Taxes
So many seniors out there need to realize that they might need proper help to pay their taxes on their retirement income. Depending on your sources of income, you could owe federal and state taxes and a series of other local taxes. You could work with a financial advisor to create a tax-efficient retirement plan and minimize your tax expenses. Consider moving to a state with lower taxes during retirement.
Debt
Debt can represent a real burden, especially during retirement. If you are carrying debt into retirement, your monthly payments could also eat away at your savings, leaving you with less money for other types of expenses. Before you retire, make sure you create a plan to pay off as much debt as you can. Consider downsizing your lifestyle, reducing some expenses, and saving money for debt repayment.
2 Responses
The worst cost is the ridiculous property taxes that the blue states have! NJ is the worst. That is a total waste of $$$!
I will sell my house in a split second. Worst decision I ever made was buying a house. Even though I have a low interest rate, I am sick and tired of being nickel and dimed to death with fees by my mortgage company.