CCH, a part of Wolters Kluwer and a leading global provider of tax, accounting and audit information, software and services (CCHGroup.com) takes a look at state tax rates, changes and compares differences across the nation. “Costs of living are obviously a huge consideration in deciding where to live or retire to,” said Sandy Weiner, JD, State Tax Analyst for Wolters Kluwer, CCH. “Retirees should really do their homework on the types of taxes they’d be responsible for paying and the rates they’d be taxed at when comparing different locations.”
One reason many people are financially unprepared for retirement is that they tap into their retirement savings before they retire. They tap it when they lose their jobs, or at the onset of poor health, or to pay for a new home. A large percentage cash out retirement savings when they change jobs instead of rolling it over.
It's sad to see someone get to retirement without enough money to make it through. It's even sadder to see someone save all their life and then lose it needlessly. Many Boomers realize that retirement may be the perfect time to start a new business, maybe that business you've always dreamed of owning. But Boomers have two things that make them attractive targets for schemes that may or may not be in their best interest: they may have a pool of cash that they saved up for retirement and some significant equity in their home.