The core reality of retirement planning today involves starting early, funding throughout your working years, and staying focused on your plan. Unfortunately what many people think is the “right” way to prepare for retirement — the 401(k) plan — can actually just exacerbate your problems.
Consider this:
Traditional 401(k) retirement plans may actually work against you once you retire and start taking income. The reason, all of those dollars you deferred will be 100% taxable and count as ordinary income. This looming tax trap may occur at a time that could be devastating to your retirement income, considering that you don’t know what future tax rates will be.
401(k) A Looming tax trap
Request more information on the future of your 401(k) and what you can do to protect your retirement income with The Family Retirement Plan.
