Retiring in 2018? Here Are 5 Tax Moves to Make Now
If you're gearing up for retirement, you probably have a number of questions on your mind. Where will you live? How will you spend your days? And how bad will your taxes be once you're no longer collecting a steady paycheck? If you want to set yourself up for a secure retirement and maximize your tax savings during your final year in the workforce, here are a few moves to get on -- immediately.
If you're retiring next year, now's the time to pump as much money as you can into your IRA or 401(k). The current limits for workers 50 and over are $6,500 and $24,000, respectively, but come 2018, you'll get to put another $500 into your 401(k) for a total of $24,500. This means that if you aren't planning to retire until June 2018, you have another six months to fund your retirement and lower your taxes in the process. If you're retiring at the start of 2018, contribute as much as possible in December.
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Source: Fool.com
