Make money work for you!

  • Home
  • Personal Finance
  • Budgeting
  • Shopping
  • Taxes

Want to Reduce Your Taxes? Here Are 7 (Necessary) Tips 

February 23, 2023 · Taxes
retirement, taxes
Photo by Andrey_Popov From Shutterstock

2. Don’t forget about your retirement account

Experts say that another easy way to lower the amount of taxes you have to pay each year is by opening your retirement account. The best part is that this method can be used by anyone. If you’re a young adult who thinks that you don’t need something like this, you’re going to retire someday, aren’t you? See, so you need it.

If you think of opening a traditional 401(k) plan or an IRA account, those amounts of money can actually be deducted from your taxable income, which means that you won’t have to pay as many federal taxes as you would’ve without this method. And that is not all: those funds also grow without any taxes until you decide to retire. Isn’t that great?

If the first 2 types of accounts mentioned aren’t for you, you can open a Roth account, which is funded with after-tax dollars. However, you won’t receive any tax deduction, but the money that is in that specific account will grow tax-free, and you’ll also be able to withdraw it in retirement without paying anything extra.

Don’t forget that you should make your contributions to workplace 401(k) accounts by the end of the calendar year (by the end of 2023, for example), while tax-deductible contributions for traditional IRAs can be made until the tax-filing deadline.

Pages: 1 2 3 4 5 6 7 8

Share this article

Facebook Twitter Pinterest LinkedIn Email

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search

Latest Posts

  • A senior couple reviews their household budget on a laptop in a bright, modern kitchen. Social Security's 2027 COLA Could Be the Smallest in Years
  • A person showing a digital discount coupon on their phone to a pharmacist at a bright, modern pharmacy counter. TrumpRx Is Here - But Will It Actually Lower Your Drug Costs?
  • A happy couple shopping with a full cart at a warehouse club in 2026. Top 10 Sam's Club Deals You Can't Ignore in 2026
  • A couple shopping for high-end deals at a modern warehouse store. 12 Costco Deals Shoppers Are Jumping on for 2026
  • A high-end desk setup with a Social Security card and a gold pen, representing presidential financial benefits. Is Trump on Social Security? A Look at Presidential Benefits
  • A person thoughtfully choosing a card from their wallet at a checkout counter. 5 Places to Avoid Using Your Debit Card and 3 Safe Spots
  • A mature couple looking at a tablet together on a sunny patio, appearing confident about their financial future. Married or Divorced? Don't Miss This Social Security Tip That Could Increase Your Checks
  • A confident woman working on her taxes at a bright, organized home office desk. IRS Alert: 6 Mistakes That Could Inflate Your Tax Bill
  • A woman looks thoughtfully at a tablet in a modern kitchen, representing financial planning for rising costs. Unfortunately, We'll Pay More for These 6 Things in 2026
  • A woman smiling at her phone in a bright living room with a delivery package on the table. The Best Amazon Prime Perks You Should Be Using in 2026

Newsletter

Get money-saving tips and personal finance advice delivered to your inbox.

Related Articles

retirement

10 Ways to Cut Down on Taxes in Retirement

Retirement is meant to be easy, but with inflation rising, the overall situation is more…

Read More →
Tax

5 Tax-Efficient Ways to Share Wealth with Kids

A mother watches her son play outside, considering how smart tax planning today secures his…

Read More →
tax deductions, save

Top 9 Most Hassle-Free Deductions on Taxes

Reinvested dividends While this isn’t exactly a tax deduction, it is still a subtraction that…

Read More →
experts stealth

Can’t Pay Your Taxes? Experts Shared 3 Solutions for You

A person writes in a notebook, outlining a strategic plan to manage tax debt and…

Read More →
income tax, change

These 9 States Have No Income Tax

Everyone wants to have their tax rates reduced. But this isn’t as impossible as some…

Read More →
stimulus check

2023: Will You Get a Stimulus Check? Let’s Find Out!

However, federal stimulus money was not authorized by legislators this year for a major reason:…

Read More →

Are You a Homeowner? Here Are 5 Trump Tax Bill Changes That Could Affect You

2. SALT Deduction Cap Increases to $40,000 One of the most significant wins for homeowners—especially…

Read More →
A confident woman working on her taxes at a bright, organized home office desk.

IRS Alert: 6 Mistakes That Could Inflate Your Tax Bill

Tax season 2026 is here with new laws and higher deductions. Avoid these 6 costly…

Read More →
tax season, save

8 Tax Season Preparation Steps (2023)

2. Schedule an Appointment The next step you may want to take to prepare for…

Read More →
The Money Place

Make money work for you!

Inedit Agency S.R.L.
Bucharest, Romania

contact@ineditagency.com

Trust & Legal

  • Subscribe
  • Unsubscribe
  • Newsletter
  • Terms and Conditions
  • Do not sell my personal information
  • Privacy Policy
  • Contact

Categories

  • Budgeting
  • Personal Finance
  • Shopping
  • Taxes

© 2026 The Money Place. All rights reserved.