One of my favorite filmsIt's not feudalism; it's an anarcho-syndicalist commune.
One of my favorite filmsIt's not feudalism; it's an anarcho-syndicalist commune.
Yes! Those that need the money the least, that is, those who can afford to live a nice retirement without their deferred savings, will now get extra time before beginning to pay the taxes they chose to defer. Perhaps they will do some sort of "means testing" where those with the highest net worth get to wait the longest before beginning to pay the deferred taxes?
ad nauseamAs I have posted repeatedly here...
exactly as promised when you set up the account, and spread out over your remaining lifetime.The problem is the RMD that FORCES you to take out an amount the government dictates every year... and every year that amount changes.
and if the elderly person does not calculate correctly and take out the correct government mandated amount, the IRS will fine him 50% of the error. Amazing how many think that is a wonderful burden to force on old people...
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+1. Seems like a lot of angst around here over a tax deal that has already improved for most of us due to lower brackets under the recent tax cut. You took your deferments with known expectations. Now pay the tax. For those worrying about the kids getting whacked, how about pulling out more than your RMDs now at your lower brackets and put the excess in taxable where the kids can pick it up free and clear? If you are already so loaded that you are at the top brackets during RMD days, quit complaining - you just got a massive tax cut.Yes! Those that need the money the least, that is, those who can afford to live a nice retirement without their deferred savings, will now get extra time before beginning to pay the taxes they chose to defer. Perhaps they will do some sort of "means testing" where those with the highest net worth get to wait the longest before beginning to pay the deferred taxes?
Warren and Bill will be thrilled!
...........think about your money going to the billions spent on foreign aid in one year..
I really get tired of this old canard. Foreign aid is about 1% of the budget and most of that goes to allies for military assistance or buying off governments, especially in the Middle East.
U.S. foreign aid: A waste of money or a boost to world stability? Here are the facts
I really get tired of this old canard. Foreign aid is about 1% of the budget and most of that goes to allies for military assistance or buying off governments, especially in the Middle East.
U.S. foreign aid: A waste of money or a boost to world stability? Here are the facts
If the RMD age were raised or eliminated, I would do what I have already been doing for many years... intelligently withdraw the amount of money I choose from my traditional IRA every year which is a tax advantage to me.
Under RMD rules, the government forces you to withdraw the amount the government chooses [and if you don't calculate and withdraw correctly, the IRS can fine you 50% of the error] which is a tax advantage to the government.
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In other words, instead of the analogy of our RMD tax money going to fill potholes on roads we use... it's used to filling potholes on foreign roads we don't use.
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I’d more likely support lowering the first RMD to your FRA..
Over time and depending on circumstance, government rules change.
Social Security was not taxed until the 1980s. If the government can implement a tax, it can also eliminate a tax.
RMD draconian rules need to change as many financial experts over the years have advocated... and apparently Trump agrees.
I'm not suggesting no taxes be paid on traditional IRA/401k withdrawals. I'm advocating the elimination of the RMD rule, or at least raising the RMD age at least a decade.
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Yes! Those that need the money the least, that is, those who can afford to live a nice retirement without their deferred savings, will now get extra time before beginning to pay the taxes they chose to defer. Perhaps they will do some sort of "means testing" where those with the highest net worth get to wait the longest before beginning to pay the deferred taxes?
Warren and Bill will be thrilled!
... For those worrying about the kids getting whacked, how about pulling out more than your RMDs now at your lower brackets and put the excess in taxable where the kids can pick it up free and clear? ...
Helena, thou doth protest too much.
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Only problem is that the RMD is not injust, it's just that you now don't like the deal that you signed up for long ago.I actively protest injustice like the RMD... and not just on internet forums.
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Only problem is that the RMD is not injust, it's just that you now don't like the deal that you signed up for long ago.
The retirement savings money has to be taxed sooner or later when it is spent. So, people want to keep it forever unspent? When they die, the money if not left to a younger spouse will be left to their heirs, mostly their offsprings. It will be then be taxed when distributed, and their offsprings may have a higher tax rate as they are younger and still working.
So, what is the advantage of delaying paying taxes?
Yup, the government hasn't changed the rules, they are holding their end of the bargain.