Federal Automatic IRA Bill Introduced in the House | TheStreet
Lawmakers in Congress have reintroduced a bill that aims to boost retirement savings for the millions of Americans who don’t have access to a retirement plan at work. The Automatic IRA Act of 2024 would create a system for automatically enrolling workers in individual retirement accounts (IRAs) similar to the auto-enrollment plans that several states, including Colorado, have set up in recent years.
Limiting Retirement Plan Tax Perks May Help Social Security, Experts Say | CNBC
A new research paper from the Center for Retirement Research at Boston College is making a splash for its controversial proposal for shoring up Social Security’s finances. The paper promotes the idea of eliminating tax incentives for defined contribution plans like 401(k)s. That means workers would pay tax on their retirement plan contributions, and that tax revenue could be put toward improving Social Security’s funding. The paper has received pushback from those who argue workers will be less likely to save for retirement without tax incentives.
Why the 1960s Can Help Us Understand Our Confusing Economic Mood | Yahoo! Finance
Despite a growing economy, public sentiment remains stubbornly low, baffling some economists and political experts. In some ways, our current economic mood mirrors the 1960s, a decade marked by a booming economy but also social upheaval and, toward the end of the decade, rising inflation.
Caring for Your Aging Parents: A Seven-Step Guide | Kiplinger
Finding yourself responsible for the care of people who used to care for you can be an overwhelming experience. Here are a few key considerations and tips for tackling them, from finances and logistics to remembering your own needs and capabilities.
News You Should Know is a digest of news from publications around the nation about finance, investing, and retirement.
Defined contributionA type of individual retirement plan in which an employee saves a portion of each paycheck (along with a potential employer match) and invests that money. The employee’s retirement benefit is based on their account balance at retirement. A 401(k) is a type of defined contribution plan.
Federal lawmakers (besides focusing on a budget and perhaps some crucial foreign assistance matters) need to pass H.R. 82, The Fairness in Social Security Act… the rest of their laws are just the typical corporate welfare and grandstanding. If PERA members have friends or family in other states, they should have them contact their Congressional representatives (mostly Republicans) to pass H.R 82 AND REPEAL SOCIAL SECURITY’S WEP & GPO OFFSETS!
Hear Hear! Well stated.
Recent estimate of SS – 9 years left until all SS recipient ‘s will get a 23% cut in benefits.
Yes, Social Security is projected to not have sufficient funds to pay what was “promised.” Similar to what happened to PERA retirees; and likewise it’s due to underfunding (tax cheats, employers stealing FICA contributions, the rich not paying their share, and government raids on trust funds); but the reduction to PERA in ten years (without a COLA) will be around 50%, if inflation is considered! The real lesson is defined contribution (DC) plans should NEVER be funded near 100%, because it just encourages the plan administrators to steal, and that is why SB18-200 (which requires PERA be funded at 120% of liabilities by 2048) must be repealed!
This has all the ear marks of another Gov. jab in the eye, of both current employees, and retires in particular. It falls in lock step with another tax program entitled RMD. (Required Minimum Disbursement) Most familiar to those of us age 70+. It requires that if you have money in any IRA account that is gaining interest yearly, and is tax deferred, that when you reach age 73 you must withdraw a minimum amount from your IRA. How much you’re required to withdraw is calculated on your age and how much you have invested, and how the economy is doing overall. The catch-22 of this is, you have only two choices, pay taxes on the money you MUST withdraw by law, at the time of the withdraw, or add the amount you withdraw into your gross income for the year. Which can throw you into a higher tax bracket and you loose what you had gained. I know this, because I just got through dealing with this issue here at tax time. The bottom line is you’re no longer able to continue gaining tax free money in an IRA. It curtails any real ability to get ahead. It’s just another example of the Gov. with their hand out saying pay them now, or pay them later. They all need to be reminded that if the Gov. had just kept their paws off of, or paid back in full, the money they’ve stolen over the years for pet projects, Social Security and Medicare would’ve been fully funded now.