Do you believe the total amount that you pay in taxes will be lower when you retire?

Written by Don Creech

Posted on 8/8/2009

This week’s poll results examine how respondents view the federal government’s imposition of taxes on us. The poll was not scientific and was driven by radio listeners of the syndicated Don Creech Radio Show and subscribers to its “Week in Review” email. Listen or subscribe at http://www.DonCreech.com.

Planning for retirement must include an assumption about income taxes. Three quarters of respondents are assuming that their income tax burden will increase after they retire. Since most retirees experience reduced gross income at retirement, the implication must be that tax rates are expected to increase.

In our discussions with people, we are amazed at how many are unaware of the expiration of our current income tax rates and the return to the higher rates that were in affect at the beginning of this decade. The Democrats will get an increase in tax rates without having to vote for one simply due to the current law expiring or “sun-setting.” They may still have to vote for even more taxes to pay for the proposed “benefit” increases that they are trying to push through Congress.

Read More…