At 65, people have the luxury of senior benefits where you could get a discount for almost anything. At this age and beyond, an individual is still required to file and pay an income tax for any income that they receive. Although said individual is retired, he/she is most likely still receiving some form of income where it be Social Security, trusts, estate sales, etc. So in order to avoid having to deal with this in the future, it may be time to look into retirement plans. Most companies today sponsors the option to open a 401k with them, where part of an individual’s paycheck is taken and invested into this account before taxes are taken out. Another option could be an Individual Retirement Account, where someone contributes money to an account that has tax-free growth for when they retire. Now because these accounts are meant for retirement, it is imperative that this account is untouched until an individual hits a required age. In other words, if this individual make a withdrawal before the required age of the plan, you will be subjected to a penalty where they may get taxed 10% when they next file their taxes. If you are an individual who has not yet taken any actions to prepare for retirement, it’s not too late to contact a financial planner for help on making a plan. If you ever need any financial help or if you have questions about our blog or newsletter, Delerme CPA is more than happy to answer your questions and guide you in the right direction. Have a nice day.