I am a retiree on SSA and my IRA as income. I seem to get hit with an underpayment penalty but have 10% withheld from my IRA for taxes. Now can I avoid this penalty?
I am a retiree on SSA and my IRA as income. I seem to get hit with an underpayment penalty but have 10% withheld from my IRA for taxes. Now can I avoid this penalty?
You need increase the amount of tax withheld from your IRA or have something withheld from your Social Security payments. The question is, how much? To determine this, I suggest you use the IRS online withholding calculator. Tax Withholding Estimator
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