I am often asked if someone can take an income tax deduction for money they gift to their children. Unfortunately, gifts to individuals are not tax deductible: tax deductions can only be taken for gifts to organizations on the IRS list of approved charities.
Social Security will have to cut benefits by 2034 if Congress does nothing to address the program’s long-term funding shortfall, according to an annual report released Tuesday by the Social Security and Medicare trustees.
IMPORTANT: The Coronavirus Aid, Relief, and Economic Security Act (CARES) Act of 2020 contains provisions providing a temporary waiver of RMDs for IRAs, 401(k)s and other employee-sponsored retirements plans for 2020.
If you return to work before reaching your FRA, $1 in benefits will be withheld for every $2 you earn above the annual limit ($18,240 for 2020). For example, if you retire early and go back to work before your full retirement age and earn a salary of $30,000, you’ll be $11,760 over the annual limit.