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Kiplinger
Kiplinger
Business
Kelley R. Taylor

5 Retirement Tax Traps to Watch in 2026

Mouse trap with rolled up currency in it.

Contrary to what some might believe, retirement doesn’t automatically shrink your tax bill. That's because income sources, like required withdrawals, Social Security benefits, and investment gains, can quietly push you into higher federal tax brackets.

Understanding these and other retirement tax traps can help you avoid surprises in 2026 and make your retirement dollars go further. Let's dive in.

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