Estate Planning Awareness Month: Why Your Financial Plan Should Include an Estate Strategy

Estate Planning, News

Estate planning is about more than deciding who receives your assets after you’re gone. It’s about creating a plan for your finances, your family, your wishes, and the decisions that may need to be made if you become unable to make them yourself.

For many people, estate planning is easy to put off. It can feel complicated, uncomfortable, or like something that only needs to be addressed later in life. But an estate plan can be an important part of a broader financial strategy at many stages of life.

Estate Planning Awareness Month provides an opportunity to revisit the documents, beneficiaries, accounts, and wishes that make up your estate plan—and to consider whether they still reflect your current circumstances.

What Is Estate Planning?

Estate planning is the process of determining how your assets, financial responsibilities, and personal wishes should be handled during your lifetime and after your death.

An estate plan may address questions such as:

Who should inherit your assets?
Who should make financial decisions if you become incapacitated?
Who should make health care decisions on your behalf?
How should your assets be transferred to beneficiaries?
What happens to your business or other significant assets?
How can you provide for children or other family members?
Are your beneficiary designations up to date?
Could taxes or other costs affect the assets ultimately passed to your heirs?

The specific documents and strategies appropriate for an individual or family depend on their circumstances and applicable state and federal law. That’s why estate planning is generally a collaborative process involving professionals such as an estate-planning attorney, tax professional, and financial advisor.

Your financial advisor does not replace an attorney when it comes to drafting or interpreting legal documents. Instead, financial planning can help provide the financial context necessary for your estate plan to work alongside the rest of your strategy.

Estate Planning Isn’t Just for the Wealthy

One common misconception is that estate planning only matters for high-net-worth households.

In reality, an estate plan can be relevant to anyone who has assets, financial accounts, property, family members, or wishes that need to be addressed.

Even a relatively straightforward financial situation may involve a checking or savings account, retirement accounts, life insurance, a home, investment accounts, or personal property. Without appropriate planning, transferring those assets may be more complicated than expected.

Estate planning can also address situations that have nothing to do with the size of your estate.

For example, what happens if you are temporarily or permanently unable to manage your finances? Who can make certain financial decisions for you? Who can make health care decisions if you cannot communicate your wishes?

These questions are part of the broader conversation around incapacity planning—and they are worth considering regardless of your net worth.

The Core Pieces of an Estate Plan

There is no one-size-fits-all estate plan. The appropriate documents and strategies depend on factors such as your family situation, assets, state of residence, tax circumstances, and goals.

However, several components commonly play a role in estate planning.

A Will

A will generally provides instructions for how certain assets should be distributed after death and can address other matters provided for under applicable state law.

For parents of minor children, a will may also be an important place to nominate individuals to serve in certain roles involving their children, subject to state law and court procedures.

Importantly, not every asset is necessarily controlled by a will. Assets with beneficiary designations or certain forms of joint ownership may transfer according to those arrangements instead.

Trusts

A trust is a legal arrangement that can hold and manage assets according to its terms.

There are many types of trusts, and they can help serve different purposes. Depending on the circumstances, a trust may be used to help manage assets during a person’s lifetime, provide for beneficiaries, address certain estate-planning goals, or establish rules for how and when assets are distributed.

Trusts are legal documents with potentially significant tax and legal implications. Whether a trust is appropriate is a question that should be evaluated with a qualified estate-planning attorney.

Powers of Attorney

A financial power of attorney can allow another person to act on your behalf regarding financial or legal matters, depending on the document and applicable law.

This can be an important part of incapacity planning because an estate plan isn’t only about what happens after death. It can also address what happens if you are alive but unable to manage your own affairs.

Health Care Documents

Health care directives and related documents can address your wishes regarding medical care and identify individuals who may be authorized to make health care decisions on your behalf, depending on applicable state law.

These documents can help communicate your preferences and provide direction to your loved ones during difficult circumstances.

Don’t Forget Your Beneficiary Designations

One of the most overlooked parts of estate planning may be outside your will altogether: beneficiary designations.

Retirement accounts, life insurance policies, and certain financial accounts may pass directly to named beneficiaries. The beneficiary designation associated with an account can therefore have significant consequences for how that asset is transferred.

Consider reviewing beneficiary designations after major life events such as:

Marriage or divorce
Birth or adoption of a child
Death of a beneficiary
Changes in family relationships
Significant changes in your financial circumstances
Changes to your estate-planning documents

It is also important to understand that beneficiary designations and estate-planning documents need to work together. Updating one without considering the others can potentially create unintended results.

A financial professional can help you identify accounts and assets that should be reviewed, while an estate-planning attorney can help determine how those assets should fit within your legal plan.

Estate Planning and Taxes

Taxes are another reason estate planning deserves periodic attention.

Federal estate and gift tax rules can change, and state-level rules may also apply depending on where you live and the nature of your estate.

For 2026, the IRS lists the federal basic exclusion amount at $15 million for an individual. The annual exclusion for gifts is $19,000 per recipient for 2026. These amounts are subject to applicable rules and can change in future years.

However, estate planning should not be reduced to an estate-tax conversation.

For many families, the more immediate concerns may involve how assets are titled, who receives them, how quickly assets can be accessed, how a surviving spouse or other family members will be supported, and how a plan can help minimize potential confusion or conflict.

Tax considerations can be complex, particularly when significant assets, business interests, charitable giving, trusts, or multiple generations are involved. A tax professional and estate-planning attorney can help evaluate the tax implications of specific strategies.

Your Estate Plan Should Evolve With Your Life

Creating an estate plan once does not necessarily mean the work is finished.

Your financial and personal circumstances can change substantially over time. A plan that made sense several years ago may no longer reflect your family, assets, or priorities.

Consider reviewing your estate plan after major life changes such as:

Marriage or divorce: Changes in marital status can affect beneficiaries, ownership, and estate-planning documents.
A new child or grandchild: Your plan may need to account for additional family members.
A significant change in wealth: Selling a business, receiving an inheritance, purchasing property, or experiencing substantial investment growth can change your estate-planning considerations.
A move to another state: Estate-planning laws can vary by state, so relocating may warrant a review with an attorney familiar with the laws of your new state.
The death or incapacity of someone named in your plan: If an executor, trustee, beneficiary, or agent is no longer able or willing to serve, your documents may need to be updated.
Changes in your wishes: Your estate plan should reflect your current intentions—not simply decisions you made years ago.

Estate Planning Is Part of a Bigger Financial Picture

An estate plan doesn’t exist in isolation.

It should ideally work alongside your broader financial strategy, including retirement planning, investment management, insurance, charitable giving, tax planning, and wealth-transfer considerations.

For example, the way your assets are structured can affect both your retirement strategy today and the assets ultimately available to your heirs.

Your financial advisor can help you take inventory of your financial accounts and identify areas that may warrant further review. They can also help coordinate financial information with your other professional advisors.

This coordination can be especially valuable when your financial life becomes more complex.

The goal isn’t necessarily to make your estate plan more complicated. In many cases, the goal is to make sure the pieces of your financial life are working together and that the professionals involved understand the broader picture.

Five Estate Planning Questions to Ask Yourself

If you haven’t reviewed your estate plan recently, start with a few basic questions:

1. Who would make financial decisions for me if I couldn’t?

If you became incapacitated, do you know who would have authority to handle financial matters on your behalf?

2. Are my beneficiaries current?

Review the beneficiaries on retirement accounts, life insurance policies, and other accounts where applicable. Make sure they reflect your current wishes and circumstances.

3. Does my estate plan reflect my current family?

Marriage, divorce, children, grandchildren, and other family changes can all warrant a review.

4. Do my financial accounts align with my estate plan?

Your will or trust may say one thing while an account beneficiary designation or ownership structure says another. Your attorney can help determine whether the legal components of your plan are coordinated appropriately.

5. Does my plan account for the people and organizations that matter to me?

Estate planning can be about more than distributing money. It can also involve charitable intentions, family support, business interests, and other priorities.

Start With a Conversation

Estate planning can feel overwhelming when approached as one large project. Instead, consider starting with an inventory.

Gather information about your major assets, financial accounts, insurance policies, business interests, existing estate-planning documents, and beneficiary designations.

Then consider which professionals should be involved.

An estate-planning attorney can address the legal structure and documents. A tax professional can help evaluate applicable tax considerations. A financial advisor can help connect your estate-planning decisions to your broader financial strategy.

Working together, these professionals can help you evaluate the different pieces of your plan within their respective areas of expertise.

Most importantly, don’t assume that an estate plan is something you can create once and forget about.

Your life changes. Your family changes. Your assets change. Laws and tax rules change.

Your estate plan may need to change, too.

Make Estate Planning Part of Your Financial Checklist

Estate planning is ultimately about preparation.

It can help you put important decisions in writing, organize your financial affairs, and give your loved ones clearer direction about your wishes. While no plan can eliminate every uncertainty, thoughtful planning can help you address many of the questions that may otherwise be left for someone else to answer.

During Estate Planning Awareness Month, consider whether your estate plan still reflects the life you’re building and the legacy you hope to leave.

And if you’re not sure where to begin, start with a conversation.

At Agemy Financial Strategies, financial planning can include helping you understand how your estate-planning considerations fit into your broader financial picture. Because estate planning involves legal and tax matters, we encourage clients to work with qualified estate-planning attorneys and tax professionals when developing or updating their plans.

The goal isn’t simply to plan for what happens to your wealth. It’s to make sure your financial strategy reflects what matters most to you—today and for the future.

Visit agemy.com to learn more about Agemy Financial Strategies and start the conversation.

This material is provided for informational and educational purposes only and is not intended to provide legal, tax, accounting, or individualized investment advice. Estate planning involves legal and tax considerations that vary based on individual circumstances and applicable laws. Agemy Financial Strategies does not provide legal or tax advice. Please consult with qualified legal and tax professionals regarding your specific situation. Investment advisory services involve risk, including possible loss of principal. Past performance is not indicative of future results. No strategy or planning approach can guarantee a particular outcome.

October 9, 2026/by Agemy Financial Strategies

Financial Planning Month: Why a Financial Plan Matters Beyond the Numbers

News

October is Financial Planning Month, making it a natural time to take a closer look at your financial life—not just your investment accounts, but the bigger picture.

For many people, financial planning starts and stops with a simple question: Am I saving enough?

That question matters. But it is only one part of the conversation.

A comprehensive financial plan considers how your income, investments, taxes, retirement goals, insurance, estate plans, and other financial decisions fit together. It may provide an opportunity to identify potential gaps, prepare for changes, and approach financial decisions with greater clarity as your circumstances evolve.

Financial planning is not about predicting exactly what markets, interest rates, or the economy will do next. It is about understanding what you can control, preparing for what you cannot, and building a strategy around the life you want your wealth to support.

Financial Planning Is Bigger Than Investing

Investing is an important component of a financial strategy, but a portfolio alone does not constitute a financial plan.

Consider the many decisions that can affect your financial picture over time:

When should you retire?
How much income will you need in retirement?
When should you begin taking Social Security?
How will your retirement income be taxed?
Which accounts should you draw from first?
How might required minimum distributions affect your tax situation?
Do you have adequate protection against unexpected events?
Is your estate plan aligned with your wishes?
How should you prepare for major purchases or other financial transitions?
How can you transfer wealth to the next generation in accordance with your goals?

Each decision can affect another part of your financial life.

That is why financial planning can be viewed as a coordinated process rather than a collection of isolated decisions.

Your investment strategy should help support your retirement income needs. Your retirement income strategy should account for taxes. Your estate plan should reflect your wishes for your assets. Your insurance coverage should account for the risks you and your family face.

The goal is not simply to accumulate wealth.

It is to understand how your financial decisions fit together.

A Financial Plan Should Reflect Your Life

There is no universal financial plan because there is no universal definition of financial success.

For one person, financial independence may mean retiring at 60. For another, it may mean continuing to work because they enjoy what they do. Someone else may be focused on helping children or grandchildren, supporting charitable causes, or preserving a family business.

Your financial strategy should reflect those priorities.

That starts with understanding where you are today.

A financial planning review can provide an opportunity to take stock of your current financial position, including your assets, liabilities, income, expenses, investments, insurance, tax considerations, and estate documents.

From there, the conversation can shift toward where you want to go.

What does the next five, 10, or 20 years look like? What financial decisions may stand between your current position and those goals?

The answers can change over time. A financial plan can be reviewed and adjusted as your circumstances change.

Retirement Planning Requires More Than a Retirement Date

One of the most significant financial transitions many people will make is moving from earning a paycheck to relying on accumulated assets and other sources of income.

That transition can create a different set of financial questions.

During your working years, your primary financial focus may be accumulating assets. In retirement, the focus often shifts toward managing those assets in a way that supports ongoing income needs.

That means asking questions such as:

Where will your retirement income come from?

Social Security, pensions, investment accounts, retirement plans, real estate, business interests, and other sources may all play a role.

How much income will you need?

Your spending needs may change throughout retirement. Some expenses may decrease, while healthcare, travel, family support, or other costs may increase.

How will taxes affect your income?

The amount you withdraw from a retirement account is not necessarily the amount you get to keep. The tax treatment of different accounts and income sources can make withdrawal strategies an important part of retirement planning.

How will your strategy respond to market changes?

Markets will move throughout your retirement. A financial plan can provide a framework for considering how your portfolio and income strategy may work together across different market environments.

These are planning questions—not prediction questions.

The goal is not to know exactly what the next decade will look like. The goal is to consider multiple possibilities and understand how different circumstances could affect your broader financial strategy.

Taxes Are Part of the Financial Planning Conversation

Taxes can have a meaningful impact on how much of your wealth you ultimately get to use and transfer.

Yet tax planning is sometimes treated as something that happens once a year when a tax return is prepared.

For many households, tax planning can be a year-round consideration.

Decisions involving retirement contributions, Roth conversions, investment gains, charitable giving, retirement withdrawals, Social Security, and required minimum distributions can all have tax implications.

For individuals approaching or already in retirement, the question may not simply be, “How much do I have?”

It may also be:

How much of my money is available to me after taxes?

That distinction can become especially important when you have assets spread across taxable accounts, tax-deferred retirement accounts, and tax-free accounts.

A comprehensive financial plan can take the tax characteristics of those different assets into consideration and examine how they may interact over time.

Tax laws can also change, which makes it important to review strategies periodically rather than assuming a previous plan will always be appropriate.

Protecting Wealth Is Part of Building Wealth

Accumulating assets is only one side of financial planning.

Protecting what you have built is another.

Unexpected events can affect even a carefully constructed financial strategy. Health issues, disability, premature death, property losses, long-term care needs, or other circumstances can create financial consequences for individuals and families.

Risk management can help address those possibilities.

This may include reviewing life insurance, disability coverage, long-term care considerations, property and casualty coverage, and other forms of protection.

The appropriate strategy depends on your circumstances, but the underlying question is straightforward:

What financial risks could significantly disrupt the plan you are building?

Identifying those risks does not mean assuming something will go wrong. It means acknowledging that uncertainty is part of financial planning and considering how your strategy could respond.

Estate Planning Is About More Than Passing on Assets

Estate planning can be another important part of a comprehensive financial strategy.

At its core, estate planning is about making decisions in advance about what happens to your assets and who should make important decisions if you are unable to make them yourself.

Depending on your circumstances, your estate plan may include a will, trusts, beneficiary designations, powers of attorney, healthcare directives, and other documents.

But having these documents is only part of the process.

They also need to reflect your current wishes and circumstances.

Marriage, divorce, the birth of a child or grandchild, a death in the family, a significant change in wealth, a business transition, or other major life events can all create reasons to revisit an estate plan.

Beneficiary designations deserve particular attention because they can determine who receives certain assets regardless of what a will says.

Financial planning and estate planning therefore have an important connection: your investment and savings decisions determine what you build, while your estate plan helps determine how those assets are ultimately transferred.

Financial Planning Should Evolve With You

A financial plan is not something you create once, put in a drawer, and forget about.

Life changes. Markets change. Tax laws change. Family circumstances change. Your priorities can change.

Perhaps you are approaching retirement. Maybe you recently retired. Perhaps your children have become financially independent, you have received an inheritance, sold a business, or experienced another major transition.

Each of these events can create new planning considerations.

That is why regular financial reviews can be valuable.

A review does not necessarily mean changing your investment strategy every time something happens in the market. In fact, constantly reacting to short-term headlines can distract from the longer-term objectives of a financial plan.

Instead, a review can help answer more fundamental questions:

Are your goals still the same?
Has your financial situation changed?
Are your current strategies still aligned with those goals?
Have new risks or opportunities emerged?
Are there decisions that should be addressed now rather than later?

The purpose is not to make changes for the sake of making changes.

It is to make sure your plan continues to reflect your life.

Planning Instead of Predicting

Financial headlines can make it easy to feel as though you need to anticipate the next market move, interest-rate decision, or economic development.

But effective financial planning does not require knowing exactly what will happen next.

No one can consistently predict every market movement or economic shift.

What you can do is prepare.

You can establish goals. Diversify appropriately. Consider different sources of retirement income. Review your tax strategy. Protect against significant risks. Keep your estate documents current. And revisit your plan when your circumstances change.

This is the difference between planning and predicting.

Predicting asks, “What will happen?”

Planning asks, “What can we do if it does?”

That distinction can be particularly important as you approach retirement, when financial decisions can have longer-lasting consequences.

Instead of building a strategy around one expected outcome, financial planning can help you consider a range of potential circumstances and determine how your strategy is designed to respond.

Five Questions to Ask This Financial Planning Month

October can be a good time to move beyond simply checking your account balances and look at the bigger financial picture.

Consider starting with these five questions:

1. What are my most important financial goals?

Your financial plan should begin with your priorities. Identify what you are working toward and what matters most to you—not simply what you think you are supposed to accomplish financially.

2. How will I generate income in retirement?

Look at your potential sources of retirement income and consider how they may work together. Think about Social Security, retirement accounts, investments, pensions, and other sources of income.

3. What role will taxes play in my financial strategy?

Consider whether your current account structure and withdrawal strategy align with your broader goals. Depending on your circumstances, there may be opportunities to address tax considerations before retirement and throughout retirement.

4. What risks could disrupt my plan?

Review your insurance coverage, emergency reserves, estate documents, and other safeguards. Consider whether your strategy accounts for the financial impact of unexpected events.

5. When was the last time I reviewed my entire financial plan?

If it has been several years—or if you have experienced a major life change—it may be time to revisit the bigger picture.

Make Financial Planning a Process, Not a Once-a-Year Event

Financial Planning Month is a useful reminder, but financial planning does not have to be confined to October.

A financial strategy is an ongoing process.

It begins with understanding your goals and financial position. From there, it can bring together investments, retirement income, tax planning, risk management, and estate planning into a coordinated strategy.

Over time, the plan can be reviewed and adjusted as your circumstances evolve.

For individuals and families with significant wealth, that coordination can become particularly important. The more financial decisions you have to make, the more those decisions can overlap.

The question is not simply whether each individual decision makes sense on its own, but how those decisions fit together within your broader financial plan.

Your Financial Future Deserves a Plan

There will always be another headline, another market movement, and another economic forecast.

But your financial future is about more than what happens in the news this week.

It is about the goals you are working toward, the wealth you have accumulated, the people and causes that matter to you, and the decisions that can help connect the two.

Financial planning can provide a framework for approaching those decisions with greater perspective.

You do not need to predict the future to plan for it.

You need to understand where you are, determine where you want to go, identify the decisions that can help get you there, and revisit the strategy as life changes.

This Financial Planning Month, take the opportunity to look beyond the numbers in your accounts and consider the bigger picture.

Because a financial plan is not just about preparing for the future. It is about making thoughtful decisions today that support the future you want to build.

About Agemy Financial Strategies

Agemy Financial Strategies works with individuals and families to develop thoughtful financial strategies designed around their goals, circumstances, and long-term priorities. Through comprehensive planning and ongoing guidance, the firm helps clients approach financial decisions with greater clarity and perspective.

To learn more about financial planning and how a comprehensive strategy can fit into your broader financial picture, visit agemy.com.

Disclosure

This material is provided for informational purposes only and is not intended to provide investment, tax, or legal advice. Individual circumstances vary, and readers should consult with their qualified financial, tax, and legal professionals before making financial decisions.

October 2, 2026/by Agemy Financial Strategies

Why Your 60s May Be Your Most Important Decade for Tax Planning

News, Tax Planning

Your 60s can be one of the most important transition periods in your financial life.

You may be approaching retirement—or already retired. Your income may be changing. You may be deciding when to claim Social Security, evaluating Medicare, managing retirement accounts, or thinking more seriously about the legacy you want to leave behind.

And while retirement planning often focuses on how much you have saved, another question deserves just as much attention:

How much of your retirement savings will you actually get to keep?

Taxes can play a significant role in determining how much income is available to you throughout retirement. That’s why your 60s may present an important opportunity to evaluate your tax strategy before required distributions and other income sources become larger factors.

The following material is provided for informational and educational purposes only and should not be construed as individualized investment, tax, legal, or financial advice. Any examples used are hypothetical and for illustrative purposes only.

The Years Before RMDs Can Create Planning Opportunities

For many retirees, one of the biggest changes on the horizon is the beginning of required minimum distributions (RMDs).

Under current federal rules, owners of traditional IRAs and many retirement plans generally must begin taking RMDs at age 73. The rules are more nuanced for different types of accounts and birth years, and the applicable age is scheduled to increase to 75 for individuals who attain age 74 after 2032.

RMDs are generally included in taxable income, except for amounts that are otherwise excluded from income under the applicable rules.

That means the years before RMDs begin can be worth examining carefully.

Depending on your circumstances, there may be opportunities to help evaluate the amount and timing of withdrawals, consider whether a Roth conversion is appropriate, manage taxable income from different sources, and coordinate your overall retirement-income strategy.

There is no one-size-fits-all answer. But waiting until RMDs arrive may mean having fewer options than you had earlier.

Roth Conversions: One Strategy Worth Evaluating

A Roth conversion generally involves moving money from a traditional IRA or other eligible retirement account into a Roth account and paying applicable income taxes on the taxable amount converted.

Why might someone consider this?

Traditional retirement accounts can help create taxable income when money is withdrawn. Roth accounts may offer different tax characteristics, including tax-free qualified distributions. Roth IRAs also aren’t subject to lifetime RMDs for the original owner under current rules.

For some retirees, converting a portion of traditional retirement assets during lower-income years may be worth considering.

But a Roth conversion isn’t automatically beneficial. Converting too much in a single year could push taxable income into a higher marginal tax bracket or affect other income-related costs.

The question isn’t simply:

“Should I convert to a Roth?”

A better question may be:

“Would a Roth conversion fit into my broader retirement and tax strategy?”

That distinction matters.

Your Tax Bracket Isn’t the Only Consideration

Tax planning in retirement can involve more than looking at your federal income-tax bracket.

For example, taxable income can interact with the taxation of Social Security benefits. The IRS notes that whether Social Security benefits are taxable depends in part on your benefits and other income.

Medicare premiums can also be affected by income. Medicare uses modified adjusted gross income from your tax return from two years earlier when determining whether you owe an Income-Related Monthly Adjustment Amount (IRMAA). For 2026, for example, Medicare says IRMAA can apply when 2024 modified adjusted gross income exceeds certain thresholds.

This is one reason a retirement tax strategy shouldn’t focus exclusively on the tax bill from one particular year.

A decision that looks attractive today could have implications for future years.

Tax Planning Isn’t Just About Paying Less Today

One misconception about retirement tax planning is that the goal is simply to minimize this year’s tax bill.

Sometimes, paying taxes today could potentially be part of a strategy designed to manage taxes over a longer retirement horizon.

For example, someone might evaluate whether recognizing additional taxable income in a particular year could make sense in light of:

Future RMDs
Expected retirement income
Social Security
Potential Roth conversions
Charitable giving
Estate and legacy objectives
The tax implications for a surviving spouse
Future changes in personal circumstances

The right strategy depends on the individual.

The goal isn’t necessarily to pay the least amount of tax this year. It’s to make thoughtful decisions about your tax exposure over the course of retirement.

Your 60s May Be a Time to Coordinate the Pieces

Retirement decisions rarely exist in isolation.

When should you claim Social Security?
How much should you withdraw from your retirement accounts?
Should you consider a Roth conversion?
How much should you keep in taxable versus tax-deferred versus Roth accounts?
When will RMDs begin?
How might your income affect Medicare premiums?
What happens to your tax situation if one spouse passes away?

These questions can become interconnected.

For example, taking a large distribution from a retirement account could increase taxable income. That additional income could potentially affect the taxation of Social Security benefits or Medicare premiums depending on the circumstances and applicable thresholds.

That’s why looking at each decision individually may not provide the full picture.

The 2026 Tax Landscape Makes Planning Worth Reviewing

Tax rules can change, and the rules that apply today may not be the same rules that apply throughout a 20- or 30-year retirement.

For 2026, the federal income-tax brackets range from 10% to 37%, with inflation-adjusted thresholds for each filing status. The standard deduction for 2026 is $32,200 for married couples filing jointly and $16,100 for single filers and married individuals filing separately.

Those numbers are useful—but they’re only one piece of the planning conversation.

Your income, account types, filing status, charitable goals, Social Security benefits, investment strategy, and other circumstances all matter.

That is why tax planning should be viewed as an ongoing process rather than a once-a-year exercise.

How Agemy Financial Strategies Can Help

Your 60s can bring important financial decisions—and those decisions often overlap.

At Agemy Financial Strategies, we believe retirement planning should look beyond a single account, tax year, or market environment. A comprehensive retirement strategy can help you evaluate how different pieces of your financial life may work together, including retirement income, investment accounts, Social Security, RMDs, tax considerations, and long-term goals.

Our approach is centered on planning, not predicting. No one can know exactly how markets, tax laws, inflation, or interest rates will change. But thoughtful planning can help you evaluate different scenarios and make informed decisions based on your circumstances and objectives.

If you’re approaching retirement or already retired, your 60s may be an important time to take a closer look at your tax and retirement strategy.

Ready to start the conversation?

Visit agemy.com to learn more about Agemy Financial Strategies and connect with our team.

Frequently Asked Questions

Why is tax planning important in your 60s?
Your 60s can be a period of significant financial transition. You may be moving from earned income to retirement income, beginning Social Security, preparing for Medicare, or considering how and when to withdraw from retirement accounts. Planning ahead may help provide more flexibility to evaluate tax-efficient strategies before required minimum distributions begin.
When do required minimum distributions (RMDs) begin?
Under current federal rules, RMDs generally begin when you reach age 73 for traditional IRAs and many employer-sponsored retirement plans. The specific rules can vary depending on the type of account, your birth year, and other circumstances.
Should I consider a Roth conversion in my 60s?
A Roth conversion may be worth evaluating for some individuals, particularly during years when taxable income is lower than it may be later in retirement. However, a conversion generally creates taxable income and may have other tax consequences. Whether it makes sense depends on your broader financial and tax situation.
Can retirement income affect my taxes and Medicare costs?
Yes. Different sources of retirement income can affect your taxable income, and higher income can also affect certain Medicare costs. That’s one reason retirement tax planning should consider more than simply the tax rate you expect to pay on your withdrawals.
Is it too late to do tax planning after I retire?
Not necessarily. Tax planning can remain an important part of retirement throughout your 60s and beyond. Even after retirement, decisions involving withdrawals, Roth conversions, charitable giving, Social Security, RMDs, and the timing of income may warrant consideration. The earlier you evaluate your options, however, the more opportunities you may have to plan proactively rather than react to a tax bill later.

This material is provided for informational and educational purposes only and should not be construed as individualized investment, tax, or legal advice. Tax laws and regulations are subject to change. Roth conversions and other tax strategies may not be appropriate for everyone and may have tax and other financial consequences. Individuals should consult with their qualified tax and legal professionals regarding their specific circumstances.

September 25, 2026/by Agemy Financial Strategies

Is Your Retirement Plan Ready for Another Inflation Spike?

News, Retirement Planning

Inflation can be easy to overlook when markets are performing well, and retirement income appears sufficient. But for someone approaching or already living in retirement, rising prices can create a challenge that extends far beyond the next grocery bill or utility statement: purchasing power.

A retirement plan may look comfortable on paper today and still face pressure if the cost of living rises faster than expected over the next 10, 20, or 30 years.

That is why inflation deserves more than a passing mention in a retirement plan. It deserves to be stress-tested.

Recently, the Consumer Price Index (CPI) was up 3.4% over the previous 12 months, while core CPI—which excludes food and energy—was up 2.5%. Energy prices were particularly notable, rising 14.7% over the year. (Bureau of Labor Statistics)

The question for retirees isn’t necessarily whether inflation will spike again. No one can reliably predict the timing or magnitude of future inflation.

The better question is: Would your retirement plan still work if it did?

Inflation Doesn’t Have to Be Extreme to Matter

When people think about inflation risk, they often picture a repeat of the unusually high inflation experienced in recent years.

But retirement planning doesn’t require an extreme scenario to illustrate the potential impact.

Consider someone who spends $100,000 per year in retirement.

If inflation averaged 2.5% annually, maintaining the same purchasing power would require roughly $128,000 after 10 years and approximately $164,000 after 20 years.

At 4% inflation, those figures would be approximately $148,000 after 10 years and $219,000 after 20 years.

That’s the compounding effect of inflation.

The issue isn’t simply that individual expenses become more expensive. It’s that the amount of income required to maintain a similar lifestyle can increase substantially over a long retirement.

For retirees with significant assets, this doesn’t necessarily mean there is an immediate problem. It does mean that a retirement plan should account for changing expenses rather than assuming today’s spending needs will remain constant.

And the longer retirement lasts, the more important that distinction becomes.

Why Inflation Can Be Particularly Challenging in Retirement

During your working years, inflation can sometimes be offset by rising wages.

Retirement is different.

Once you stop receiving a paycheck, you generally don’t have an employer increasing your salary to help compensate for higher prices.

Instead, your retirement income may come from a combination of:

Social Security
Pension income
Retirement accounts
Investment portfolios
Business or real estate income
Other personal assets

Some sources may have built-in inflation adjustments. Others may not.

That creates an important planning consideration: How does each source of retirement income behave when prices rise?

Social Security, for example, includes an annual cost-of-living adjustment (COLA). For 2026, Social Security benefits increased by 2.8%. (Social Security Administration)

However, a COLA isn’t necessarily designed to perfectly match every retiree’s personal spending pattern.

Healthcare, housing, insurance, travel, and other expenses can change at different rates than the overall CPI.

In other words, the inflation rate reported in the headlines isn’t necessarily the inflation rate experienced by your household.

That’s one reason retirement planning should focus on your spending needs and your income sources, not simply one inflation number.

The Difference Between Nominal Dollars and Real Purchasing Power

One of the most important concepts in retirement planning is the difference between nominal dollars and real purchasing power.

If your portfolio grows by 5% in a year when inflation is 3%, your nominal return is 5%, but your purchasing power has increased by less than 5%.

Taxes and investment costs may reduce the amount further.

This is why looking only at an investment’s stated return can provide an incomplete picture.

Imagine a retiree earns a 5% return on an investment while inflation is running at 4%. At first glance, a 5% return may sound attractive.

But the difference between the return and inflation is much smaller than the headline number suggests—and taxes, fees, and withdrawals can further affect the outcome.

For retirement planning, the goal isn’t simply to pursue a particular return.

It’s to understand whether the overall strategy has a reasonable framework for supporting spending needs over time while accounting for market volatility, taxes, longevity, and inflation.

Inflation Can Affect More Than Your Expenses

Inflation doesn’t only affect the spending side of the retirement equation.

It can also affect the investment side.

Different types of investments can respond differently to changing inflation and interest-rate environments. Stocks, bonds, cash, and inflation-sensitive assets each have different characteristics, risks, and potential roles in a portfolio.

For example, traditional fixed-rate bonds can face price pressure when interest rates rise. At the same time, bonds can play an important role in portfolio diversification and income planning.

This is why responding to inflation isn’t necessarily as simple as moving money into one particular asset class.

A retirement portfolio should be evaluated as a whole.

The right balance depends on factors such as your time horizon, income needs, risk tolerance, tax situation, and broader financial objectives.

Don’t Build a Retirement Plan Around One Inflation Assumption

One of the biggest mistakes in long-term planning is treating a single inflation assumption as a certainty.

A retirement projection might assume inflation averages 2% or 3% for decades.

That can be useful for modeling purposes—but it shouldn’t create a false sense of precision.

Actual inflation won’t necessarily move in a straight line.

You could experience:

Several years of relatively low inflation
A temporary inflation spike
Periods of higher energy prices
Changes in housing costs
Unexpected increases in healthcare expenses
Periods of disinflation or even declining prices in certain categories

The Federal Reserve’s June 2026 projections and subsequent July meeting materials continued to reflect uncertainty around the inflation outlook. The Fed has also noted that inflation remains elevated relative to its 2% goal, while its staff outlook anticipated inflation declining over time. (Federal Reserve)

That uncertainty is exactly why retirement planning should not depend on getting an economic forecast exactly right.

A resilient plan is designed to adapt.

What Would an Inflation Stress Test Look Like?

If you’re approaching retirement, one useful exercise is to ask what happens to your plan under several different scenarios.

For example:

Scenario 1: Inflation stays relatively moderate

What happens if inflation remains close to the levels you’ve incorporated into your retirement projections?

Does your projected income adequately cover your expenses?

Scenario 2: Inflation runs higher for several years

What if inflation rises meaningfully above your baseline assumption for five years?

Would you need to reduce spending?

Would you have enough flexibility in your portfolio and other income sources?

Scenario 3: Inflation affects certain expenses disproportionately

What happens if healthcare, insurance or housing costs rise faster than the overall inflation rate?

Would your retirement income still provide enough flexibility?

Scenario 4: Inflation rises while markets are volatile

This scenario deserves particular attention.

A period of elevated inflation could potentially coincide with market volatility. If you’re withdrawing from your portfolio during a downturn, the combination can create additional pressure on retirement assets.

This is one reason retirement planning involves more than determining a target portfolio value.

The timing and structure of withdrawals matter, too.

Sequence of Returns and Inflation: A Potential Double Challenge

Market volatility early in retirement can have a meaningful impact on a portfolio because withdrawals are occurring at the same time investments are experiencing gains or losses.

Now add inflation.

If expenses increase while portfolio values are declining, a retiree may need to withdraw more money at an unfavorable time.

That’s why retirement income planning should consider both market risk and purchasing-power risk.

A comprehensive strategy may address questions such as:

How much income do you need from your portfolio?
Which income sources are relatively predictable?
How much liquidity do you maintain?
How might withdrawals change during different market conditions?
How much portfolio growth may be needed over time?
What expenses are likely to increase with inflation?
How much flexibility exists in discretionary spending?

There isn’t one universal answer to these questions.

The goal is to understand how the pieces work together.

What About Inflation-Protected Investments?

Some investments are specifically designed to provide a degree of protection against inflation.

Treasury Inflation-Protected Securities, or TIPS, are one example. Their principal is adjusted based on changes in the Consumer Price Index, and interest payments are based on the inflation-adjusted principal. At maturity, investors receive the inflation-adjusted principal or the original principal, whichever is greater, subject to the security’s terms. (TFX)

TIPS can therefore play a role in discussions about inflation risk.

But that doesn’t mean every retiree should automatically add TIPS—or any other particular investment—to a portfolio.

Every investment has tradeoffs.

The appropriate role of any asset depends on the broader portfolio, objectives, time horizon, liquidity needs, tax considerations, and risk tolerance.

Inflation protection is one consideration among many.

Don’t Forget About Taxes

Inflation planning also intersects with taxes.

A retirement portfolio isn’t simply a pool of money available for spending. Depending on the account type, withdrawals may have different tax consequences.

For example, distributions from traditional retirement accounts can generally be taxable as ordinary income, while qualified Roth distributions can receive different tax treatment under applicable rules.

Required minimum distributions, Social Security taxation, capital gains, and other sources of taxable income can also influence a retirement income strategy.

That’s why an increase in spending needs doesn’t necessarily translate directly into an equal increase in the amount you should withdraw.

The tax implications matter, too.

For high-net-worth households in particular, retirement planning may involve coordinating investments, income sources, tax planning, and estate considerations rather than treating each issue separately.

Inflation Planning Isn’t About Predicting the Future

It’s tempting to look at current economic data and ask:

“Where is inflation going next?”

But retirement planning doesn’t require an accurate prediction of the next CPI report.

In fact, trying to time a portfolio around short-term economic forecasts can create its own risks.

Instead, the more useful question is:

“What happens to my plan if my assumptions are wrong?”

That’s a fundamentally different approach.

Rather than betting your retirement on a specific inflation forecast, you can build a plan that considers a range of possible outcomes.

That might mean reviewing:

Your current and projected spending
Essential versus discretionary expenses
Guaranteed or relatively predictable income sources
Portfolio diversification
Withdrawal strategies
Cash and liquidity reserves
Tax considerations
Social Security timing
Long-term healthcare expenses
Estate and legacy objectives

The goal is not to eliminate uncertainty.

It’s to understand it.

What Can You Do to Help Protect Your Retirement Plan From Inflation?

You can’t control inflation—and you can’t know exactly when the next inflation spike will occur. But you can take steps to help make your retirement plan more resilient to changing prices.

Revisit your retirement spending assumptions.

Start with what you actually spend today. Then separate essential expenses—such as housing, food, insurance, and healthcare—from discretionary expenses such as travel, entertainment, and hobbies.

This distinction can help you understand which expenses your retirement income needs to cover regardless of economic conditions and where you may have flexibility if prices rise.

Stress-test your retirement income plan.

Don’t look at your retirement projection using only one inflation assumption. Consider how your plan might perform if inflation runs higher than expected for several years.

Ask: Would I still be able to cover my essential expenses? Would I need to make changes to my withdrawals or discretionary spending?

Stress-testing can help reveal potential pressure points before they become problems.

Review your portfolio’s diversification.

Inflation can affect different investments in different ways. That’s one reason diversification and appropriate asset allocation can be important components of a long-term investment strategy. The SEC notes that an appropriate asset allocation depends on factors including your time horizon and risk tolerance, while diversification can help manage investment risk.

That doesn’t mean there’s a single “inflation-proof” investment or that you should make dramatic portfolio changes whenever inflation rises. Instead, your portfolio should be evaluated in the context of your overall retirement objectives, risk tolerance, and income needs.

Consider the role of inflation-sensitive assets.

Certain investments are designed, in part, to respond differently to inflationary environments. Treasury Inflation-Protected Securities (TIPS), for example, are specifically structured to adjust principal based on changes in the Consumer Price Index.

Other investments may also have characteristics that can help provide some potential protection against rising prices—but each comes with its own risks and tradeoffs.

The goal isn’t to find one investment that “beats inflation.” It’s to understand how different components of your portfolio may help contribute to your overall retirement strategy.

Build flexibility into your withdrawals.

A retirement income strategy doesn’t necessarily have to be rigid.

If inflation rises unexpectedly, having some flexibility around discretionary spending and portfolio withdrawals may help give your plan more room to adapt.

This can be particularly important during periods when investment markets are also experiencing volatility. Taking larger withdrawals from a declining portfolio can put additional pressure on a retirement strategy, which is why withdrawal planning deserves attention alongside investment selection.

Review your income sources.

Take a closer look at where your retirement income will come from and how each source may respond to inflation.

Social Security, pensions, investment accounts, and other income sources can have very different characteristics. Understanding how those sources work together can help you identify potential gaps between your income and future spending needs.

Review your plan regularly—not just when inflation makes headlines.

Inflation doesn’t need to spike before you review your retirement plan.

Your expenses, portfolio, tax situation, income needs, and goals can all change over time. A regular review can help ensure your assumptions remain reasonable and your strategy continues to reflect your circumstances.

A Retirement Plan Should Evolve With Your Life

Your retirement plan shouldn’t be something you create once and put in a drawer.

Your spending may change.
Your portfolio may change.
Tax laws may change.
Interest rates may change.
Inflation may change.
Your goals may change.

That means retirement planning should be an ongoing process.

An annual review can help provide an opportunity to revisit assumptions and determine whether your strategy still aligns with your objectives.

For someone nearing retirement, that review may be especially important.

The closer you are to relying on your portfolio for income, the less useful it is to think about retirement solely in terms of accumulation.

The conversation becomes increasingly focused on income, sustainability, risk, and flexibility.

The Bottom Line: Plan for Purchasing Power, Not Just a Dollar Amount

A retirement plan can look successful if you focus solely on the account balance.

But a dollar today won’t necessarily buy what a dollar buys 10, 20, or 30 years from now.

That’s the fundamental challenge inflation presents.

The objective isn’t to predict whether inflation will rise, fall, or remain elevated.

It’s to ask whether your retirement strategy has enough flexibility to accommodate changing costs and changing economic conditions.

With inflation still above the Federal Reserve’s long-term 2% objective and energy prices showing significant year-over-year increases as of the latest available CPI report, purchasing-power risk remains relevant for retirement planning. (Bureau of Labor Statistics)

Your retirement plan should be built for the retirement you want—not just the economy you have today.

If you haven’t reviewed how inflation could affect your retirement income, now may be a good time to revisit your assumptions.

At Agemy Financial Strategies, we believe retirement planning should look beyond a single market environment or economic forecast. A thoughtful strategy considers your income needs, investment portfolio, taxes, longevity, wealth protection, and the legacy you want to leave behind.

Visit agemy.com to learn more about retirement planning and wealth management, or contact Agemy Financial Strategies to discuss your financial goals.

This material is provided for informational and educational purposes only and should not be construed as individualized investment, tax, legal, or financial advice. Investment involves risk, including possible loss of principal. Past performance is not indicative of future results. Economic conditions, inflation rates, tax laws, and market conditions can change, and no strategy can guarantee a particular outcome or level of income. Individuals should consult with their qualified financial, tax, and legal professionals regarding their specific circumstances.

September 18, 2026/by Agemy Financial Strategies

Is Long-Term Care Insurance Worth It?

Insurance Planning, News

What retirees and pre-retirees should know about protecting their assets, preserving their choices, and planning for the possibility of long-term care.

September 13th-19th is National Assisted Living Week—a time to recognize the communities, professionals, caregivers, and families who help older adults maintain quality of life and independence.

It is also a good opportunity to have a financial conversation that many people would rather postpone: How would you pay for long-term care if you eventually needed it?

For some retirees, the answer may involve personal savings and investments. Others may rely on family support, Medicaid if eligible, or a combination of resources. Some may consider long-term care insurance as part of their broader retirement strategy.

But is long-term care insurance actually worth it?

The right decision depends on your age, health, financial resources, family circumstances, retirement goals, tolerance for insurance premiums, and the type of care you would want if you could no longer live completely independently.

For individuals who have spent decades building significant wealth, the question is often less about whether they can pay for care and more about how they want to fund it—and what they want their assets to accomplish.

What Is Long-Term Care?

Long-term care refers to services and support that help people with ongoing health or personal-care needs.

Unlike traditional medical care, long-term care is often focused on helping someone with everyday activities rather than treating an acute medical condition.

This can include assistance with:

Bathing
Dressing
Eating
Using the bathroom
Transferring or moving around
Managing certain daily activities
Supervision related to cognitive impairment

Long-term care may be provided at home, in an assisted living community, in an adult day setting, or in a nursing facility.

The need for care can arise from aging, an accident, a disability, cognitive decline, or another condition that affects someone’s ability to live independently.

According to the Administration for Community Living, recent research suggests that most Americans who reach age 65 will need some type of long-term care services during their lives. However, the amount and duration of care can vary significantly from one person to another.

That uncertainty is one of the reasons long-term care planning can be difficult.

You are essentially planning financially for an event that may never happen—or may last for years if it does.

Does Medicare Pay for Long-Term Care?

One of the most common misconceptions about long-term care is that Medicare will cover it.

Generally, Medicare does not pay for long-term custodial care simply because someone needs assistance with daily living.

Medicare may cover certain medically necessary services and, under specific circumstances, skilled nursing facility care. But Medicare and Medigap generally do not cover ongoing custodial long-term care, whether that care takes place in a nursing home or in the community.

That distinction matters.

For example, someone may receive Medicare-covered care after an illness, surgery, or hospitalization while also eventually needing ongoing assistance with everyday activities that Medicare does not cover.

Understanding the difference between medical care and long-term custodial care is an important part of retirement planning.

What Does Long-Term Care Insurance Do?

Long-term care insurance is designed specifically to help pay for qualifying long-term services and support.

Depending on the policy, benefits may be available for care provided in different settings, including a person’s home, an assisted living community, or a nursing facility.

A policy typically specifies:

A daily or monthly benefit amount
A maximum benefit period or pool of benefits
An elimination period
Eligibility requirements for receiving benefits
Covered care settings and services
Whether benefits can increase over time
Inflation protection provisions
Whether the policy is tax-qualified
Premiums and potential premium increases
Other limitations, exclusions, and conditions

Because policies can differ substantially, the details matter.

Two policies with similar premiums may provide very different levels of protection.

So, Is Long-Term Care Insurance Worth It?

For some people, it can be. For others, self-funding may make more sense.

And for still others, a combination of strategies may be appropriate.

The important question is not simply:

“Will I get my money’s worth from the policy?”

Insurance does not work that way.

You purchase insurance to transfer some of the financial risk associated with an uncertain event.

You may pay premiums for decades and never file a claim. If that happens, you may reasonably feel that you “lost” money—but the purpose of the policy was to help provide protection against a potentially significant financial risk during the years you owned it.

The better question may be:

“What would happen to my financial plan if I needed several years of care?”

That is where the conversation becomes more meaningful.

1. Consider How a Long-Term Care Event Could Affect Your Retirement Plan

For affluent retirees, paying for care out of pocket may appear straightforward.

But a long-term care event can affect more than one line item in a financial plan.

Consider a hypothetical retiree who has accumulated a substantial portfolio and expects to use that portfolio to:

Generate retirement income
Maintain a desired lifestyle
Support children or grandchildren
Fund charitable giving
Preserve a legacy
Cover unexpected expenses

If significant assets must eventually be redirected toward long-term care, those other objectives could potentially be affected.

That does not automatically mean insurance is the right solution. It does mean that long-term care deserves to be included in the larger retirement-income conversation.

2. Think About the Type of Care You Would Want

Long-term care is not synonymous with nursing-home care.

Many people would prefer to remain at home for as long as reasonably possible. Others may prefer an assisted living community that provides housing, meals, social activities, and varying levels of support.

Long-term care insurance may provide benefits in multiple settings, depending on the policy.

This makes it important to think beyond the question, “How much nursing home care can I afford?”

Instead, ask:

Where would I want to receive care, and what kind of support might I need?

Your answer could influence the amount and type of coverage worth considering.

3. Understand Your Family’s Role

Family caregiving is another important part of the equation.

Family members frequently provide unpaid support to older adults, sometimes alongside professional caregivers and other services.

For some families, providing care is a meaningful responsibility they are willing and able to take on.

For others, geography, employment, health, family dynamics, or other responsibilities may make extensive caregiving difficult.

If you have adult children, consider whether your retirement plan assumes they will eventually provide unpaid care.

If so, it may be worth asking whether that is actually the outcome you want.

A long-term care strategy can be about more than protecting your portfolio. It can also be about preserving choices for yourself and your family.

4. Don’t Assume Your Assets Automatically Make Insurance Unnecessary

This is particularly important for high-net-worth households.

Having substantial assets can certainly give you more options for paying for care, but the ability to self-fund does not necessarily mean self-funding is the best strategy.

Imagine two retirees with similar net worth.

One is comfortable spending a significant portion of the portfolio if care becomes necessary.

The other strongly prioritizes leaving assets to heirs and maintaining a specific lifestyle regardless of future care needs.

Their ideal strategies may be very different.

The first person may conclude that insurance is unnecessary.

The second may decide that transferring some long-term care risk to an insurer is worth considering.

Net worth alone does not determine whether long-term care insurance makes sense.

5. Pay Attention to Inflation

One of the biggest risks in long-term care planning is assuming that today’s care costs will remain today’s care costs.

They won’t.

The amount you may need decades from now could be substantially different from what comparable care costs today.

That can make inflation protection an important feature to evaluate when comparing policies.

A policy with a higher initial benefit may not necessarily provide better protection if its benefits do not keep pace with rising costs.

When evaluating coverage, ask how the policy’s benefits may change over time and what inflation protection options are available.

6. Understand That Premiums Can Change

Another important consideration is premium stability.

Depending on the policy and applicable state regulations, insurers may seek approval for premium increases on existing policies.

The National Association of Insurance Commissioners (NAIC) specifically provides consumer resources addressing long-term care insurance, including policy features and the possibility of rate increases.

Therefore, don’t evaluate a policy solely by looking at its initial premium.

Consider whether you could reasonably afford the premiums if they increase in the future.

You should also understand what options may be available if a premium increase occurs.

7. Consider Your Health and Age

Timing can matter.

Long-term care insurance generally becomes more expensive as people get older, and health history can affect eligibility and underwriting.

Waiting indefinitely may therefore have consequences.

At the same time, purchasing coverage prematurely can mean paying premiums for many additional years.

There is no universally “perfect” age to buy coverage.

Instead, the decision should be evaluated within the context of your overall financial plan.

If you are considering coverage, working through the decision while you are still healthy enough to have meaningful options may be worthwhile.

What About Taxes?

There may be tax considerations associated with qualified long-term care insurance.

For 2026, the IRS limits the amount of eligible long-term care insurance premiums that may be treated as medical expenses under Internal Revenue Code Section 213(d)(10), based on the insured person’s age.

For taxable year 2026, the limits are:

Age at the end of the tax year	2026 eligible premium limit
40 or younger	$500
41–50	$930
51–60	$1,860
61–70	$4,960
Over 70	$6,200

These are limits on eligible premiums, not guarantees that a taxpayer can deduct the listed amount.

Whether premiums ultimately provide a tax benefit depends on factors including the taxpayer’s circumstances, the policy, applicable medical-expense deduction rules, and whether the taxpayer itemizes deductions.

The IRS also provides specific rules concerning benefits received under qualified long-term care insurance policies.

Because tax rules can change and individual circumstances vary, consult a qualified tax professional before making a decision based on potential tax treatment.

What Are the Alternatives to Long-Term Care Insurance?

Long-term care insurance is only one potential way to address future care expenses.

Other strategies may include:

Self-Funding

Some households may choose to dedicate a portion of their assets to potential long-term care expenses.

This provides flexibility and avoids insurance premiums, but it also means accepting the risk that care could cost substantially more—or last substantially longer—than anticipated.

Life Insurance With a Long-Term Care Rider

Certain life insurance policies may offer riders that allow part of a death benefit to be used for qualifying long-term care expenses.

The exact mechanics vary by policy. The NAIC notes that these riders may reduce the death benefit available to beneficiaries when benefits are used for long-term care.

Medicaid

Medicaid is a major payer of long-term services and supports, but eligibility is generally based on financial and other requirements that vary by state.

It should not be assumed that someone with significant assets will automatically qualify.

Medicaid planning can also involve complicated rules concerning income, assets, transfers, and eligibility.

For individuals with substantial assets, decisions involving Medicaid should be discussed with qualified legal and financial professionals rather than treated as a simple fallback strategy.

A Better Way to Think About Long-Term Care Insurance

Instead of asking whether long-term care insurance is “worth it,” consider asking these five questions:

What type of care would I want if I could no longer live independently?: Would you prefer to remain at home? Would assisted living be appealing? Would you consider a continuing care retirement community?

How would I pay for that care today?: Look at your income, investment assets, insurance coverage, and other resources.

What would happen to my financial plan if care lasted several years?: Would you need to reduce spending, sell investments, alter your legacy plans, or change your lifestyle?

How much risk am I comfortable retaining?: Some people are comfortable self-insuring. Others prefer to transfer at least part of the risk to an insurance company.

What role do I want my family to play?: Would you want your children to provide hands-on care? Financial support? Neither?

These questions can reveal more than a simple premium-versus-payout calculation.

Long-Term Care Planning Is Part of Retirement Planning

National Assisted Living Week is a reminder that aging is about more than accumulating assets.

It is also about preparing for the years when your needs—and your priorities—may change.

Long-term care planning can help you think through those possibilities before a crisis forces your family to make decisions under pressure.

For some people, that may lead to purchasing long-term care insurance.

For others, it may mean building a dedicated reserve, incorporating other insurance products, adjusting an investment strategy, or simply confirming that their existing portfolio is capable of absorbing potential care expenses.

There is no one-size-fits-all solution.

The most important step is to make long-term care part of the conversation before you need it.

Final Thoughts

Long-term care insurance can be a valuable tool for some retirees and pre-retirees, but it is not automatically appropriate for everyone.

The decision should consider your financial resources, retirement-income needs, health, age, family circumstances, desired care settings, insurance costs, policy provisions, and broader estate and legacy objectives.

For households with significant wealth, the question may ultimately be less about whether you could afford long-term care and more about how you want to use your wealth if care becomes necessary.

A thoughtful retirement plan should account for both the life you hope to live and the possibilities you cannot predict.

If you are approaching retirement, now may be the right time to review how a potential long-term care need could affect your income, investments, and legacy goals.

Contact Agemy Financial Strategies for a complimentary consultation.

This article is provided for educational and informational purposes only and should not be construed as individualized investment, insurance, tax, or legal advice. Long-term care insurance policies, benefits, premiums, underwriting requirements, exclusions, and eligibility provisions vary by insurer and state. Insurance products involve costs, risks, and limitations, and coverage is subject to the terms of the applicable policy and contract. Tax treatment depends on individual circumstances and may change in the future. Consult your financial, tax, insurance, and legal professionals regarding your specific situation before making financial or insurance decisions.

September 11, 2026/by Agemy Financial Strategies

5 Sources of Retirement Income You May Be Overlooking

News, Retirement Income Planning

When you think about retirement income, what comes to mind?

For many people, the answer is Social Security, a 401(k), an IRA, or perhaps a pension.

But for high-net-worth individuals and families, retirement income can come from a much broader range of assets.

You may have accumulated wealth through investment accounts, retirement plans, real estate, a business, employer stock, or other assets over the course of your career. As retirement approaches, the question may no longer be simply, “Do I have enough?”

Instead, it may become:

“How might I coordinate the assets I’ve accumulated to support my retirement goals?”

That distinction can be important.

Having multiple sources of wealth can provide flexibility, but it can also introduce complexity. The timing and tax treatment of withdrawals, Social Security benefits, required minimum distributions, investment decisions, and the eventual transfer of wealth to heirs can all factor into a comprehensive retirement-income strategy.

For affluent households, retirement planning may therefore involve looking beyond the traditional sources of retirement income.

Here are five sources you may want to consider as part of your broader retirement-income planning conversation.

The following information is for informational and educational purposes only and is not intended to provide individual investment, tax, legal, or accounting advice.

1. Your Taxable Investment Portfolio

If you’ve accumulated significant wealth, you may have substantial assets held outside of traditional retirement accounts.

Taxable brokerage accounts are sometimes overlooked when people think about retirement income because they don’t receive the same tax-deferred treatment as traditional IRAs or 401(k)s.

But their flexibility can make them an important part of the conversation.

Unlike traditional retirement accounts, taxable investment accounts generally aren’t subject to required minimum distributions (RMDs). That means you generally have more control over when you sell investments and take withdrawals.

Depending on your circumstances, that flexibility may allow you to coordinate taxable-account withdrawals with income from other sources.

For example, rather than relying exclusively on distributions from a traditional IRA or 401(k), you might evaluate whether taxable assets could be used alongside retirement-account distributions to meet your spending needs.

The objective isn’t necessarily to minimize taxes at all costs. Instead, it may be useful to consider how different sources of income are taxed and how they fit together over time.

Why taxable assets may matter in retirement

A taxable investment portfolio may help provide:

Flexibility over the timing and amount of withdrawals
Access to funds without the RMD requirements that generally apply to traditional retirement accounts
Potential tax treatment of qualified dividends and long-term capital gains that differs from ordinary income
Opportunities to consider tax-loss harvesting, subject to applicable rules
Liquidity for major expenses, charitable giving, travel, or other financial goals

For high-net-worth households, the distinction between different types of investment income can be particularly relevant.

Qualified dividends and long-term capital gains may be taxed differently than ordinary income generated by distributions from traditional retirement accounts. Your individual tax situation, however, will determine how these rules apply to you.

That’s why retirement-income planning can involve more than determining how much money you need each year.

It may also involve evaluating which assets you draw from and when.

2. Business Interests and Real Estate

If you’ve spent decades building a business or acquiring real estate, those assets may represent a significant portion of your overall wealth.

They may also have a place in your retirement-income strategy.

A business could potentially help provide financial resources through a future sale, ownership distributions, consulting arrangements, royalties, or other forms of income. Real estate may generate rental income or potentially provide liquidity through a future sale.

But these assets can also introduce considerations that don’t arise with a traditional investment portfolio.

Your business may be more than an asset

For business owners, the transition into retirement may involve one of the largest financial transactions of their lives: the eventual sale or transfer of the business.

That raises important planning questions.

When might a sale make sense?
How could the transaction be structured?
What might the tax implications be?
How would the proceeds be invested?
Would you continue working with the business after a transaction?
How would the transition affect your estate plan and the wealth you intend to pass to the next generation?

These questions are worth considering well before a sale is on the immediate horizon.

A business may represent both a source of potential retirement wealth and a significant concentration of your net worth. Planning ahead may help provide more opportunities to evaluate different scenarios.

Real estate can present similar considerations

Investment property may provide recurring rental income, but rental income doesn’t necessarily equal spendable income.

Property owners may have to account for maintenance, insurance, property taxes, vacancies, capital expenditures, financing costs, and other expenses.

You may ultimately decide that continuing to own a property aligns with your goals. Alternatively, you may determine that selling one or more properties and reallocating the proceeds better fits your retirement objectives.

Neither approach is universally appropriate.

The important consideration is to include business and real estate holdings in the overall retirement conversation rather than viewing them as separate from the rest of your financial picture.

3. Social Security

If you’ve accumulated substantial wealth, Social Security may seem relatively small compared with your investment portfolio.

That doesn’t necessarily mean it should be overlooked.

For eligible individuals, Social Security may help provide a source of lifetime income, with benefits subject to periodic cost-of-living adjustments.

The timing of when you claim benefits can also affect the amount of your monthly benefit.

According to the Social Security Administration, for 2026 the maximum monthly retirement benefit is $2,969 for someone claiming at age 62, $4,152 at full retirement age, and $5,181 at age 70. Actual benefits vary based on factors including your earnings history and claiming age.

For a high-net-worth household, Social Security may represent only one component of overall retirement cash flow. But because it can provide a predictable source of income, it may still be worth incorporating into your broader planning.

The claiming decision isn’t necessarily automatic

Choosing when to claim Social Security may involve considerations such as:

Your anticipated retirement date
Your other sources of income
Your health and longevity expectations
Your spouse’s benefit
Potential survivor-benefit considerations
Your investment and withdrawal strategy
Your broader tax situation
Whether you’re continuing to work

For married couples, the decision can become more complex because the timing of each spouse’s benefits may affect the household’s overall retirement-income picture and survivor benefits.

For these reasons, Social Security may be worth evaluating alongside your other retirement resources rather than treating the claiming decision as an isolated choice.

4. Roth Assets—and Potential Roth Conversions

Roth assets can also help provide a different source of retirement income than traditional tax-deferred accounts.

Under current federal rules, qualified distributions from a Roth IRA are generally tax-free, provided applicable requirements are satisfied. Roth IRAs are also generally not subject to lifetime RMDs for the original owner.

That can make Roth assets an important component of tax diversification.

Consider the difference between having a retirement portfolio consisting entirely of traditional IRA and 401(k) assets versus having a combination of traditional, Roth, and taxable assets.

The latter may provide more flexibility when evaluating which accounts to draw from at different stages of retirement.

Could a Roth conversion be worth evaluating?

For some individuals, a Roth conversion may be a useful retirement-planning consideration.

A Roth conversion generally involves moving assets from a traditional IRA or other eligible retirement account into a Roth IRA. The converted amount is generally included in taxable income for the year of the conversion, subject to applicable rules.

That means the decision requires careful consideration.

For example, some retirees may experience a period after leaving the workforce but before RMDs begin when their taxable income differs from what it was during their working years.

Depending on the individual’s circumstances, that period may warrant an evaluation of whether converting some traditional retirement assets to Roth could fit within their broader financial plan.

However, a Roth conversion can increase taxable income in the year of the conversion. That additional income may have other financial consequences as well.

For example, Medicare beneficiaries may be subject to higher Part B and Part D premiums through the income-related monthly adjustment amount (IRMAA). Medicare generally uses tax-return information from two years earlier to determine whether an individual owes an income-related adjustment, subject to applicable rules and exceptions.

This is one reason a Roth conversion should not be evaluated solely by comparing today’s tax rate with a projected future tax rate.

A comprehensive analysis may also consider Medicare premiums, state taxes, RMDs, charitable goals, estate-planning objectives, and your overall retirement-income needs.

The appropriate strategy will depend on your individual circumstances.

5. Employer Stock and Other Concentrated Assets

If you’ve spent years working for a company, you may have accumulated a significant amount of employer stock or other concentrated investments.

For executives and business owners, this can represent a substantial portion of overall net worth.

Concentrated wealth can create both opportunity and risk.

If the investment performs well, the position may contribute meaningfully to your financial success. But if too much of your wealth depends on one company, industry, property, or other asset, a significant decline in that asset could have an outsized impact on your financial picture.

That makes concentrated assets worth considering as part of retirement planning.

Should you continue holding concentrated assets?

There isn’t one answer that applies to everyone.

Depending on your circumstances, you might evaluate:

How much of your overall wealth is concentrated in the asset
How much income you’ll need from the portfolio
The potential tax consequences of selling
Your investment objectives and risk tolerance
Whether you have other sources of liquidity
Your charitable goals
Your estate-planning objectives
How a potential decline in the asset could affect your retirement

Certain employer-stock situations may also involve specialized tax rules.

For example, net unrealized appreciation (NUA) rules may provide potentially different tax treatment for qualifying employer securities distributed from certain retirement plans when specific requirements are met.

Because these rules can be complex and eligibility depends on individual circumstances, employer stock decisions may warrant coordination among your financial professional, tax professional, and estate-planning attorney.

The goal isn’t necessarily to eliminate concentrated positions.

Instead, it may be to understand the potential risks, opportunities, tax implications, and role the asset could play in your overall financial strategy.

A Hypothetical Example: Turning Wealth Into Retirement Income

Consider a hypothetical retiree with:

$3 million in taxable investments
$2 million in traditional 401(k) and IRA assets
$1 million in Roth assets
A rental property
Social Security benefits
A significant position in former-employer stock

This individual may have substantial wealth, but that doesn’t automatically determine the most appropriate retirement-income strategy.

They may have several questions to evaluate:

Should taxable investments be used first?
Should traditional retirement accounts be used before or after taxable assets?
Could Roth assets be useful for certain future expenses?
Should some traditional retirement assets be evaluated for potential Roth conversions?
When should Social Security begin?
Should the rental property be retained or sold?
Should concentrated employer stock be reduced?
How might RMDs affect future taxable income?
How could withdrawals interact with Medicare premiums?
And how should remaining assets eventually be positioned for heirs or charitable organizations?

There is no single answer to these questions.

The appropriate approach depends on the individual’s goals, financial circumstances, tax situation, risk tolerance, investment objectives, and estate-planning considerations.

This hypothetical example is for illustrative purposes only and does not represent an actual client or actual results. Individual circumstances will vary.

Retirement Income Is About Coordination

For high-net-worth individuals, retirement planning can become less about finding a single source of income and more about evaluating how multiple sources may work together.

Your retirement-income picture could potentially include:

Taxable investment accounts
Business interests and real estate
Social Security
Roth assets and potential Roth conversions
Employer stock and other concentrated assets

And those aren’t the only possibilities.

Depending on your circumstances, pensions, annuities, deferred compensation, royalties, trusts, life insurance, and other assets may also play a role.

The important point is that not every dollar of wealth has to serve the same purpose.

Some assets may be intended for near-term spending. Others may be positioned for long-term growth. Some may be reserved for future healthcare costs or unexpected expenses. Others may be better suited for legacy or charitable goals.

Thinking about your portfolio in terms of these different purposes can provide another way to evaluate your retirement strategy.

Consider the Tax Character of Your Assets

For affluent households, retirement-income planning can also involve significant tax considerations.

Different assets can have different tax characteristics, including:

Taxable investment accounts
Traditional IRAs and 401(k)s
Roth IRAs
Capital gains
Qualified dividends
Business interests
Real estate
Employer securities

The way income is generated, or assets are sold, may affect your overall tax liability.

It may also affect other areas of your financial picture.

For example, taxable income can influence Medicare premiums for some beneficiaries. Large transactions can produce significant capital gains. Traditional retirement accounts can eventually be subject to RMDs. Business sales can create substantial taxable events.

This doesn’t mean every decision should be made solely to minimize taxes.

Instead, taxes can be one consideration within a larger strategy that also accounts for liquidity, investment risk, income needs, longevity, and legacy objectives.

Start Planning Before You Need the Income

One of the biggest retirement-planning mistakes can be waiting until retirement to begin thinking about retirement income.

By the time you leave the workforce, many important decisions may already have been made.

A more proactive approach may involve evaluating your retirement-income strategy years before your anticipated retirement date.

That can provide time to consider questions such as:

What income sources will I have?
Which assets might I want to preserve?
How might I manage withdrawals across different account types?
When might Social Security fit into the plan?
Could Roth conversions warrant consideration?
How might RMDs affect my future taxable income?
What role should my business or real estate holdings play?
How should concentrated assets be evaluated?
What wealth do I want to leave behind?

The answers may evolve over time.

That’s why retirement-income planning is not necessarily a one-time decision. It can be an ongoing process that changes as your financial circumstances, tax laws, markets, and personal goals change.

Are You Overlooking a Potential Source of Retirement Income?

If you’ve spent decades accumulating significant wealth, you may have more retirement-income options than you realize.

The challenge may not be simply determining whether you have enough assets.

It may be understanding how your different sources of wealth could potentially work together.

Taxable investments, retirement accounts, Roth assets, Social Security, real estate, business interests, and concentrated positions can each have different characteristics. Evaluating them individually may tell only part of the story.

A comprehensive retirement-income strategy considers the bigger picture.

At Agemy Financial Strategies, we believe retirement planning should go beyond simply accumulating assets. It should involve thoughtful consideration of how your wealth may support your financial goals throughout retirement while also accounting for taxes, investment risk, income needs, and legacy objectives.

Your retirement income may come from more places than you think. The next step is understanding how those sources may fit into your overall financial strategy.

Contact us today.

This material is provided for informational and educational purposes only and is not intended to provide investment, tax, legal, or accounting advice. The information presented is based on sources believed to be reliable, but no representation or warranty is made as to its accuracy or completeness. Tax laws and regulations are subject to change and may vary based on individual circumstances. Roth conversions may result in taxable income and other financial consequences and are not appropriate for everyone. Social Security and Medicare rules, including benefit amounts, premiums, and income-related adjustments, are subject to applicable rules and may change. Investment involves risk, including possible loss of principal. No investment strategy or financial-planning approach can guarantee a particular outcome. Please consult with qualified financial, tax, legal, and other professionals regarding your individual circumstances before making financial decisions.

September 4, 2026/by Agemy Financial Strategies

What Retirees Need to Know About Required Minimum Distributions

News

For many retirees, required minimum distributions—or RMDs—are an unavoidable part of managing retirement savings. But an RMD is more than a number you have to withdraw each year.

For individuals with substantial traditional IRA, 401(k), 403(b), or other tax-deferred retirement assets, RMDs can influence taxable income, retirement cash flow, charitable giving, Roth conversion strategies, and ultimately how much wealth may be available to pass on to the next generation.

And as we look toward 2027, the rules are different from what many retirees may remember.

Legislation enacted through the SECURE Act and SECURE 2.0 Act has pushed the RMD starting age higher for many Americans. For some retirees, that creates additional years to evaluate their tax situation and make strategic decisions before mandatory distributions begin.

At Agemy Financial Strategies, we believe retirement planning should be about more than meeting the minimum requirements. It should be about coordinating your income, taxes, investments, and legacy goals as part of a comprehensive wealth strategy.

Here is what retirees and pre-retirees should know about RMDs heading into 2027.

What Is an RMD?

A required minimum distribution is generally the minimum amount that must be withdrawn each year from certain tax-deferred retirement accounts once an account owner reaches the applicable RMD starting age.

RMD rules generally apply to traditional IRAs, SEP IRAs, SIMPLE IRAs and many employer-sponsored retirement plans, including 401(k), 403(b) and 457(b) plans.

The basic idea behind RMDs is tied to the tax treatment of these accounts.

Traditional retirement accounts generally allow contributions and investment growth to receive favorable tax treatment during the accumulation years. Eventually, the government requires distributions so that previously untaxed amounts can generally become subject to income tax.

That does not necessarily mean you need the money.

You may have sufficient income from Social Security, pensions, investments, or other sources and have no immediate need for an additional retirement distribution. Nevertheless, once RMD rules apply, you generally must take the required amount.

That is where proactive planning can become important.

When Do RMDs Begin in 2027?

One of the most significant changes to RMD rules in recent years has been the increase in the age at which many individuals must begin taking distributions.

Under current rules:

Individuals born before July 1, 1949, generally have an RMD starting age of 70½.
Individuals born July 1, 1949, through 1950, generally have an RMD starting age of 72.
Individuals born in 1951 through 1959 generally have an RMD starting age of 73.
Individuals born in 1960 or later generally have an RMD starting age of 75.

For someone approaching retirement, that distinction can be significant.

Consider an individual born in 1962. Under current law, that person generally does not reach the RMD starting age until 75.

That may provide additional years to evaluate tax diversification, Roth conversions, charitable giving, investment strategy, and the role of retirement accounts in an overall estate plan.

However, waiting until the RMD deadline to begin thinking about these issues could mean missing valuable planning opportunities.

When Is Your First RMD Due?

Your first RMD generally must be taken by April 1 of the year following the year in which you reach your applicable RMD age. After that, annual RMDs generally must be taken by December 31.

For example, suppose you reach your applicable RMD age in 2027.

You generally have until April 1, 2028, to take your first RMD.

But there is an important catch: your second RMD would generally still be due by December 31, 2028.

That means delaying your first RMD could result in two taxable distributions occurring in the same calendar year.

Whether delaying the first distribution makes sense depends on your circumstances. Taking the first RMD during the year you reach the applicable age could sometimes help spread taxable income across two calendar years, while delaying it could make sense in other situations.

The important point is that the decision should be considered as part of your broader tax and retirement-income strategy.

How Is an RMD Calculated?

Generally, an RMD is calculated using the retirement account’s balance as of December 31 of the preceding year divided by an applicable distribution period from the IRS life-expectancy tables.

This means your RMD is generally based on the prior year-end account value—not the account’s current value.

For example, if your traditional IRA has a significantly higher balance at the end of 2026, that higher balance may result in a larger RMD for 2027.

Market performance can therefore influence future RMD amounts.

The calculation can become more complicated when you have multiple retirement accounts, different types of retirement plans, or inherited retirement assets.

And while calculating the required amount is important, the more strategic question is often:

What should you do with the money once you are required to take it?

If you need the distribution for living expenses, the answer may be straightforward.

But if you do not need the money, the distribution could become an opportunity to evaluate reinvestment, charitable giving, tax planning, or other wealth-management strategies.

Do You Have to Take an RMD From Every Retirement Account?

Not necessarily.

The rules for aggregating RMDs depend on the type of retirement account involved.

For example, IRA owners generally can calculate the required distributions from their IRAs and take the total amount from one or more of those IRAs.

Employer-sponsored plans can have different rules. RMDs generally must be calculated and satisfied separately for each applicable plan, although specific rules vary by plan type.

This distinction can matter for retirees who have accumulated retirement assets across multiple employers over the course of their careers.

If you have several retirement accounts, it may be worthwhile to review whether consolidating accounts or changing the way assets are positioned could make future RMD management easier.

Any consolidation decision, however, should take into account investment options, fees, plan provisions, creditor considerations, tax consequences and other individual circumstances.

What Happens If You Miss an RMD?

Missing an RMD can have significant tax consequences.

Under current law, the excise tax on an RMD shortfall is generally 25% of the amount that should have been distributed but was not. In certain circumstances, the excise tax can be reduced to 10% if the shortfall is corrected within the applicable correction period. The IRS may also waive the excise tax in certain cases involving reasonable error when appropriate corrective steps are taken.

That makes administrative planning important.

If you have multiple accounts, changing financial institutions, or complicated income sources, your RMD should not be treated as something to check once a year at the last minute.

A proactive retirement plan can help identify the amount that must be distributed, when it must be distributed, and how the distribution fits into the rest of your financial strategy.

RMDs and Taxes: Why Planning Ahead Matters

An RMD is generally taxable income when it comes from a traditional, pre-tax retirement account, subject to the applicable tax rules and any basis considerations.

That does not make the RMD itself a penalty or an additional tax.

The planning concern is what the additional taxable income does to your overall tax picture.

A substantial RMD could increase your taxable income and potentially affect your marginal tax bracket and other income-based calculations.

For retirees with significant retirement assets, this can make the years before RMDs begin particularly important.

Rather than waiting until mandatory distributions start, you may want to evaluate how your retirement assets are distributed among taxable, tax-deferred, and tax-free accounts.

This concept is sometimes referred to as tax diversification.

Having different types of accounts can potentially provide greater flexibility when determining where retirement income comes from and how taxable income is managed.

Could Roth Conversions Help Before RMDs Begin?

One strategy that may deserve consideration during the years before RMDs begin is a Roth conversion.

A Roth conversion generally involves moving assets from a traditional IRA or other eligible retirement account into a Roth IRA. The taxable portion of the conversion is generally included in income for the year of the conversion.

Once assets are held in a Roth IRA, the original owner generally does not have lifetime RMDs.

That can make Roth conversions an attractive planning consideration for some retirees—but they are not appropriate for everyone.

A large conversion can create significant taxable income in the year it occurs. It can also affect other aspects of your financial picture.

For that reason, the question should not simply be:

“Should I do a Roth conversion?”

A better question may be:

“Would a Roth conversion, in this amount and in this year, improve my long-term tax and retirement strategy?”

For some individuals, strategically spreading conversions over multiple years may be more appropriate than completing one large conversion.

The years between retirement and the beginning of RMDs can potentially provide an opportunity to evaluate these decisions before mandatory distributions enter the picture.

What About Roth IRAs and Roth 401(k)s?

Roth accounts receive different treatment under the RMD rules.

The original owner of a Roth IRA generally does not have to take lifetime RMDs.

In addition, designated Roth accounts in employer-sponsored plans generally are not subject to lifetime RMDs for the original account owner under the current rules.

This distinction can be valuable when thinking about retirement-income flexibility and legacy planning.

For example, a retiree with both traditional and Roth assets may have more options when deciding which accounts to draw from and when.

That does not mean Roth assets should automatically be left untouched or that traditional assets should always be spent first.

The appropriate strategy depends on your income needs, tax situation, investment objectives and estate-planning goals.

Don’t Overlook Inherited Retirement Accounts

RMD planning does not end when an account owner dies.

Beneficiaries of retirement accounts are subject to a separate set of rules, and the applicable distribution requirements can depend on several factors—including the beneficiary’s relationship to the original owner, whether the beneficiary qualifies as an eligible designated beneficiary and whether the original owner died before or after their required beginning date.

For many non-spouse beneficiaries, the SECURE Act’s 10-year rule is particularly important.

In general, certain designated beneficiaries who are not eligible designated beneficiaries must completely distribute an inherited account by the end of the 10th year following the account owner’s death. However, the annual distribution requirements can differ depending on the circumstances, particularly when the original owner had already reached their required beginning date.

Eligible designated beneficiaries—including certain surviving spouses, minor children, disabled or chronically ill individuals and individuals who are not more than 10 years younger than the original owner—can have different options.

The result is an important estate-planning consideration:

Who inherits your retirement accounts—and how they inherit them—can matter almost as much as how much they inherit.

Beneficiary designations should therefore be reviewed as part of an overall estate and retirement plan.

RMDs and Charitable Giving

For retirees who regularly give to charity, qualified charitable distributions, or QCDs, can be another consideration.

A QCD generally allows an eligible IRA owner to direct a distribution from an IRA to a qualifying charitable organization, subject to IRS requirements and applicable annual limits.

One potential advantage is that a qualifying QCD can generally be excluded from taxable income rather than treated simply as a charitable deduction.

The QCD rules have specific eligibility requirements, and the annual exclusion limit is subject to inflation adjustments. Because applicable limits can change from year to year, the current IRS guidance should be reviewed when planning a QCD.

For charitably inclined retirees, coordinating charitable giving with RMD planning may provide an opportunity to align tax planning with philanthropic goals.

RMD Planning Is About More Than RMDs

The most important takeaway for retirees may be this:

An RMD should not be viewed in isolation.

It is one piece of your larger financial plan.

Your RMD strategy may need to be coordinated with:

Social Security benefits
Pension income
Investment income
Roth conversions
Tax-bracket management
Charitable giving
Portfolio withdrawals
Estate planning
Beneficiary designations
Healthcare costs
Long-term care planning
Legacy goals

For individuals with significant retirement assets, these decisions can become increasingly interconnected.

A larger RMD could affect your taxable income. Taxable income can influence other areas of your financial picture. The way you structure withdrawals can affect how much remains invested. And the way retirement accounts are ultimately distributed can affect the tax burden experienced by beneficiaries.

That is why RMD planning can be an important component of a broader wealth-preservation strategy.

What Should You Do Before Your RMDs Begin?

If you are approaching your RMD starting age, consider using the years beforehand as a planning window.

A proactive review might include:

1. Review your projected RMDs

Estimate how large your future RMDs could be based on your retirement account balances and expected growth.

2. Evaluate your tax diversification

Look at how much of your wealth is held in traditional, Roth, and taxable accounts and consider how each may fit into your future income strategy.

3. Consider whether Roth conversions fit your plan

If appropriate, evaluate potential conversion opportunities before RMDs begin and consider the tax implications of different conversion amounts.

4. Review charitable giving strategies

If philanthropy is part of your financial plan, consider whether QCDs or other charitable strategies could complement your retirement-income and tax strategy.

5. Review beneficiaries

Make sure beneficiary designations on retirement accounts reflect your current estate-planning goals.

6. Coordinate your retirement-income sources

Consider how RMDs will interact with Social Security, pensions, investment income and other sources of cash flow.

7. Think beyond your lifetime

If leaving assets to children, grandchildren or other beneficiaries is important to you, consider how retirement accounts may be taxed and distributed after your death.

The Bottom Line: Don’t Wait for Your RMD to Start Planning

RMD rules may appear straightforward: reach the applicable age, calculate the required amount and take the distribution.

For many retirees, however, the real planning opportunity comes before the first RMD is due.

The increase in the RMD starting age gives some individuals additional time to evaluate tax diversification, Roth conversions, charitable giving, retirement-income strategies and estate planning.

That time can be valuable.

At Agemy Financial Strategies, we believe retirement planning should not stop once you reach retirement. Your financial strategy should evolve as your circumstances, goals and the tax landscape change.

If you are approaching your RMD starting age—or already taking required distributions—consider whether your current strategy is designed simply to satisfy the rules or to support your broader goals for retirement and wealth preservation.

The right RMD strategy is not necessarily about taking the minimum. It’s about understanding how required distributions fit into the bigger picture.

Important Disclosure

This material is provided for general informational and educational purposes only and is not intended to provide individualized investment, tax or legal advice. Tax laws, regulations and retirement-plan rules are subject to change, and future changes may affect the information presented. Individual circumstances vary, and strategies discussed may not be appropriate for every individual. Before implementing any retirement, tax, Roth conversion, charitable giving or estate-planning strategy, consult with qualified tax and legal professionals regarding your specific circumstances. Agemy Financial Strategies does not provide tax or legal advice. Information in this article reflects rules and IRS guidance available as of the date of publication and should not be relied upon as a guarantee of future law or tax treatment.

August 27, 2026/by Agemy Financial Strategies

The Importance of Thoughtful Retirement Planning

News, Retirement Income Planning, Retirement Planning

Observed on August 21, National Senior Citizens Day provides an opportunity to recognize and celebrate the contributions, experiences, and wisdom of older generations. It is a time to honor the individuals who have helped shape their families, communities, and workplaces while reflecting on the importance of planning for the next chapter of life.

For many individuals and families, retirement represents a significant transition. After decades spent building careers, managing responsibilities, and accumulating wealth, retirement brings a new set of financial considerations. Questions around income, taxes, healthcare, investments, and legacy planning often become increasingly important.

While retirement can be an exciting opportunity to pursue new goals and priorities, it also requires thoughtful preparation. A comprehensive retirement strategy can provide a framework for evaluating financial decisions and helping individuals understand how different aspects of their financial picture work together.

At Agemy Financial Strategies, we believe retirement planning involves more than managing a portfolio. It requires a comprehensive approach that considers your goals, values, lifestyle expectations, and long-term financial priorities.

Retirement Planning: Preparing for a New Financial Chapter

Retirement planning is often viewed as the process of saving enough assets to stop working. However, the transition into retirement involves much more than reaching a specific savings goal.

During your working years, the primary focus is often wealth accumulation—building assets through income, savings, and investments. Once retirement begins, the focus may shift toward managing those assets, creating an income strategy, addressing changing expenses, and making decisions that align with your long-term objectives.

Important retirement planning considerations may include:

Determining how retirement income needs may change over time
Evaluating different sources of retirement income
Understanding the role of Social Security and other income streams
Managing investment risk throughout retirement
Preparing for healthcare and long-term care expenses
Reviewing beneficiary designations and estate documents
Considering charitable giving and legacy goals

Every individual’s retirement journey is different. Factors such as lifestyle expectations, family circumstances, health considerations, and financial goals can all influence the type of planning approach that may be appropriate.

Creating a Retirement Income Strategy

One of the biggest transitions retirees experience is moving from receiving a paycheck to managing income from multiple sources. Creating a retirement income strategy involves evaluating how assets may be used to support future needs while considering taxes, market conditions, and personal goals.

A retirement income strategy may involve reviewing:

Retirement account distributions
Taxable investment accounts
Social Security claiming considerations
Pension benefits, if applicable
Required Minimum Distributions (RMDs)
Cash flow needs throughout different stages of retirement

Having a clear understanding of how income sources work together can help retirees evaluate their options and make informed financial decisions.

Managing Taxes Throughout Retirement

Taxes can play an important role in retirement planning. While many individuals focus on saving and investing during their working years, tax considerations may become increasingly important once retirement begins.

Traditional retirement accounts, including many IRAs and 401(k)s, are generally subject to income taxes when distributions are taken. Because tax laws and individual circumstances vary, retirement planning often involves evaluating how different strategies may impact future taxable income.

A tax-aware retirement approach may include considerations such as:

Coordinating withdrawals among different account types
Evaluating whether Roth conversion strategies may be appropriate
Planning around Required Minimum Distributions
Understanding how income sources may affect overall tax considerations
Working alongside qualified tax professionals when appropriate

The goal of tax planning is not simply to reduce taxes in one year, but to evaluate how financial decisions may impact an overall retirement strategy.

Preparing for Healthcare and Long-Term Care Costs

Healthcare is one of the most important considerations when planning for retirement. While healthcare needs can vary significantly from person to person, many retirees benefit from including potential healthcare expenses in their overall financial planning process.

Important healthcare-related considerations may include:

Understanding Medicare enrollment timelines
Evaluating supplemental insurance options
Planning for prescription drug costs
Considering potential long-term care expenses
Reviewing how healthcare costs may fit within a retirement income plan

Incorporating healthcare considerations into a broader financial strategy can help individuals evaluate potential future expenses as part of their overall retirement planning process.

Preserving Wealth Through Thoughtful Planning

For many individuals and families, retirement planning is not only about maintaining a desired lifestyle—it is also about preserving the wealth they have worked hard to build.

As financial priorities change, retirees may consider strategies related to investment management, risk considerations, and long-term financial flexibility.

Wealth preservation planning may involve:

Reviewing investment strategies as retirement approaches
Evaluating portfolio risk and diversification
Considering changing income needs over time
Preparing for unexpected expenses
Aligning financial decisions with personal goals

A comprehensive approach can help individuals evaluate their financial options while navigating the complexities that often accompany retirement.

Building a Legacy for Future Generations

Many retirees view their financial planning as an opportunity to support the people and causes that matter most to them. Legacy planning can involve more than transferring assets—it can also reflect personal values, family priorities, and charitable goals.

Legacy planning considerations may include:

Reviewing wills, trusts, and estate documents
Updating beneficiary designations
Organizing important financial information
Coordinating with estate planning professionals
Creating a plan for transferring wealth

A coordinated approach between retirement planning and estate planning can help individuals organize their goals and communicate their intentions more effectively.

How Agemy Financial Strategies Helps Clients Navigate Retirement Planning

At Agemy Financial Strategies, we recognize that retirement planning involves many interconnected financial decisions. Our approach focuses on helping individuals and families evaluate their financial goals and develop strategies designed around their unique circumstances.

Our services include:

Retirement Planning

Retirement planning requires careful consideration of income needs, investment strategies, taxes, and future expenses. We work with clients to evaluate their retirement goals and develop strategies that address the financial considerations associated with this important life transition.

Wealth Management

Managing wealth involves more than selecting investments. We provide comprehensive wealth management strategies that consider a client’s financial goals, risk considerations, time horizon, and evolving priorities.

Investment Management

Investment decisions should be aligned with an individual’s financial circumstances and objectives. Agemy Financial Strategies helps clients evaluate investment strategies as part of a broader financial planning process.

Tax-Aware Retirement Strategies

Taxes can have an important impact on retirement decisions. We help clients evaluate tax-related considerations, including retirement account distribution strategies and Roth conversion planning, as part of a comprehensive financial approach.

Estate and Legacy Planning Coordination

For many families, preserving and transferring wealth is an important part of financial planning. We help clients incorporate legacy goals, beneficiary considerations, and estate planning coordination into their overall strategy.

Wealth Preservation Strategies

Individuals and families with significant assets often have additional planning considerations. Agemy Financial Strategies works with clients to evaluate strategies related to wealth preservation, investment management, risk considerations, and long-term financial objectives.

Retirement Planning That Reflects Your Goals

Retirement looks different for everyone. Whether your priorities include spending more time with family, traveling, pursuing new interests, supporting loved ones, or creating a lasting legacy, having a thoughtful financial strategy can help you evaluate the decisions that may shape your future.

This National Senior Citizens Day, take time to celebrate the accomplishments and experiences that have brought you to this stage of life while considering the steps that may help support your retirement goals.

If you are interested in discussing your retirement planning needs and exploring a comprehensive financial strategy, contact Agemy Financial Strategies at Agemy.com.

Disclosure: This content is provided for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. Please consult qualified tax and legal professionals regarding your specific situation. Investment advisory services are offered through Agemy Wealth Advisors, LLC, a Registered Investment Advisor and fiduciary to its clients. Past performance is not indicative of future results.

August 14, 2026/by Agemy Financial Strategies

Retiring in Connecticut: What You Need to Know

News, Retirement Income Planning

Connecticut Day is a celebration of the history, culture, and communities that make the Nutmeg State unique. From charming coastal towns to vibrant cities and peaceful rural communities, Connecticut continues to be a place many people are proud to call home.

For those considering retiring in Connecticut, the state offers many lifestyle benefits—including access to quality healthcare, cultural attractions, outdoor recreation, and strong community connections. However, creating a successful retirement plan requires more than choosing the right location. Understanding taxes, healthcare costs, income planning, and estate considerations can help you make informed decisions about your financial future.

With approximately 20% of Connecticut residents age 65 and older, retirement planning is an important consideration for many individuals and families across the state. Whether you are approaching retirement or already enjoying your retirement years, having a thoughtful financial strategy may help you navigate the opportunities and challenges ahead.

Why Retire in Connecticut?

Connecticut offers a unique combination of New England charm, modern amenities, and convenient access to major metropolitan areas like New York City and Boston.

Some reasons retirees choose Connecticut include:

Scenic coastal communities along Long Island Sound
Historic towns with strong community connections
Four distinct seasons and beautiful fall foliage
Access to outdoor recreation, including state parks and hiking trails
A wide range of cultural attractions, museums, and performing arts venues
Highly regarded healthcare systems and medical providers

For many retirees, Connecticut offers the ability to enjoy a slower pace of life while remaining close to family, friends, and major cities.

Understanding Retirement Taxes in Connecticut

Taxes are an important factor to consider when developing a retirement strategy.

Social Security Benefits

Connecticut provides exemptions for Social Security income for qualifying taxpayers based on income thresholds established by the state.

Because tax laws can change, retirees should review their individual circumstances with qualified financial and tax professionals to understand how current rules may affect their retirement income plan.

Retirement Account Withdrawals

Income from retirement accounts—including traditional IRAs, 401(k)s, pensions, and other retirement savings vehicles—may be subject to Connecticut state income taxes depending on the type of income and applicable tax rules.

The timing and amount of retirement account withdrawals can play an important role in overall tax planning. A coordinated approach may help you evaluate opportunities to manage taxes throughout retirement.

Property Taxes

Property taxes are an important consideration for anyone planning on retiring in Connecticut. While the state offers many benefits—including access to healthcare, cultural attractions, and desirable communities—Connecticut property taxes are generally higher than the national average.

According to recent data, Connecticut’s effective property tax rate on owner-occupied homes is approximately 1.5% of home value, compared with the national average of about 0.9%. For example, a homeowner with a $500,000 property could pay roughly $7,500 per year in property taxes, although actual costs vary based on the municipality, assessed property value, and local tax rates.

Property tax costs can differ significantly depending on where you choose to live. Connecticut’s 169 municipalities each set their own mill rates, meaning retirees considering a move within the state may find meaningful differences in annual housing expenses between communities.

If you are considering relocating, downsizing, or purchasing a retirement home in Connecticut, it can be helpful to evaluate not only the purchase price of a home but also ongoing expenses such as property taxes, insurance, maintenance costs, and other housing-related expenses.

Including these considerations as part of your broader retirement income plan can help you better understand how housing decisions may fit within your overall financial goals.

The Cost of Living When Retiring in Connecticut

The cost of living is an important consideration when choosing a retirement destination. While Connecticut offers many desirable amenities—including access to healthcare, cultural attractions, coastal communities, and outdoor recreation—retirees should understand how everyday expenses may fit into their overall retirement plan.

According to recent cost-of-living data, Connecticut’s overall cost of living is approximately 10–15% higher than the national average, with housing costs being one of the largest contributors to the difference. Expenses can vary significantly depending on the community, with areas closer to New York City and coastal towns generally having higher housing costs than many inland communities.

When planning for retirement in Connecticut, common expenses to evaluate may include:

Housing and property taxes: The median home value in Connecticut is approximately $420,000–$450,000, although prices vary considerably by town and region. Property taxes are also an important factor, with Connecticut’s effective property tax rate on owner-occupied homes averaging around 1.5% of home value compared with the national average of approximately 0.9%.
Healthcare costs: Healthcare spending varies based on individual needs, insurance coverage, and Medicare decisions. Retirees should consider expenses such as Medicare premiums, supplemental coverage, prescriptions, and potential out-of-pocket costs when creating a retirement budget.
Insurance: Homeowners, auto, and supplemental insurance costs can vary based on location, coverage levels, and personal circumstances.
Transportation: Connecticut retirees may need to account for vehicle expenses, fuel, maintenance, insurance, and transportation options depending on where they live.
Utilities: Energy costs can be an important consideration, particularly during Connecticut’s colder winter months when heating expenses may increase.
Lifestyle expenses: Dining, entertainment, travel, hobbies, and family activities should also be incorporated into a realistic retirement spending plan.
Potential long-term care needs: Long-term care costs can vary widely depending on the type of care needed. Planning ahead can help retirees evaluate options for addressing potential future expenses.

Because retirement expenses are highly personal, creating a detailed retirement budget based on your anticipated lifestyle can help you better understand how your income sources, savings, and financial strategy align with your long-term goals.

For those retiring in Connecticut, reviewing these costs as part of a comprehensive retirement plan can help you make more informed decisions about housing, income needs, and your overall financial future.

Healthcare Considerations for Connecticut Retirees

Healthcare planning is a key part of preparing for retirement. For many retirees, healthcare can become one of the largest expenses during their retirement years, making it important to understand potential costs and planning considerations.

Connecticut offers access to numerous healthcare systems and medical facilities, including nationally recognized hospitals and specialty care providers. For retirees, access to quality healthcare can be an important factor when deciding where to live and how to structure a retirement plan.

When planning for healthcare expenses, consider the following:

Medicare enrollment timelines: Most individuals become eligible for Medicare at age 65. In 2026, the standard monthly premium for Medicare Part B is $202.90 per person, with higher-income beneficiaries potentially paying additional Income-Related Monthly Adjustment Amounts (IRMAA). Medicare premiums and coverage details can change annually, so retirees should review their options each year.
Supplemental insurance options: Many retirees choose Medicare Supplement Insurance (Medigap) or Medicare Advantage plans to help manage out-of-pocket healthcare costs. Premiums vary based on the plan selected, location, age, and other factors.
Prescription drug costs: Medicare Part D and Medicare Advantage prescription drug plans can help cover medication expenses, but premiums, deductibles, and out-of-pocket costs vary by plan. Reviewing coverage annually can help retirees evaluate whether their plan continues to meet their needs.
Healthcare inflation: According to Fidelity’s 2026 estimate, a 65-year-old retiring in 2026 may need approximately $185,500 for healthcare and medical expenses throughout retirement. This estimate includes Medicare premiums and certain out-of-pocket costs but excludes long-term care.
Long-term care planning: According to the 2025 CareScout Cost of Care Survey, the median annual cost of a private room in a Connecticut nursing home is approximately $200,750, while assisted living has a median annual cost of approximately $109,410.. Actual costs vary by location, facility, and level of care.

Healthcare costs can change over time, so incorporating potential medical expenses into your overall retirement strategy may help you better understand how healthcare fits within your broader financial goals.

For those retiring in Connecticut, planning ahead for Medicare, insurance coverage, and potential future care needs can be an important part of creating a comprehensive retirement strategy.

Creating a Sustainable Retirement Income Strategy

One of the biggest transitions in retirement is moving from earning a paycheck to creating an income strategy that supports your lifestyle.

A comprehensive retirement income plan may include multiple sources, such as:

Social Security benefits
Pension income
Retirement account distributions
Taxable investment accounts
Roth IRA distributions
Other income sources

A coordinated approach can help you evaluate how different income sources work together and how factors such as taxes, inflation, and market volatility may affect your long-term financial goals.

Managing Investment Risk During Retirement

Your investment strategy may need to evolve as you transition from building wealth to using your assets to support retirement.

Many retirees review their portfolios to help ensure they are aligned with their:

Time horizon
Income needs
Risk tolerance
Long-term goals
Changing financial priorities

Maintaining an appropriate investment strategy throughout retirement may help you stay focused on your financial objectives while navigating changing market conditions.

Estate Planning Considerations for Connecticut Retirees

Retirement planning and estate planning often work together.

As you prepare for retirement, consider reviewing important documents, including:

Wills
Trusts
Beneficiary designations
Powers of attorney
Healthcare directives

Keeping your estate plan updated can help ensure your wishes are documented and make it easier for loved ones to navigate important decisions in the future.

Questions to Consider Before Retiring in Connecticut

Before making the transition into retirement, consider asking:

Will my retirement income support my desired lifestyle?
How will taxes affect my retirement income?
When should I begin claiming Social Security benefits?
Have I planned for future healthcare expenses?
Is my investment strategy aligned with my retirement goals?
Are my estate planning documents current?
Do I have a strategy for Required Minimum Distributions (RMDs)?

Taking time to answer these questions can help you create a clearer picture of your retirement future.

How Agemy Financial Strategies Can Help You Plan for Retirement in Connecticut

Preparing for retirement involves more than determining when to stop working—it can require thoughtful planning around income, investments, taxes, healthcare, and your long-term goals.

At Agemy Financial Strategies, we help individuals and families navigate the complexities of retirement planning through a personalized, comprehensive approach. Our team works with clients to evaluate their financial picture, identify potential planning opportunities, and develop strategies designed around their unique retirement objectives.

For those retiring in Connecticut, important considerations may include creating a retirement income strategy, evaluating tax-efficient distribution approaches, preparing for future healthcare expenses, and ensuring your estate plan reflects your wishes.

Our approach focuses on helping clients make informed financial decisions with clarity and confidence throughout each stage of retirement.

Whether you are approaching retirement, recently retired, or looking to review your current financial strategy, Agemy Financial Strategies can help you explore planning options aligned with your goals.

Celebrate Connecticut Day by Planning for Your Financial Future

Observed on August 10, National Connecticut Day celebrates the history, culture, and communities that make the Nutmeg State unique. For those planning on retiring in Connecticut, it is also an opportunity to review your financial strategy and prepare for the years ahead.

A successful retirement plan considers more than just savings—it incorporates income planning, tax considerations, investment strategy, healthcare planning, and legacy goals.

At Agemy Financial Strategies, we help individuals and families develop personalized financial strategies designed around their unique retirement goals. Whether you are preparing for retirement or looking to refine an existing plan, our team can help you evaluate your options and make informed financial decisions.

Contact Agemy Financial Strategies today to begin planning for the retirement you envision in Connecticut.

Disclosure: This material is provided for informational and educational purposes only and does not constitute financial, investment, tax, or legal advice. Tax laws and regulations are subject to change. Please consult qualified tax and legal professionals regarding your specific circumstances. Investment advisory services are offered through Agemy Wealth Advisors, LLC, a Registered Investment Advisor and fiduciary to its clients. Investing involves risk, including the potential loss of principal.

August 7, 2026/by Agemy Financial Strategies

Small Tax Planning Moves That Can Make a Big Difference

News, Tax Planning

How Proactive Tax Planning Can Help Create More Retirement Income Flexibility

Summer often brings a natural lull — tax season is behind you, and next April still feels far away. But this quieter stretch of the year can actually be one of the most useful times to revisit your tax situation. For many retirees and pre-retirees, taxes represent one of the most significant financial considerations they will navigate throughout retirement. While taxes are an unavoidable part of financial planning, proactive strategies may help individuals better understand their options and make informed decisions about their retirement income.

Tax planning is not just something to consider when preparing an annual tax return. It is an ongoing process that involves reviewing your income sources, retirement accounts, investment decisions, and long-term financial goals. With a clearer picture of your year-to-date income and still enough time to act before year-end deadlines, summer is a natural checkpoint along the way.

At Agemy Financial Strategies, we believe comprehensive retirement planning goes beyond simply accumulating wealth. It involves creating a thoughtful strategy designed around your goals, priorities, and the challenges that may arise throughout retirement.

Small, intentional planning decisions may help improve the flexibility of your retirement strategy over time.

Important Note: Tax planning involves complex rules that vary based on individual circumstances. This article is intended for educational purposes only and should not be considered tax, legal, or individualized financial advice. Please consult with your qualified tax and legal professionals before making decisions related to your specific situation.

Why Tax Planning Matters in Retirement

During your working years, managing taxes may look very different from how it does in retirement.

Many individuals receive predictable employment income, contribute to retirement accounts, and benefit from employer-sponsored plans that offer tax advantages.

Retirement often changes the way income is generated.

Instead of receiving a paycheck, retirees may rely on a combination of income sources, including:

Social Security benefits
Traditional IRA and 401(k) withdrawals
Roth IRA assets
Pension income
Brokerage accounts
Real estate income
Business interests

Each source of income may have different tax considerations. The timing and coordination of withdrawals can influence your overall financial picture.

A thoughtful retirement tax strategy may involve evaluating questions such as:

How should retirement accounts be accessed over time?
Could Roth conversions be appropriate for your circumstances?
How might required minimum distributions affect future income?
How can you create greater flexibility among different account types?
How might changes in tax laws impact your retirement strategy?

The earlier these considerations are addressed, the more opportunities you may have to evaluate potential strategies.

Why Summer Is a Smart Time to Revisit Your Tax Strategy

It may seem counterintuitive to think about taxes while you’re planning summer vacations, but mid-year is one of the most useful windows for tax planning all year. Tax filing season is behind you and next April is still a long way off, which makes now a good time to start lining up strategies to help reduce your 2026 tax bill.

A mid-year checkup can help you avoid being surprised by a potentially large tax bill later and may help uncover ways to save for the rest of the year. This year in particular, several recent law changes make a summer review especially worthwhile: the standard deduction for 2026 has risen to $16,100 for single filers and $32,200 for married couples filing jointly, and recent tax legislation increased the state and local tax (SALT) deduction cap to $40,000 (subject to income phaseouts) for tax years 2025 through 2028 — a change that may make itemizing worth a second look for some retirees.

At the same time, starting in 2026, the value of itemized deductions is capped at 35% for those in the 37% tax bracket, which can affect how charitable giving strategies are structured.

For retirees weighing Roth conversions, RMD timing, or charitable giving, a summer review offers a clearer picture of year-to-date income than you’ll have in January, plus enough runway to actually implement changes before December 31 deadlines arrive.

Small Tax Planning Move #1: Review Your Tax Bracket Each Year

One of the simplest tax planning steps is understanding your current tax situation.

Your taxable income can change from year to year based on factors such as:

Retirement account withdrawals
Investment income
Social Security benefits
Pension payments
Charitable contributions
Other sources of income

Many retirees assume their tax situation will remain consistent throughout retirement. However, income levels can fluctuate significantly depending on life events and financial decisions.

Reviewing your projected income annually may help identify opportunities to evaluate before the end of the tax year.

For example, some individuals experience a period between retirement and the beginning of required minimum distributions when their taxable income may differ from future years. This timeframe may be worth reviewing with your financial and tax professionals.

Small Tax Planning Move #2: Evaluate Whether Roth Conversions May Fit Your Retirement Strategy

Roth conversions are one strategy many retirees and pre-retirees consider when evaluating their long-term tax planning options.

A Roth conversion involves transferring assets from a traditional retirement account, such as a traditional IRA, into a Roth IRA. The amount converted is generally included as taxable income for that year.

The potential benefit of a Roth IRA is that qualified withdrawals may generally be tax-free if certain requirements are met.

However, Roth conversions are not appropriate for everyone.

Before considering a conversion, it is important to evaluate factors such as:

Current and projected future tax brackets
Retirement income needs
Available funds to pay potential taxes
Time horizon
Estate planning considerations
Future changes in tax laws

A Roth conversion may be beneficial for some individuals depending on their circumstances, but it may also increase taxable income and should be carefully evaluated with qualified financial and tax professionals.

Small Tax Planning Move #3: Understand Required Minimum Distributions (RMDs)

Required minimum distributions (RMDs) are an important consideration for many retirement savers.

Generally, owners of traditional IRAs and certain employer-sponsored retirement plans must begin taking required withdrawals once they reach their applicable RMD age under current law.

RMD rules have changed in recent years, including updates from the SECURE Act and SECURE 2.0 Act. Because requirements may vary based on factors such as birth year, account type, and individual circumstances, it is important to review the current rules that apply to you.

RMDs can affect several areas of retirement planning, including:

Taxable income
Medicare premium calculations
Retirement account balances
Charitable giving strategies
Estate planning considerations

Planning ahead may help you better understand how future required withdrawals could affect your overall retirement strategy.

Small Tax Planning Move #4: Consider Qualified Charitable Distributions (QCDs)

For individuals who regularly support charitable organizations, qualified charitable distributions (QCDs) may be a strategy worth discussing with a qualified professional.

A QCD allows eligible individuals to make a charitable donation directly from an IRA to a qualified charitable organization.

When eligibility requirements are met, QCDs may allow certain individuals to satisfy all or part of their required minimum distribution obligation while receiving potentially favorable tax treatment.

QCD rules, including age requirements and annual limits, are subject to change.

This strategy may be worth exploring for individuals who:

Give regularly to charitable organizations
Are required to take RMDs
Want to incorporate charitable giving into their retirement planning

As with any tax-related decision, coordination with your tax professional is important.

Small Tax Planning Move #5: Build Flexibility Through Different Account Types

Tax diversification can be an important consideration when preparing for retirement.

Different types of accounts may receive different tax treatment, including:

Tax-deferred accounts such as traditional IRAs and many employer-sponsored plans
Tax-free accounts, such as Roth IRAs, when qualified withdrawal requirements are met
Taxable investment accounts

Having assets across different account types may provide additional flexibility when evaluating retirement income strategies.

For those still working and contributing, summer can be a good time to check in on how much you’ve set aside so far this year. For 2026, employees can generally contribute up to $24,500 to eligible 401(k) plans, with December 31 as the final date to make contributions. If you’re behind pace toward that limit — or toward any personal savings goal — mid-year gives you several months to adjust contributions gradually rather than scrambling in December. And if you’re 50 or older, don’t forget to factor in available catch-up contributions.

For example, having multiple sources of retirement assets may allow individuals to consider different approaches when determining how to meet income needs throughout retirement.

The appropriate strategy depends on your specific circumstances, goals, and financial situation.

Small Tax Planning Move #6: Review the Tax Impact of Investment Decisions

Investment decisions and tax planning are closely connected.

Certain investment activities may create tax considerations, including:

Selling investments with gains
Realizing capital losses
Receiving dividends
Rebalancing a portfolio

Tax-loss harvesting is one example of a strategy investors may discuss with qualified professionals. It involves selling certain investments at a loss to potentially offset capital gains, subject to applicable rules and limitations.

However, taxes should not be the only factor considered when making investment decisions.

Investment choices should continue to align with your broader financial objectives, risk tolerance, and retirement goals.

Small Tax Planning Move #7: Coordinate Retirement Income Withdrawals

Many retirees have multiple sources of retirement savings.

Determining how and when to access these accounts is an important part of retirement planning.

Potential income sources may include:

Traditional retirement accounts
Roth accounts
Brokerage accounts
Cash reserves

There is no single withdrawal strategy that works for every retiree.

A coordinated approach may involve reviewing:

Income needs
Tax considerations
Investment objectives
Legacy goals
Changing personal circumstances

Creating a retirement income strategy involves balancing today’s needs with future financial considerations.

Small Tax Planning Move #8: Consider How Income Decisions May Affect Other Retirement Expenses

Tax planning does not happen in isolation.

Certain retirement income decisions may also interact with other financial considerations, including healthcare costs.

For example, Medicare premiums may be affected by income levels through income-related monthly adjustment amounts (IRMAA).

Understanding how different financial decisions may influence multiple areas of retirement planning can help individuals make more informed choices.

This is why a comprehensive approach is often valuable when evaluating retirement decisions.

The Importance of a Comprehensive Retirement Strategy

Tax planning is one important piece of a broader retirement plan.

Investment management, retirement income planning, estate considerations, charitable giving, and risk management all work together.

A decision that appears beneficial in one area may have additional considerations elsewhere.

For example:

A larger retirement account withdrawal may increase taxable income.
A Roth conversion may affect taxes in the year it occurs.
Delaying withdrawals may impact future required distributions.
Selling investments may create taxable events.

Understanding these connections may help you evaluate decisions within the context of your overall retirement goals.

Planning for the Retirement You Envision

At Agemy Financial Strategies, we believe retirement planning should be centered around more than account balances. It should reflect your lifestyle goals, family priorities, and vision for the future.

Tax planning is one component of creating a comprehensive retirement strategy.

By reviewing your options, staying informed about changing regulations, and working with qualified professionals, you can take proactive steps toward building a retirement approach designed around your unique circumstances.

Small planning decisions made over time may help create greater clarity and flexibility as you navigate retirement.

Start Building a More Confident Retirement Strategy

Tax laws and retirement regulations continue to evolve. Strategies that may be appropriate today may need to be reviewed as your circumstances and financial goals change.

At Agemy Financial Strategies, we help individuals and families evaluate retirement planning strategies designed around their unique goals and priorities.

If you are approaching retirement or are already retired, a comprehensive review may help you better understand your options and prepare for the years ahead.

Disclosure: Agemy Financial Strategies, Inc. is a registered investment adviser. Registration with the SEC does not imply a certain level of skill or training. This material is provided for informational and educational purposes only and is not intended to provide tax, legal, or investment advice. Individuals should consult with qualified tax and legal professionals regarding their specific circumstances. Tax laws and regulations are subject to change. Investment advisory services are offered through Agemy Wealth Advisors, LLC.

July 31, 2026/by Agemy Financial Strategies