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Four retired individuals navigating the maze of Social Security assets during tax season can be a daunting challenge.
The we've got the top five tips to help make this April 15 as painless as possible.
A lot of states have special programs where they might discount property insurance for retirees.
Figuring -- -- -- property insurance really goes to the schools.
You don't have kids in the schools and markets you retired you gotta check with your specific state on that to see whether they've got some program.
To give discounts to retirees on property insurance.
Some do some -- Gifting your depreciated assets is also a great tax -- Takes advantage of the fact that again people lost a lot of money one of the best ways to avoid estate taxes to start getting assets out of your state.
And because your assets have gone down in value.
And because I'm only allowed.
To give a million dollars over my lifetime worth of stuff away.
I can give away assets that were gunned down in value.
Get them out of my estates of -- -- again eventually when they go back up.
I don't -- them anymore I don't pay estate taxes on it and my kids can get that money free and clear if they retiree.
Can get -- -- com.
Down under those thresholds they can make it so that their social securities and tax.
And there are a couple of ways to do that the first is the Roth IRA.
If you convert to a Roth IRA.
Any income you take out of that Roth IRA doesn't show up on your tax return so it doesn't show up on those commercials.
The other thing is using -- tax deferred annuity.
Any income iron within the tax deferred annuity doesn't show up on my tax return either Social Security.
Is taxable to retirees at certain levels.
If I'm single.
And I make over 25000 dollars a year.
50% of my Social Security gets taxable if I'm making over 34000 dollars a year than 85% of my Social Security stacks.
If I'm Mary and I make over 32.
50% -- taxable and I make over 4485%.
This taxable upper retiree has a lot of medical expenses.
Depending on how much they have vs their income they might get a deduction there.
So it's kind of good news bad news bad news account medical expense is good news at least you can deduct some of them so when you're figuring out your itemized deductions.
You putting your medical expenses.
And -- your accountant or Turbotax whatever using we'll tell you.
Based on how much your expenses are and how much your income is what kind of deduction you make in the new stimulus package.
There is a provision that would give 250 dollars to Social Security beneficiaries.
State and government.
Retirees and railroad workers.
So it's a 250 dollar check it's a one time payment.
You know take yourself -- to a nice dinner -- and my understanding is the check will be in the now I don't think you've got to apply for.
I'm -- temple.
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