Elimination Of The Backdoor Roth IRA And Other Possible Tax Changes #67
Does all the talk in D.C. have you nervous about changes to the US Tax Code? What will the new President pass with his allies in Congress? Should you expect to pay more taxes in the coming years? How will this change impact your plans for retirement? Don’t worry, you’ve come to the right place to get the information you need! On this episode, we will cover some of the proposed changes to the tax code that are being discussed in Congress. Have pen and paper handy, you don’t want to miss a minute of this informative episode!
You will want to hear this episode if you are interested in...
Retirement planning for new Connecticut teachers [0:50]
How the new tax plan will impact higher-income families and individuals [5:00]
Small business changes in the tax code [8:00]
What has changed for IRAs and ROTH IRAs [10:00]
Reduction in the estate tax exemption [12:00]
What the child tax credit is how it helps [15:00]
Closing thoughts [17:0a0]
Changes are coming
Let’s face it, most people don’t like change. The financial sector by and large doesn’t like change either - change is unpredictable and risky. Nevertheless, changes are coming to the United States Tax Code and it will likely be here before the end of the year. Should you fear the changes? Could the changes actually help? Last month, House Democrats proposed a slew of changes to retirement accounts for the wealthy on Monday, part of a restructuring of the tax code tied to a $3.5 trillion budget plan. Here is a brief list highlighting some of the changes they are considering in Washington.
Limits on High Income Earner Contributions to IRAs
Increase in Required Minimum Distributions with Large Account & High-Income Earners
Roth Conversion Limitations for High-Income earners
End of “Back-Door Roth” Conversions
If all these changes have you panicking, take a breath or two. First, you need to know that none of these changes are law yet so you have some time. Don’t let fear freeze you in your tracks, start planning! If you are looking for a good place to start, take a look around. There are a ton of resources here at your fingertips!