Financial Briefs
Last Chance In 2019 For Pre-Retired Professionals & Biz Owners
DB plans are much less well-known than defined contribution (DC) plans. It's retirement savings on steroids; a way to catch up fast on years of neglecting to properly fund your lifestyle retirement.
Because her dental business is NOT a "C corporation," she also qualifies for a 20% deduction under Section 199A of the new tax code for owners of S corps, LLCs, sole proprietorships, and other pass-through entities. To get this extra tax break, her taxable income must not exceed $321,400 for a married couple in 2019.
If she hadn't taken steps to whittle down her high income, her taxes would be much higher. Moreover, she has socked away a large defined benefit for retirement!
This article was written by a professional financial journalist for Advisor Products and is not intended as legal or investment advice.
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