Phil Collins sings ( forgive me technically Genesis) “Just as I thought It was going all right, I found I was wrong when I thought I was right.”
I am re-evaluating all of my retirement plans. For years, I have put money in TAX DEFERRED plans. You probably have too! The idea behind that is that I would be in a lower tax bracket when I retired, than I am now. I now see our nation facing an incredible multi-trillion dollar deficit. There is only a few ways out. One is for the government to stop spending, which I do not see entirely happening. The other way is raise taxes. Now I had to say the word raise taxes, but I do not think anyone at this point can really believe that taxes are going to go down or stay the same. That leaves, taxes going up. That points us potentially in a higher tax bracket when we retire. Add the fact that some of us will lose our biggest tax write offs, our home mortgage interest and the deduction of our children which hopefully have moved out in 30 years, where does that leave you?? HIGHER TAXES, not lower taxes. I now think it is better to pay tax on my seeds rather than my harvest.
I am changing my retirement strategy. You can too. Ask my or your financial advisor how to have a completely or mostly tax free retirement income. It is never too late to change paths.
Thanks for reading..
Eric Wilson is President of I Sell Health, Inc. A Chicago based company. He covers Illinois, Indiana, Wisconsin and Ohio. He can be reached toll free at 888-448-5370 or online at www.isellhealth.com.