Ten thousand people turn 65 every day in the U.S.1 In fact, the number of retired baby boomers increased by 3.2 million from 2019 to 2020 alone.2 By 2060, 23% of the population will be 65+ and likely within range of retirement.3 But, even though the five years prior to and after retirement are the most critical for tax planning, survey data shows many of them are unprepared for tax time.
Tax Awareness
Do you know?
Almost half of retirees said they didn’t understand how taxes would impact their retirement.4
Gauging Expectations
Are you sure?
38% of retirees said they’re paying different taxes than they expected.4
Stacking Up
Will you be ready?
The majority of retirees are paying more taxes than expected.4
Get the guidance you need.
Our planners can tap in-house tax planning experts to help guide you into and through retirement.
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1. Vandenbroucke, G. (2019, May 30). How Many People Will Be Retiring in the Years to Come? Retrieved January 10, 2023, from https://www.stlouisfed.org/on-the-economy/2019/may/how-many-people-will-be-retiring-in-the-years-to-come
2. Fry, R. (2020, November 9). The pace of Boomer retirements has accelerated in the past year. Pew Research Center. Retrieved January 31, 2023, from https://www.pewresearch.org/fact-tank/2020/11/09/the-pace-of-boomer-retirements-has-accelerated-in-the-past-year/
3. U.S. Census Bureau (2020, February). Demographic Turning Points for the United States: Population Projections for 2020 to 2060. Retrieved January 31, 2023, from https://www.census.gov/content/dam/Census/library/publications/2020/demo/p25-1144.pdf
4. Bearden, B. (2022, June 16). Issue Brief: Retiree Reflections. Employee Benefit Research Institute. Retrieved January 10, 2023, from https://www.ebri.org/docs/default-source/ebri-issue-brief/ebri_ib_561_retrefl-16june22.pdf
Neither Edelman Financial Engines nor its affiliates offer tax or legal advice. Interested parties are strongly encouraged to include your qualified tax and/or legal professionals in these discussions and decisions to help determine the best options for your particular circumstances.
