nun
Thinks s/he gets paid by the post
- Joined
- Feb 17, 2006
- Messages
- 4,872
Just interested to see what our planned tax brackets are in ER.
I'm not sure this question even makes sense. As recently as 10 years ago the bracket rates were 15-28-31-36-39.6. How likely is it that by the time the question applies the brackets we have now will even apply? CG rates follow similar or wilder oscillations over time as may the taxation of Social Security.
It all depends on how you have managed your money and how you will manage it in ER. If you are heavily invested in tax deferred accounts, and if your min withdrawls are high, you may find youself in a high bracket. We have very little in tax deferred accounts, mostly in taxable accounts. We are not ERd yet, but I'm currently trying to shape our investments so that the overall tax bite is 10%. Investing in tax free (incl AMT free) munis and moderate dividend payers in about a 40/60 ratio (muni/stock) we think we can get there.