But if they want to get more money today, then limit the amount people can put aside today... it is more 'fair' because it is imposed on everybody... also, the poor can not put $20K or more aside each year so it does not affect them... you are not creating any new calculations or forms or anything else... just changing what is already in place.... AND, you will bring in a lot more money than this proposal...
I agree something like this makes more sense and does not feel as much like government intrusion with an imposed lifetime cap.
Just limit the amount that can be deferred each year with all deferred options such as the 401K(already has caps), Simple and SEP IRA's, annuities...etc.
Consequences for the annuity industry? Don't know, but perhaps.