New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

2022 Year-End Tax Tips Goodyear Tire & Rubber

Healthcare Provider Update: Healthcare Provider for Goodyear Tire & Rubber Goodyear Tire & Rubber typically partners with various health insurance providers to deliver employee healthcare benefits. Notable providers often include major national insurers like UnitedHealthcare, Anthem, and Aetna, among others. Specific provider information may vary by location and employee plan. Potential Healthcare Cost Increases for Goodyear in 2026 As Goodyear Tire & Rubber braces for anticipated healthcare costs in 2026, employees should prepare for substantial premium hikes linked to the Affordable Care Act (ACA). With many states expecting increases exceeding 60% and the potential expiration of enhanced federal subsidies, Goodyear may introduce adjustments to benefit plans to mitigate rising expenses. Furthermore, the broader trend of increasing medical costs along with changes in plan design could mean that employees face a larger portion of out-of-pocket healthcare expenses, necessitating careful evaluation of their benefits and cost-management strategies. Click here to learn more

'For Goodyear Tire & Rubber employees, proactive tax planning strategies, like deferring income and accelerating deductions, can significantly enhance retirement readiness, and working with an advisor like Kevin Landis from The Retirement Group, a division of Wealth Enhancement Group, can help you make the most of these opportunities.'

'As the tax landscape evolves, it's crucial for Goodyear Tire & Rubber employees to carefully weigh year-end moves such as contributing to retirement accounts or adjusting withholding, and an advisor like Brent Wolf from The Retirement Group, a division of Wealth Enhancement Group, can guide you in optimizing your tax strategy for long-term financial success.'

In this article we will discuss:

1. Tax strategies for employees and retirees of Goodyear Tire & Rubber companies, including deferring income and accelerating deductions.
2. Charitable contributions and their impact on tax returns for individuals who itemize deductions.
3. The importance of required minimum distributions (RMDs) and year-end investment decisions.
According to a recent study by the Insured Retirement Institute (IRI), a leading financial research firm, 60% of Baby Boomers plan to continue working in some capacity during retirement. This means that for many employees and retirees of Goodyear Tire & Rubber companies, tax planning strategies will continue to be relevant well beyond retirement age. It is important for this demographic to consider the impact of their retirement income on their tax liabilities, as well as the tax implications of continuing to work in retirement. With that taken into account, Here are some factors for employees and retirees of Goodyear Tire & Rubber companies to consider as they evaluate potential tax moves between now and the end of the year.
1. Defer income to next year

Consider opportunities to defer income until 2023, especially if you believe you will be in a reduced tax bracket in 2023. For instance, you may be able to defer an end-of-year bonus or delay the collection of business debts, rent, and service payments. As an employee of Goodyear Tire & Rubber, doing so may allow you to defer income tax payment until the following year.

2. Accelerate deductions

Employees and retirees of Goodyear Tire & Rubber should also seek opportunities to accelerate deductions into the current tax year. If you itemize deductions, paying medical expenses, qualifying interest, and state taxes before the end of the year (instead of paying them in early 2023) could affect your 2022 tax return.

3. Make deductible charitable contributions

Generally, if you are an employee of Goodyear Tire & Rubber and itemize deductions on your federal income tax return, you can deduct charitable contributions up to 50% (currently increased to 60% for cash contributions to public charities), 30%, or 20% of your adjusted gross income (AGI), depending on the type of property you donate and the type of organization to which you donate. (Exceeding quantities may be carried forward for a maximum of five years.)

4. Bump up withholding to cover a tax shortfall

If it appears that you will incur federal income tax for the year as an employee of Goodyear Tire & Rubber, consider increasing your withholding on Form W-4 for the remainder of the year to cover the shortfall. Time may be limited for Goodyear Tire & Rubber employees to request a Form W-4 modification and for their employers to implement the change by 2022. The greatest benefit is that withholding is considered to have been paid equitably throughout the year, as opposed to when the dollars are actually deducted from your paycheck. This strategy can be utilized by employees of Goodyear Tire & Rubber to make up for missed or insufficient quarterly estimated tax payments.

5. Save more for retirement

You can reduce your 2022 taxable income through contributions to a traditional IRA and a 401(k) sponsored by a Goodyear Tire & Rubber company. If you are an employee of Goodyear Tire & Rubber and have not already contributed the maximum amount, you should consider doing so. For 2022, Goodyear Tire & Rubber employees can contribute up to $20,500 to a 401(k) plan ($27,000 if over 50) and up to $6,000 to traditional and Roth IRAs combined ($7,000 if over 50).* The window for 2022 contributions to a Goodyear Tire & Rubber-sponsored plan typically concludes at the end of the year, whereas the deadline for 2022 IRA contributions is April 18, 2023.

Contributions to a Roth account are not tax-deductible, but qualified Roth distributions are not taxable.

6. Take the required minimum distributions

If you are 72 or older and work for Goodyear Tire & Rubber, you are generally required to take required minimum distributions (RMDs) from traditional IRAs and Goodyear Tire & Rubber-sponsored retirement plans (exceptions apply if you are still employed and participating in Goodyear Tire & Rubber's retirement plan). The deadline for withdrawals is typically the end of the year for most individuals. The penalty for noncompliance is severe: fifty percent of the quantity that was not distributed on time. As an employee of Goodyear Tire & Rubber, it is imperative that you make these distributions on time to avoid the late payment penalty.

7. Weigh year-end investment moves

Goodyear Tire & Rubber employees and retirees shouldn't let tax considerations dictate investment decisions. Nonetheless, you should consider the tax implications of any year-end investment decisions. If you have realized net capital gains from the sale of securities at a profit, you may be able to avoid taxation on some or all of these gains by selling negative positions. Any losses in excess of your gains as an employee of Goodyear Tire & Rubber can be used to mitigate up to $3,000 of ordinary income ($1,500 if your filing status is married filing separately) or carried forward to reduce your tax liability in future years.

Conclusion

Preparing your taxes is like taking care of your health. Just as you need to stay on top of your physical well-being to prevent future health issues, you also need to plan ahead and take the necessary steps to ensure that you're not hit with unexpected tax liabilities in the future. By deferring income, accelerating deductions, making charitable contributions, and contributing to your retirement accounts, you can ensure that your financial health is in good shape for the years ahead. Just as you wouldn't skip your annual check-up, you shouldn't overlook the importance of taking care of your taxes.

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Sources :

1. Weltman, Barbara. '5 Tax Planning Strategies for Your Retirement Income.' Investopedia , 3 Oct. 2022, https://www.investopedia.com/retirement/tax-strategies-your-retirement-income/?utm_source=chatgpt.com .

2. Morgan Stanley. 'Tax-Smart Strategies for Your Retirement.' Morgan Stanley , 2023, https://www.morganstanley.com/articles/tax-strategies-for-retirement?utm_source=chatgpt.com .

3. Vanguard. 'Tax-Efficient Retirement Strategy.' Vanguard , 2023, https://investor.vanguard.com/advice/tax-efficient-retirement-strategy?utm_source=chatgpt.com .

4. Thrivent. '6 Retirement Tax Planning Strategies You Should Know.' Thrivent , 2023, https://www.thrivent.com/insights/taxes/6-retirement-tax-planning-strategies-you-should-know?utm_source=chatgpt.com .

5. New York Life Insurance. 'Tax Planning Strategies for Retirement.' New York Life Insurance , 2023, https://www.newyorklife.com/articles/tax-considerations-in-retirement?utm_source=chatgpt.com .

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Pension Plan Information: Goodyear's Form 10-K typically includes information about pension plans in the section discussing employee benefits and retirement plans. The page number might vary between reports. 401(k) Plan Information: This is also covered in the employee benefits section of the Form 10-K, describing the 401(k) plan details.

Restructuring and Layoffs: In 2023, Goodyear announced significant restructuring efforts, including layoffs aimed at reducing operational costs and streamlining their global operations. The company aimed to improve profitability amidst a challenging economic climate. This restructuring is part of Goodyear's broader strategy to adapt to the current economic environment, which includes shifting market demands and evolving industry standards.

Goodyear Tire & Rubber offers stock options and RSUs as part of their compensation package. Stock options typically grant employees the right to purchase shares at a set price in the future. RSUs are granted to employees with vesting conditions.

Goodyear Tire & Rubber: Health Benefits Information 1. Official Website Goodyear Tire & Rubber's Official Site: Check the "Careers" or "Employee Benefits" section for information on health benefits. 2. Employee Benefit Reviews Glassdoor: Look for employee reviews related to benefits and healthcare. Indeed: Search for employee reviews and benefits information. 3. News Articles Business Insider: Search for articles on Goodyear's employee health benefits and recent changes. Forbes: Look for recent news about Goodyear’s employee benefits and healthcare policies. 4. Industry Publications HR Magazine: Look for articles related to Goodyear’s healthcare benefits and any recent updates. Employee Benefit News: Check for articles about Goodyear's health benefits and any changes or trends. 5. Financial and Business News Reuters: Search for any recent business news affecting Goodyear’s health benefits. Bloomberg: Look for articles on Goodyear’s employee benefits and related financial impacts. Specific Healthcare-Related Terms and Acronyms HSA: Health Savings Account FSA: Flexible Spending Account PPO: Preferred Provider Organization HMO: Health Maintenance Organization EAP: Employee Assistance Program COBRA: Consolidated Omnibus Budget Reconciliation Act Recent Employee Healthcare News Look for recent changes or updates to Goodyear’s health insurance plans, any new benefits introduced, or alterations to existing plans.