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How One Couple Saved Over $120,000 in Taxes!
- Davis Oliver
- Oct 1, 2025
- 3 min read
In this week’s Taxes Saved Review, I share an exciting real‑life example highlighting how powerful strategic tax planning can be. This is especially true for retirees with strong pensions, Social Security income and substantial tax‑deferred savings.
We recently worked with a couple from Minnesota who are currently in retirement. Between their pension income and Social Security, they receive about $200,000 per year. Like many diligent savers, they accumulated significant balances in their IRA and 401(k) accounts after long careers as engineers. Minnesota’s 9.85% state income tax creates additional challenges for retirees. This makes strategic planning especially important.
As they transition from the accumulation phase to retirement distribution, their goals are clear:
Keep more of the money they’ve saved
Live more by maximizing tax‑efficient retirement income
Leave more as a tax‑free legacy for their family
This couple decided to complete a $300,000 Roth conversion as well, using one of our proprietary strategies, The Seven Times Tax Deduction Software Strategy (which is available for the first quarter of the 2026 planning year). To use this strategy, they made a $50,000 investment (a 14% down payment) into a software outsourcing business. In return, the strategy generated a $350,000 tax deduction, which dramatically reduced their taxable income.
Before and After
Without any planning:
Total income after standard deduction: ≈$470,000.
Federal tax due: $106,029.
Minnesota state tax: $46,374.
Effective tax rate: 30.5%.
After implementing the strategy:
Adjusted taxable income: $120,800.
Federal tax due: $16,000.
Minnesota state tax: $11,000.
Effective tax rate: 5.7%.
In total, they saved $123,822 in taxes, all from a $50,000 investment! Beyond the tax reduction, the business they invested in is designed to generate ongoing income, revenue and profit, making this an even stronger long‑term opportunity.
This example illustrates just one of the over 94 tax‑saving strategies available through our planning platform and supported by our team of 22 CPAs and EAs. The right strategy can significantly reduce your tax burden, help you keep more of your income and your retirement savings, expand your lifestyle and enhance your legacy planning.
If you’re interested in how these strategies work and you want to model your own numbers, we invite you to request your Saving Tax Optimization Plan (S.T.O.P.) Analysis at TaxesSaved.com. This analysis helps identify strategic opportunities, timing considerations and potential tax-saving paths that are tailored to your goals.
To Request Your Saving Tax Optimization Plan (S.T.O.P.) Analysis
Visit TaxesSaved.com – Watch the insightful case study webinar that shares two impactful client case studies showing how to save thousands of dollars in taxes.
Request your S.T.O.P. Analysis – Saving Tax Optimization Plan tailored to your unique situation.
Select a Date and Time – Be specific! Choose a time so we can prepare for your tax-saving opportunities.
Show Up and Learn Your Tax Risk – We’ll walk you step-by-step through exactly what to do to reduce retirement taxes and keep more of your income.
Reminder: there is still a short window of time to still save taxes for 2025 (If you didn’t plan or time got away).
Learn what not to miss for tax savings in 2026! Let’s work together this year to help you keep more, live more, and leave more.
Note: We serve retired, self-employed or high W-2 earners all over the Unites States. We have an efficient, supported process to meet online, as we have been doing for over 20 years. Our online meetings are private, the access is restricted and we never share our meeting link with anyone who’s not a part of the meeting.
Davis Oliver | Tax Strategist
Keep more, live more, leave more!
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