Hi My husband retired in January 2023. He gets a small pension from his employer (@$225) each month. They do not take taxes out despite his request. I have compensated for it in my paycheck (I still work). Are we going to incur any problems with the IRS since no taxes are taken out?
Also, my husband has a small 401K, about $12000. Would you suggest we take it out as a lump sum and put it in a high yield savings account that we currently have? I plan to work for 3-4 more years. My husband turns 70 this June so he will have to take RMD's by 72. I will still be working so we will still be in a higher tax bracket whether we take it all or RMD's.
Thank you.
