Retirees must understand tax implications for savings

Retirees should be aware of key tax topics to help manage their tax bills. Required minimum distributions (RMDs) now start at age 73 for those born between 1951 and 1959, and at age 75 for those born in 1960 or later. Social Security benefits may be taxable based on income, affecting about 40% of recipients. Healthcare costs can also be deductible, and retirees should consider tax-efficient withdrawal strategies from their retirement accounts. Other important topics include state income taxes, tax credits for seniors, estate taxes, and changing tax laws. Recent changes allow unused 529 plan funds to roll over into a Roth IRA without penalty.