You really think congress has the balls (stupidity) to...?

[PeoplesElbow]

To damn near eliminate the tax deferred advantage of your 401k plan?

http://www.investopedia.com/retirement/congress-may-take-away-your-401k-tax-deduction/

 

[vraiblonde]

"Considering a plan" doesn't really mean anything. It just means it was brought up as a possibility. I'm sure those critters have considered any number of changes or eliminations. This is simply speculation about something that hasn't happened and isn't likely to happen. Not sure why the author even wrote it.

 

[transporter]

Hey...way to keep up with actual news....

Vrai...it is being written about because our incompetent President tweeted about it. What, you couldn't read past the first paragraph of the article?

This was written 6 minutes ago: https://www.reuters.com/article/us-...bles-on-local-tax-deduction-401-idUSKBN1D1681

We will know what is in the tax cut plan tomorrow morning. It will likely be just as stupid as what W did.

 

[PeoplesElbow]

Hey...way to keep up with actual news....

Vrai...it is being written about because our incompetent President tweeted about it. What, you couldn't read past the first paragraph of the article?

This was written 6 minutes ago: https://www.reuters.com/article/us-...bles-on-local-tax-deduction-401-idUSKBN1D1681

We will know what is in the tax cut plan tomorrow morning. It will likely be just as stupid as what W did.

I have a problem with that article stating

Taxpayers now can channel $18,000 of income tax-free into 401(k)s.

It is not tax free, it is tax deferred.

I also have a problem with them saying doubling the standard deduction means itemizing would then only benefit the rich, because you take the lower tax of either method. Doubling the standard deduction would benefit people that are farther along in their mortgage payoff more than anything as the wealthy have the AMT that makes sure they can't deduct an obscene amount from mortgage interest.

 

[nutz]

Doubling the standard deduction would benefit people that are farther along in their mortgage payoff more than anything as the wealthy have the AMT that makes sure they can't deduct an obscene amount from mortgage interest.

Versus the rewards granted for not paying the mortgage(Harp, etal)?

 

[Chris0nllyn]

This wouldn't even be a consideration if they, you know, actually CUT SPENDING.

This is the same type of plan that put us into the 2008 recession and will happen again because Trump's tax plan (and let's face it, every President's) is rooted in wildly inaccurate growth expectations.

 

[Gilligan]

wildly inaccurate growth expectations.

What numbers are they using? I don't recall seeing much specificity on that point...

 

[Merlin99]

This wouldn't even be a consideration if they, you know, actually CUT SPENDING.

This is the same type of plan that put us into the 2008 recession and will happen again because Trump's tax plan (and let's face it, every President's) is rooted in wildly inaccurate growth expectations.

Except tax cuts weren't the cause of that recession. The major cause of that was Barney Frank and friends loosening the mortgage requirements so any and everyone could get a loan regardless of their ability to pay it back. When the inevitable happened it caused a banking crisis that was stretched out with some ill advised government intervention.