The opinions are clearly in favor of "defer taxes". Taking that as good (and free
) advice, I'll trust my fate to the wisdom of the crowd and update my TSP allocation tomorrow. That said, I would really like to get my head around whether it's better to take it on the chin now with the child tax credit or to wait 30 years and take it on the chin when I have a larger (all?) portion of my SS taxed or some other benefit phase out. Without speculating on what the law may be in the future, what are the major factors that I should consider based upon current law?
I haven't tried using Turbo Tax (which I do use) to assess my marginal rate, but we will be in the 25% bracket and with the 5% add on for the child tax credit phase out that puts us at a minimal 30% marginal rate.
Bob's not my name wrote:...a rate of one child thrown overboard
Bob's not my name wrote:I suggest going all traditional TSP or switching your wife
Ok, so "Not Bob" isn't joking when it comes to taxes.
My wife is a stay at home mom. Is she still eligible for a deductible TIRA?