The Tax Bomb Hiding In Your Retirement Account (Don’t Wait)

Did you know the most common type of retirement account in the United States is a 401(k), and it comes with a built-in tax bomb? Bo explains what it is, what happens when you don't plan for it, and why creating a plan can protect your financial future.

We break down exactly what required minimum distributions are, how the IRS calculates them, and why even diligent savers can get blindsided if they don't plan ahead. We also walk through four ways large RMDs can hurt you in retirement, from tax bracket creep and higher Medicare premiums to surprise taxes on your Social Security and investment gains. Whether you're just starting out or already approaching retirement, this episode will provide strategies to create more options for a wealthier tomorrow.

Timestamps
0:00 The Most Common Retirement Account?
0:44 What Is the Tax Bomb Hiding in Your 401(k)?
2:20 4 Ways Large RMDs Can Hurt You
5:40 2 Ways to Diffuse the RMD Tax Bomb

🔗 Tax Planning Strategies → https://moneyguy.com/guide/taxes/
🔗 Financial Order of Operations → https://moneyguy.com/guide/foo/

🎓 Brian Preston (CFP®, CPA) and Bo Hanson (CFA®, CFP®) share professional insights to help you own your financial future.

Jump start your journey with our FREE financial resources: https://moneyguy.com/resources/

Subscribe on YouTube for early access and go beyond the podcast: https://www.youtube.com/c/MoneyGuyShow?sub_confirmation=1

Connect with us on social media for more content: https://moneyguy.com/link-in-bio/

Take the relationship to the next level and become a client: https://moneyguy.com/become-a-client/

#WealthBuilding #PersonalFinance2026 #RetirementPlanning #FinancialFreedom