How the Saver's Credit Boosts Retirement Savings for Low-Income Workers

In Episode 130 of The Tax Strategy Podcast, Lucas and Luna dive into the Saver's Credit — a non-refundable tax credit that can put up to $1,000 back in the pocket of a low-to-moderate-income worker who contributes to a retirement account. They explain the income limits for 2026 (adjusted gross income below $38,250 for singles, $76,500 for married filing jointly), how the credit rate phases down from 50% to 10%, and why nearly 40% of eligible taxpayers never claim it. Lucas shares a concrete example: a single filer earning $30,000 who contributes $2,000 to a Roth IRA could get a $1,000 credit. They also discuss the Saver's Credit's marriage penalty quirks and why it's often overlooked by tax software. Practical, actionable advice for low-income savers and the advisors who serve them. #SaversCredit #RetirementSavings #TaxCredit #LowIncome #RothIRA #401k #TaxStrategy #FexingoBusiness #BusinessPodcast #Finance #TaxPlanning #IRS #PersonalFinance #CreditRate #AGI #MarriagePenalty #TaxSoftware #Retirement Keep every episode free: buymeacoffee.com/fexingo