donna noble age 74 has 50000 in a certificate of


Donna Noble, age 74, has $50,000 in a certificate of deposit paying 6 % annual interest. In addition to this interest income, she gets social security and a modest pension from her former employer. Her marginal tax rate is 10%. Donna lives independently now, but she anticipates that in numerous years she will need to liquidate the CD to buy into an assisted living retirement home. She just read a magazine article on the benefits of tax-deferred annuities and wonders if she should transfer her $50,000 savings into an annuity. Show whether this tax planning strategy is advisable for Donna Noble. Find what are two other strategies that she could also consider?

Request for Solution File

Ask an Expert for Answer!!
Taxation: donna noble age 74 has 50000 in a certificate of
Reference No:- TGS0484370

Expected delivery within 24 Hours