Just a few extra years of work can make a difference in retirement security. That’s according to a new report by the Center for Retirement Research at Boston College. The report, known as The National Retirement Risk Index, shows that more and more households won’t be ready for retirement at age 65. That figure has jumped from 30 percent in 1989 to about 50 percent currently. “While many Americans despair of ever being able to retire,” Prudential Retirement CEO James McInnes said in a statement, “the reality is that with a few extra years of work and a delay in taking Social Security, they can increase their chances.” Prudential was the exclusive sponsor of the index. –Allison Landa [taken from http://www.OhioIncomeAdvisor.com]
WASHINGTON — Taxpayers can get the most out of various tax benefits and get a jump on preparing their 2013 federal income tax returns by consulting a newly revised comprehensive tax guide now available on IRS.gov.
Publication 17, Your Federal Income Tax, features details on taking advantage of a wide range of tax-saving opportunities, such as the American Opportunity Tax Credit for parents and college students, and the Child Tax Credit and Earned Income Tax Credit for low- and moderate-income workers. It also features a rundown on tax changes for 2013 including information on revised tax rates and new limits on various tax benefits for some taxpayers. This useful 292-page guide also provides thousands of interactive links to help taxpayers quickly get answers to their questions.
Publication 17 has been published annually by the IRS since the 1940s and has been available on the IRS web site since 1996. As in prior years, this publication is packed with basic tax-filing information and tips on what income to report and how to report it, figuring capital gains and losses, claiming dependents, choosing the standard deduction versus itemizing deductions, and using IRAs to save for retirement.
Besides Publication 17, IRS.gov offers many other helpful resources for those doing year-end tax planning. Many 2013 forms are already posted, and updated versions of other forms, instructions and publications are being posted almost every day. Forms already available include Form 1040 and short Forms 1040A and1040EZ.
IRS YouTube Videos/IRS Tax Forms and Publications: English | Spanish | ASL
Page Last Reviewed or Updated: 23-Dec-2013
So your child’s been accepted to the school of his or her choice. Exciting, right? Absolutely – and then you see the expenses. Forbes has tackled the question of raiding your investment accounts to fund educational costs. The answer: It depends on your situation. First, ask yourself how you plan to access the money. Forbes lists three methods: a hardship withdrawal, which is subject to a 10 percent penalty under certain circumstances; borrowing from your plan; and using IRAs. Using IRAs is considered perhaps the best solution. While you may still be taxed on the withdrawal, it will likely not be very much money. Also, find out what taking out the money will cost you, and how it will affect your retirement. The answers to all these questions should lead you to your own answer. –Allison Landa [taken from http://www.OhioIncomeAdvisor.com]