Chapter-14 Retirement and Estate Planning - 14 Retirement and Estate Planning A variety of tax-sheltered opportunities are available for building

Chapter-14 Retirement and Estate Planning - 14 Retirement...

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14 Retirement and Estate Planning A variety of tax-sheltered opportunities are available for building retirement assets. Tax Sheltering tax laws allow certain income to remain exempt from income taxes or permit an adjustment, reduction, deferral, or elimination of income tax liability. Retirement time in life when most of one’s income changes from earned income to employer-based benefits, private savings, and perhaps income from Social Security and part-time employment. 14-1
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Misconceptions About Retirement Planning You have plenty of time to start saving for retirement … Saving just a little bit won’t help … You’ll spend less money when you retire … My retirement will only last 15 years … You can depend on Social Security and a company pension to pay your basic living expenses … Your pension benefits will increase to keep pace with inflation … Your employer’s health insurance plan and Medicare will cover all your medical expenses when you retire… Objective 1 Analyze Your Current Assets and Liabilities for Retirement and Estimate Your Retirement Living Costs 14-2
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