Retirement Planning Strategies Following the 2017 Tax Act


This week’s AAII Weekly Digest highlights these
“must-read” AAII articles:


Common Questions About Medicaid and Medicaid PlanningCommon Questions About Medicaid and Medicaid Planning

State and federal governments continue to tinker with Medicaid eligibility and spend-down rules. Estate planning and gifting strategies can be used to preserve assets, while still allowing a person to maintain eligibility for Medicaid.

Retirement Planning Strategies Following the 2017 Tax Act

William Reichenstein

The Tax Cuts and Jobs Act (TCJA) of 2017 calls for generally lower tax rates from 2018 through 2025 before reverting back to 2017’s higher tax rates (after inflation adjustments) in 2026. The TCJA affects several tax-based strategies related to retirement planning. This article addresses two strategies for those who believe that tax rates in 2018 and the next few years will be lower than tax rates in later years.


A Key to a Lasting Retirement PortfolioA Key to a Lasting Retirement Portfolio

If you’re retired—or nearing it—ensuring that your retirement investment portfolio lasts your lifetime is critical. And that’s not easy because by nature the stock market is volatile. What if a market downturn takes a bite out of your investment portfolio? Staying within or below a 4% to 5% withdrawal rate (adjusted annually for inflation) will decrease your risk of outliving your retirement savings.


Determining Your Allocation at Retirement

Which is the better strategy at retirement: gradually increase exposure to bonds beyond the date of retirement, or immediately increase the fixed-income allocation at the date of retirement? The answer depends on your personal situation.


Our Member Question for this week is:

Thus far, has your financial situation improved, worsened or stayed the same following the passage of the Tax Cuts and Jobs Act of 2017?


Vote to answer this week’s Special Question: In what way(s) has your financial situation changed following the passage
of the Tax Cuts and Jobs Act of 2017

Last Week’s Results:

Do you purposefully avoid “sin” stocks—publicly traded companies either involved in or associated with an activity that is considered to be unethical or immoral such as alcohol, tobacco, gambling and/or weapons manufacturers—when making investments?






Poll results are as of 9 a.m. (Central) on Monday. 1,811 respondents.

AAII Survey: Readers Weigh in on Socially Responsible Investing

Do you avoid certain sectors or companies because of the products they produce? Our latest survey question asks if readers align their investment strategies with their social values or invest based on environmental, social and/or corporate governance issues.

AAII e-book: Profitable Retirement Planning

This e-book, which is available exclusively to AAII members, was written to help our members achieve a financially secure retirement. The book offers an overview of many of the primary considerations for retirement planning, including: how much you need to save; where your retirement income will come from; which asset classes you should invest in; and what you should take advantage of in your company’s defined contribution plan (if available).




The AAII Weekly Digest is one of the many benefits of AAII membership. To learn more, consider a 30-day Trial AAII Membership to start becoming an effective manager of your own assets.


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