Anyone with earned income can make a non-deductible (after tax) contribution to an IRA and benefit from tax-deferred growth. But it may not be worth it due (in part) to often overlooked ongoing recordkeeping requirements. For many, the biggest risk and most common downfall is significant: paying taxes again when withdrawing the money in retirement.
Taxes
The American Rescue Plan passed last March included $1.9 trillion in economic relief for individuals and businesses affected by the Covid-19 pandemic. In addition to the popular Economic Impact Payments (stimulus checks) the Plan included tax benefits designed specifically to help families, most notably expansions of the Child Tax Credit (CTC) and the Child and
If you face a tax audit and can legitimately point to the statute of limitations to head off trouble and expense, you should. Why should you have to prove you were entitled to a deduction — or find and produce receipts — if it’s too late for the government to make a claim? Rules are
You can stumble across some interesting things on the internet. I recently encountered a Twitter thread related to the OECD’s pillar 1 proposal, which provided thoughtful insights that are worth sharing. The thread examined how pillar 1 would affect various nations in terms of net revenue gains or losses. That’s no trivial matter. The OECD project envisions billions of dollars in
Today’s column addresses questions about filing first on a spouse’s benefits and then for retirement benefits, filing for retroactive retirement benefits after first taking spousal benefits and whether it’s worth taking the option at 70 to file six months retroactively. Larry Kotlikoff is a Professor of Economics at Boston University and the founder and president