicians and small business owners locally and nationally, pursue their financial goals with thoughtful, tax-sensitive investment guidance. 

Spiros is focused on helping you pursue your greatest objectives with simplicity, transparency and a disciplined process to measure your progress. His guidance is tailored to support your current lifestyle, retirement income needs and legacy goals, while making you feel comfortable at every step of the way. His passion is fueled by knowing he has made a positive difference in the lives of the families and organizations he serves.

SPIROS VASSILAKOS

For more than 20 years, Spiros has helped families and individuals, corporate executives, physicians and small business owners locally and nationally, pursue their financial goals with thoughtful, tax-sensitive investment guidance. 

Spiros is focused on helping you pursue your greatest objectives with simplicity, transparency and a disciplined process to measure your progress. His guidance is tailored to support your current lifestyle, retirement income needs and legacy goals, while making you feel comfortable at every step of the way. His passion is fueled by knowing he has made a positive difference in the lives of the families and organizations he serves.

MORE WAYS TO CONTACT...

(727) 754-8418

AthenianPCG@Cambridgesecure.com