When you retire, income you receive may be taxed differently than when you were working.
Taxes in retirement are different because you're drawing on savings and investments. Your new set of rules can vary widely and could be more complex.
Why? Because many contributions to Individual Retirement Accounts (IRAs) grow on a tax-deferred basis. So, once you begin taking distributions, you'll likely owe taxes—both on your earlier pre-tax contributions and on any earnings.