Filling 1040 tax form with smartphone calculator and pen

Episode 42: Taxes – The Cost of Paying Later

Jan 21, 2021

Getting a tax break up front when you contribute to your 401k, IRA, 403b, 457 etc seems like a great idea.  But is it? You decide after we walk through an example of paying tax now, or paying it later.

Here are just a handful of the things that we'll discuss:

  • Look at saving $10,000/year for 15 years in a tax deferred account
  • What taxes did you avoid up front?
  • Look at withdrawing the contribution and earnings later in life
  • What are the taxes you will pay in retirement?

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