Individual Tax Solutions
“No One’s Crazy”
That’s a quote from one of our favoite books about money, called “The Psychology of Money” by Morgan Housel. If you get nothing else from this web-site, take this recommendation to purchase this book!
Everyone has opinions about money.
- How to save it
- How to invest it
- How to spend it
And you will likely hear as many opinions about what to do about money as there are people to give them. Here’s the thing. We agree with Morgan. No one’s crazy! Whether you think your best move is to stuff your mattress with cash or to buy the latest and greatest cryptocurrency, there’s no right or wrong. Read the book. Trust us, you’ll feel a lot better about what you’ve done with money up to this point in your life, no matter where you are in your plans for retirement, or anything else!
But when it comes to taxes, one thing is abundantly clear to me. Many of the taxes we pay, especially in retirement are voluntary! For example, you know that saving money in a 401(k) or IRA will likely save you money now. Have you also considered that it may cause significant tax headaches in the future?
What can you do about that?
The answer is, more than you think. We do not give tax advice. We do not do taxes. What we do is to raise your awareness about what you could be doing to reduce your income tax liability in retirement, maybe even to ZERO!
For example: What is a Roth? How can you save in a Roth? What would your retirement tax picture likely look like if you had Social Security and Roth income? Could you take distributions from a taxable IRA or 401(k) as well and still lower your taxes to ZERO or near ZERO?
What is a LIRP? This is a unique and very well-known tax strategy deployed by the ultra-wealthy for nearly a century that you’ve probably never heard of, using properly designed life insurance policies. Life Insurance Retirement Plans or LIRPS are becoming more and more popular as people realize their tax deductions get smaller and smaller it seems as you get older. Did you know that life insurance is considered to be one of the top five tax subsidies in the United States tax code? Would it be worth your time to find out why and how you might benefit from understanding how to use this product for your own tax planning?
Ever been advised to give something to charity to save on taxes? Doesn’t sound very appealing, does it? But do you know there are specific charitable giving strategies that can improve your tax picture and provide you with additional income in retirement?
Click here to schedule a free discovery meeting to learn some of these concepts. You’ll be surprised how a little tax planning now could feel like a ton of tax planning later!
Get Me to Zero Strategy
Is a tax-free retirement income possible? For many Americans the answer is a resounding YES! The reason many people end up paying taxes in retirement is because they failed to plan with a goal of ZERO income taxes while they were working. There are some excellent books available about this unique yet popular tax planning strategy. This may not work for some who have taxable pension income but for the majority of Americans who no longer have access to a defined benefit monthly pension, it is the most important strategy to learn about while you are still working. We call it our Get Me To Zero strategy.
Tax or Legal Advice
Vital Tax Solutions, Inc., does not offer tax planning or legal services, but may provide references to accounting, tax services, or legal providers. They may also work with your attorney or independent tax or legal advisor.
All written content is for information purposes only. It is not intended to provide any tax or legal advice or provide the basis for any financial decisions. Please consult a qualified professional for assistance with any tax or legal issue to review the implications.