Most retirees imagine their post-work years as a time of financial simplicity–steady income from Social Security, pensions, and maybe a few investments. But when it comes to taxes, retirement isn’t always straightforward. In fact, the IRS still keeps a close eye on retired taxpayers, and even small, innocent errors can trigger an audit.
An audit doesn’t necessarily mean you’ve done anything wrong, but it does mean you’ll have to spend time, energy, and possibly money explaining your tax return. For retirees, this can be stressful, especially if the paperwork is complex or if records are missing.
