SmartReads

If you have already maxed out your 401(k), you may still have room to save more at work. The amount will depend on federal limits and whether your employer adds money to your account. A mega backdoor Roth could turn that extra room into tax-free retirement savings. Here’s an example of how this strategy could… read more…

Suppose your $750,000 inheritance includes a $400,000 traditional IRA, $250,000 brokerage account and $100,000 in cash. Each piece can create a different tax consequence. Cash may be available immediately, while IRA withdrawals can increase taxable income. Investments may carry a new cost basis. Before using the money, it helps to know which assets can move… read more…

Democrats and Republicans say their tax plans would put more money in household pockets. The November 3 midterm election will decide which party controls each chamber of Congress. The party that gains a majority could shape future tax law, but legislation would still require President Donald Trump’s signature until the end of his term. Democrats… read more…

Social Security’s annual cost-of-living adjustment (COLA) raises your monthly benefit, but a higher Medicare Part B premium can leave you with less of that increase to spend. Most retirees enrolled in Part B have the cost deducted from their Social Security payment. In 2027, the COLA will be 3.6%, with average retirement benefits increasing by… read more…