Retirement is a big milestone, but the date you choose to retire can have a bigger impact on your taxes than you might think. Many people focus on saving enough money or picking the right investments, but they forget how much timing matters. The wrong retirement date can push you into a higher tax bracket, shrink your Social Security benefits, or even trigger unexpected penalties. Taxes can eat into your nest egg if you’re not careful. Understanding how your retirement date affects your tax bracket can help you keep more of your money. Here are six common mistakes people make with their retirement date that can affect their tax brackets—and what you can do to avoid them.
