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Josephine Nesbit

5 Tax Traps Retirees Can Fall Into — and How To Avoid Them

Iuliia Zavalishina / iStock.com

Most people look forward to retirement way more than they anticipate the new tax challenges it can present. These catch many retirees off guard, and in 2026, seniors are facing a more complicated tax landscape than ever, especially when you factor in multiple income sources, shifting tax brackets and rules that don’t always work the same way they did during their working years. Even a single misstep can quietly cost retirees hundreds or even thousands of dollars each year.

Learn More: What 2026 Senior Tax Deduction Means for Social Security and Retirement Planning 

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