The Red Zone Mindset & The Illusion of Lower Taxes

This week, Jerry and Nick Royer tackled the critical topic of retirement tax planning, focusing on what they call the “Retirement Red Zone”—the five years before and after retirement where every financial decision matters most. They discussed recent changes in tax laws, emphasizing that today’s lower tax rates and deductions, including the new senior deduction, are potentially temporary. With rising government spending and debt, the Royers cautioned listeners that tax rates could potentially increase in the future, urging retirees and near-retirees not to be lulled into a false sense of security by the current “calm before the storm.”

The show also addressed common misconceptions about Social Security taxation, illustrating how “tax bracket creep” has led to more retirees owing taxes on their benefits due to frozen income thresholds set decades ago. Throughout the episode, Jerry and Nick stressed the importance of proactive annual reviews, balancing tax buckets, and creating flexible plans that adapt to changing rules, market volatility, and surprise healthcare expenses.


For more information about Nick & Jerry Royer and the Group 10 Financial Team, visit https://group10financial.com/