When most people think of the help that the federal government provides in achieving financial security during retirement, they think of Social Security. While it is true that Social Security provides important retirement benefits for seniors, administering and providing for these benefits isn’t the only thing that the government does to help you afford life after you can no longer work. There are many different accounts which have been created which provide you with tax breaks for investing; and each of these accounts has the effect of the government subsidizing your retirement savings.
You need to know how to take advantage of tax breaks for investing so you can use the help the government is giving you for retirement and so you can put your money to work wisely to achieve financial security.
Kinghorn Law can help. Our legal team will work hard to assist you in understanding accounts that provide tax benefits, such as IRAs. We also offer assistance with all other aspects of retirement planning to people of all ages. Give us a call at (520) 529-4000 to discover more about the retirement planning services that a Tucson retirement planning lawyer can provide. In addition to personalized advice, we also offer answers to questions you have about IRAs and retirement planning including:
- When (and how) can I make a good retirement plan?
- How does an IRA fit into a solid retirement plan?
- How can a Tucson retirement planning lawyer help me?
When (and How) Can You Make a Good Retirement Plan?
The best time to make a plan for retirement is the day you start working. If you begin investing from day one, you are going to be able to grow a nest egg by setting aside much smaller amounts of money over a longer period of time.
Compound interest and the magic of sustained investing over many years will make it possible for you to retire wealthy, even if you do not make a fortune over the course of your career. You may even be able to retire early with enough money that you will enjoy financial security during your golden years.
If your career is already underway or you are getting older, the best time to make a retirement plan is right now. You don’t want to wait another day to begin making smart investment choices. There is an opportunity cost to not investing for retirement, and you can stop incurring this cost and get on the path to financial security if you work with an experienced attorney today to make your retirement plans.
Starting now to make retirement plans is also important because one of the best things that you can do to save for retirement is to take advantage of tax breaks that the government provides for saving. The tax advantaged accounts that you can invest in have annual contribution limits. For each year that you miss a contribution, you’ve given up the chance to have the government subsidize your retirement savings.
If you are ready to start taking advantage of tax breaks for retirement and making the magic of compound interest work for you, you can get started by contacting Kinghorn Law. We will help you to set goals and get on the path towards saving enough for retirement security.
How Does an IRA Fit into a Solid Retirement Plan?
One of the smartest ways to jumpstart your savings for retirement is to take advantage of investing in an IRA. Regardless of your income, you can invest in an IRA and get tax breaks if neither you nor your spouse have a workplace retirement plan.
You may also be able to invest in an IRA and get tax breaks even if one or both of you have workplace retirement plans, provided your income does not exceed maximum limits for single individuals or married couples. Simple and Self-Employment IRAs also make investing in an IRA possible for business owners and the self -employed, even for those with higher incomes.
Because IRA investing allows you to invest money with pre-tax funds, the government’s subsidization of your retirement savings is equal to whatever your tax bracket is. If you are in the 33 percent tax bracket, for example, then the government essentially gives you 33 percent off of the money being put into your IRA. This makes it easier to save.
How can a Tucson Retirement Planning Lawyer Help Me?
Kinghorn Law can help you to understand how IRAs can fit into your retirement plan and can provide assistance with all aspects of making a comprehensive retirement plan. Give us a call at (520) 529-4000 or contact us online to talk with a Tucson retirement planning lawyer about how we can help you.
