If you are at Fidelity, they will only allow you to have 99% of a distribution withheld. I have no idea why. I do withhold 99% of both of my inherited IRA distributions for Federal and state taxes. One of them is a Roth, but you can still withhold taxes from it.
When the number of retired people is reaches 50% of the workforce, the taxes required to balance the budget would be crushing. It's not surprising they can't do it, and have to rely on deficit spending.
The type of people who read articles about financial planning often have the opposite problem. They retire at 62 with $3 million, and die at 94 with $10 million. Some of them spend a lot of money in retirement, too.
One thing you don't mention is that if you have a child under 18, you get extra money until that child turns 18. That might influence you to claim early.
As some people here know, I have three volunteer jobs. I am the treasurer of the tax district, the president of the investment club, and the head of the crossword blog. Although retired, I still have things I have to do and meetings I have to attend.
I have been thinking maybe I should retire completely when I am 80.
In order to understand stock prices, you have to look at the modern economy. In the 1980s, say, things were entirely different. The demographics, the distribution of income and wealth, the tax system. Stock prices made sense for the structure of the economy. The production of physical goods was important, and commodities were a large part of the economy. Most people relied on earned income to buy these physical goods. The money supply was controlled to prevent the price of physical goods from rising. Today, everything is entirely different. People earning money to buy physical goods is a backwater of the economy; this is something poor people do. The stock-buying class lives in a world of virtual reality and artificial intelligence. Their money and assets are synthetic too. There are trillions of dollars in M1 and M2 that are not needed for the physical economy. In this artificial reality, anything is possible. What is interesting is that you can still cash in your virtual wealth and buy stuff at the store.
The main problem would be picking out the millionaire next door, and distinguishing him from the guy who really is a couple hundred dollars away from being a homeless vagrant. Criminals don't even think this way; if they had money, they would flaunt it, so they are looking for people who are flaunting money.
Comments
One approach would be to adjust capital gains for inflation, and then tax them as ordinary income.
Post: $40 Trillion of Debt
Link to comment from August 22, 2026
If you are at Fidelity, they will only allow you to have 99% of a distribution withheld. I have no idea why. I do withhold 99% of both of my inherited IRA distributions for Federal and state taxes. One of them is a Roth, but you can still withhold taxes from it.
Post: If Retirement is Getting Close
Link to comment from August 21, 2026
The best way is to apply your overpayment to the current tax year, and reduce you tax payments to offset it.
Post: Frozen 2025 1040 refund and the IRS CP53E notice
Link to comment from August 21, 2026
When the number of retired people is reaches 50% of the workforce, the taxes required to balance the budget would be crushing. It's not surprising they can't do it, and have to rely on deficit spending.
Post: Federal debt
Link to comment from August 19, 2026
The type of people who read articles about financial planning often have the opposite problem. They retire at 62 with $3 million, and die at 94 with $10 million. Some of them spend a lot of money in retirement, too.
Post: For most retirees, the greatest fear is not death—it is running out of money before they die.
Link to comment from August 6, 2026
A CFA would be top-notch, but they generally don't work with individual clients.
Post: Beware the CFP Designation?
Link to comment from August 4, 2026
One thing you don't mention is that if you have a child under 18, you get extra money until that child turns 18. That might influence you to claim early.
Post: Social Security
Link to comment from August 4, 2026
As some people here know, I have three volunteer jobs. I am the treasurer of the tax district, the president of the investment club, and the head of the crossword blog. Although retired, I still have things I have to do and meetings I have to attend. I have been thinking maybe I should retire completely when I am 80.
Post: What I Retired To
Link to comment from July 29, 2026
In order to understand stock prices, you have to look at the modern economy. In the 1980s, say, things were entirely different. The demographics, the distribution of income and wealth, the tax system. Stock prices made sense for the structure of the economy. The production of physical goods was important, and commodities were a large part of the economy. Most people relied on earned income to buy these physical goods. The money supply was controlled to prevent the price of physical goods from rising. Today, everything is entirely different. People earning money to buy physical goods is a backwater of the economy; this is something poor people do. The stock-buying class lives in a world of virtual reality and artificial intelligence. Their money and assets are synthetic too. There are trillions of dollars in M1 and M2 that are not needed for the physical economy. In this artificial reality, anything is possible. What is interesting is that you can still cash in your virtual wealth and buy stuff at the store.
Post: Market Indicators
Link to comment from July 26, 2026
The main problem would be picking out the millionaire next door, and distinguishing him from the guy who really is a couple hundred dollars away from being a homeless vagrant. Criminals don't even think this way; if they had money, they would flaunt it, so they are looking for people who are flaunting money.
Post: Can we be completely safe?
Link to comment from July 25, 2026