I know that you all dream of a big income tax refund and what you can do with it. It could be spent on a weekend away or a down payment on a new car or an afternoon at Nordstrom (well maybe women think this).
But here is another and maybe better idea. You can have part or all of your refund deposited directly into your IRA account by the IRS. This means that you can save for your retirement but it would be relatively pain free.
Of course, you will fall under the normal limits of $5,500 per person with some other restrictions. However, you won’t have to save the money to fund your IRA.
I can’t tell you how important it is to save for retirement. Most Americans are no longer on Defined Benefit Pension Plans but on the Defined Contribution Pension Plans. This requires two things that many people are not good at: saving and investing wisely. You (not your company) must save enough and invest it to grow into enough to live on for probably 20 or 30 years after you retire.
A happy retirement is a dream that most of us share but few of us actually get to enjoy. No matter how old you are today, now is the best time to save and invest for retirement.
If you want help, see my book “ACHIEVING FINANCIAL FREEDOM” which is available on Amazon.
Bruce Raine Income Tax Services 