U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Politics and Other Controversies
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Closed Thread Start New Thread
 
Old 04-06-2013, 11:52 AM
 
Location: Great State of Texas
86,093 posts, read 72,297,737 times
Reputation: 27564

Advertisements

Quote:
Originally Posted by HistorianDude View Post
Okay... I guess I just have to accept that nobody else on this thread is an MBA. Let me try and explain to you what you have clearly missed.

1. The proposal places no limits whatsoever on the amount of money you can access from your IRA. It only places a limit on the amount of principle that can sit in the IRA and remain tax deferred. That number appears to be (about) $3 million dollars.

2. The $205K figure represents a reasonable rate of return that $3M can be expected to generate; about 6.8%. It is the amount of money a retiree could take out of their IRA every year without ever touching the principle. But nobody ever said that's all you can take out.

3. The proposal also places no limits whatsoever on the level of a person's retirement income, or the amount of wealth a person can have in savings and investments. All it says is that no more than $3M of it can be in IRAs.

4. This is no different from the current limits of annual contributions a person make into their IRAs. And yes, all the limits are to insure that tax deferral does not become full scale tax avoidance.
There is no tax avoidance with IRA/401K. You either take it out and pay tax or you die and it gets taxed in your estate.

This is not like swiss bank accounts with "secret money". The government just wants more money now from you.

 
Old 04-06-2013, 11:52 AM
 
69,372 posts, read 55,346,365 times
Reputation: 9358
Quote:
Originally Posted by HistorianDude View Post
Okay... I guess I just have to accept that nobody else on this thread is an MBA. Let me try and explain to you what you have clearly missed.

1. The proposal places no limits whatsoever on the amount of money you can access from your IRA. It only places a limit on the amount of principle that can sit in the IRA and remain tax deferred. That number appears to be (about) $3 million dollars.
Why would they want to do that? The more that sits in the account, the more the government would collect due to an estate tax
Quote:
Originally Posted by HistorianDude View Post
2. The $205K figure represents a reasonable rate of return that $3M can be expected to generate; about 6.8%. It is the amount of money a retiree could take out of their IRA every year without ever touching the principle. But nobody ever said that's all you can take out.
Actually thats EXACTLY what you said.
Quote:
Originally Posted by HistorianDude View Post
But only $205K per year can come out of tax deferred IRAs.
Quote:
Originally Posted by HistorianDude View Post
3. The proposal also places no limits whatsoever on the level of a person's retirement income, or the amount of wealth a person can have in savings and investments. All it says is that no more than $3M of it can be in IRAs.
And why would they limit the ability of the lower and middle income to create wealth? Thats pretty dumb.. You guys are the same people who moan and groan about the wealth gap in america, but now you're celebrating stupid proposals to expand the wealth gap..
 
Old 04-06-2013, 11:54 AM
 
Location: Great State of Texas
86,093 posts, read 72,297,737 times
Reputation: 27564
Quote:
Originally Posted by pghquest View Post
Why would they want to do that? The more that sits in the account, the more the government would collect due to an estate tax

Actually thats EXACTLY what you said.


And why would they limit the ability of the lower and middle income to create wealth? Thats pretty dumb.. You guys are the same people who moan and groan about the wealth gap in america, but now you're celebrating stupid proposals to expand the wealth gap..
Maybe they think the rich people do have IRAs and 401Ks ?
LOL at that if they do.

Notice Obama is not going after Trusts ?
 
Old 04-06-2013, 11:55 AM
 
Location: Too far from home.
8,743 posts, read 5,761,677 times
Reputation: 2361
Quote:
Originally Posted by eRayP View Post
Yes, we are a generation who saw history being made.

The first black president
The highest welfare rate ever
Highest corporate taxes ever
The fall of our country
The Obama legacy.
 
Old 04-06-2013, 11:55 AM
 
69,372 posts, read 55,346,365 times
Reputation: 9358
Quote:
Originally Posted by HappyTexan View Post
There is no tax avoidance with IRA/401K. You either take it out and pay tax or you die and it gets taxed in your estate.

This is not like swiss bank accounts with "secret money". The government just wants more money now from you.
This would probably result in the government getting less money.

Isnt the estate tax rate higher than the tax rate one would pay when taking money out of their IRA? Clearly limiting the amount one can take out would limit how much people put in..

Beyond stupid.
 
Old 04-06-2013, 11:57 AM
 
Location: None of your business
5,467 posts, read 3,763,834 times
Reputation: 1170
Quote:
Originally Posted by HappyTexan View Post
Maybe they think the rich people do have IRAs and 401Ks ?
LOL at that if they do.

Notice Obama is not going after Trusts ?
I am thinking this myself. Typically a middle income wage earner contributes money to an IRA because when they retire due to the loss of w2 income they plan on being poor. But does a rich person think this way, I would not think so?
 
Old 04-06-2013, 11:58 AM
 
69,372 posts, read 55,346,365 times
Reputation: 9358
Quote:
Originally Posted by HappyTexan View Post
Maybe they think the rich people do have IRAs and 401Ks ?
LOL at that if they do.

Notice Obama is not going after Trusts ?
My criticism over trusts is very vocal on these forums, and I own and manage dozens of them. These people dont seem to have a clue about how the truly wealth pass wealth on, and earn it, avoiding taxes.

When will Obama go after 1031 tax exchanges? Thats right, he wont, him and his buddies on Wall Street probably use them heavily.. Yes, lets go after that middle class, that makes a lot of sense.. NOT
 
Old 04-06-2013, 12:01 PM
 
69,372 posts, read 55,346,365 times
Reputation: 9358
Quote:
Originally Posted by eRayP View Post
I am thinking this myself. Typically a middle income wage earner contributes money to an IRA because when they retire due to the loss of w2 income they plan on being poor. But does a rich person think this way, I would not think so?
Not at all.

A middle income wage erner worries about creating income till they die, or having money to pay their bills.

A wealthy individual worries about maintaining their wealth. I know lots of people who are in this category, and a lot of them dont even worry about the rate of return, thats why they will buy bonds with negative yields. They just want to know that in 10 - 20 years, their assets will be what they currently are, or more. They know that as they grow old, they can simply sell off, or even better mortgage these assets, (money received from mortgaged assets are TAX FREE), thus even better than 401K's or IRAs..

Its like these left wing kooks dont know the difference between income, and wealth.
 
Old 04-06-2013, 12:01 PM
 
Location: None of your business
5,467 posts, read 3,763,834 times
Reputation: 1170
Quote:
Originally Posted by pghquest View Post
My criticism over trusts is very vocal on these forums, and I own and manage dozens of them. These people dont seem to have a clue about how the truly wealth pass wealth on, and earn it, avoiding taxes.

When will Obama go after 1031 tax exchanges? Thats right, he wont, him and his buddies on Wall Street probably use them heavily.. Yes, lets go after that middle class, that makes a lot of sense.. NOT
this thread is interesting.

Last edited by eRayP; 04-06-2013 at 12:17 PM..
 
Old 04-06-2013, 12:03 PM
 
Location: Great State of Texas
86,093 posts, read 72,297,737 times
Reputation: 27564
Quote:
Originally Posted by pghquest View Post
My criticism over trusts is very vocal on these forums, and I own and manage dozens of them. These people dont seem to have a clue about how the truly wealth pass wealth on, and earn it, avoiding taxes.

When will Obama go after 1031 tax exchanges? Thats right, he wont, him and his buddies on Wall Street probably use them heavily.. Yes, lets go after that middle class, that makes a lot of sense.. NOT
Oh no..Obama said WEALTHY, not middle class.
And the sheeple eat it up.

yeah..Bill Gates is limited to $205K per year from his "401K" plan..ROFLMAO

Nice..limit IRA/401K and cut SS and medicare.
See where this is leading ?
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Closed Thread

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Politics and Other Controversies
Similar Threads
Follow City-Data.com founder on our Forum or

All times are GMT -6. The time now is 09:34 AM.

2005-2019, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top