I was listening to someone on the radio talking about the bush tax cuts. He mentioned 401k's, roth IRA's and pentions being taxed like crazy after the tax cuts expire. If you were going to be taking any money out after December 31st it would be taxed at about 55 percent compared to 15 percent. I don't know If I can believe that, but according to what this guy was saying, the financial **** will hit the fan if they let bush's tax cuts expire. Companies will not hire (or it will prolong hiring) and they may have to cut jobs and raise prices of their products to pay for the extra taxes that will be imposed on them.

 

I know there are a few financial people here on the forum, do they have an opinion on this?

 

the guy on the radio made it seem like it's essential to take my money out of my 401k before December 31st. I dunno, heard it on a morning radio show on 92.7 WOMB around 6:00am in the morning.

this topic needs to be moved to general, misplaced it.

My concern with private retirement funds is Congress has started talking about seizing them for our own good. They talked about it when Clinton was in office and times were better then. Last hearing/discussion on this was Sept 14. http://www.dol.gov/ebsa/regs/cmt-1210-AB33.html

Glad my only investments are in the new world currency.....AMMO!!!

redacted

AGREED!!!!!!!!!!!!!!!!!!!!!!

Yeah, tax the corporations MAAAAANNNN. Oh, wait, that's right, corporations don't pay taxes, their customers do.

 

My check went up when the tax cuts hit and I also make nowhere near $250000/year. All you folks that think it was "tax cuts for the rich" are going to notice that when the tax cuts expire, you were in fact "rich" because now you're going to be paying more.

Not touching this post too much as no one knows what will happen.

 

Stop the "Tax the corporations" talk, you are only making yourself look like an idiot.

 

Guess who owns the corporations? The shareholders, ie, the general public.

 

Who is employed by the corporations? You, the taxpayer.

 

Bush Tax cuts will be either, extended or made permanent with modifications. In any case, taxes will go up, they have to, no matter who is in power. Right now, taxes are at an all time low.

 

Bush tax cuts have nothing to do with IRA's, 401k's, etc. Whoever said so is a fuggin idiot.

 

Bush Tax Cuts deal with taxation on short term and long term capital gains, gift and estate taxes, as well as qualified and non qualified dividend income.

 

401k's etc, are all taxed at your ordinary income tax bracket anyway.

 

Point is... for non qualified savings, dividends are only taxed at 15%, or 5% if they are qualified (QDI), that would go up if tax cuts expire.

 

Most proposals that I am seeing are to either...

 

1. Keep the tax cuts going.... or

2. Make them permanent to those under a certain income threshold. What that will be no one knows. In any case, that will not be decided before elections.

 

Bigger issue will be estate taxes, as nothing is done and if nothing is passed, the limit will be down to $1 mil.

 

Here is the issue.... No one gives a hoot.

 

Democrats dont want to pass "Bush" tax cuts...

 

and Republicans dont want to work on permanent fixes because they want to see taxes go up.... so that they can come back and say... "Democrats just want to raise taxes."

 

the only people getting hurt are regular people. The politicians who make money... all have ways of getting around to minimizing taxes because they are the ones most likely to work with a financial planner.

 

Take a look at Obama.... when he released his personal income taxes, I noticed a very odd thing...

 

remember the "Paying taxes is patriotic"? Well, Obama's investment income is tax free as it is invested in a UBS managed Municipal Bond fund... and all income generated is tax free.

This how Argentina started. Before the people knew it, the politicians started to raid their versions of IRA / 401k's and after a couple of years, they spent just about everyone's private retirement funds. Mostly on special interest and pork.

This how Argentina started. Before the people knew it, the politicians started to raid their versions of IRA / 401k's and after a couple of years, they spent just about everyone's private retirement funds. Mostly on special interest and pork.

 

I have a bad feeling that someday my 401k funds will be seized and thrown into the govts pool. Id almost guarantee it.

I have a bad feeling that someday my 401k funds will be seized and thrown into the govts pool. Id almost guarantee it.

 

 

Eh, more likely what would happen is all the tax free money in Roth IRA's would be taxed first.

 

But this is the difference between keeping money in a 401k and an individual account.

 

401k = company is custodian for your benefit.

 

IRA = more or less individual account.

all I have to say is, people also said there would be death boards to decide if your grandmother should be killed.

 

 

Just sayin'....

all I have to say is, people also said there would be death boards to decide if your grandmother should be killed.

 

 

Just sayin'....

 

Sounds like a great govt job to have. Sign me up!

all I have to say is, people also said there would be death boards to decide if your grandmother should be killed.

 

 

Just sayin'....

 

The issue is rationing treatment, and when health care is free, the only way to meet demand(essentially unlimited), is to ration care. Rationed care means grandma may not get the $450/pill cancer pill that gives her a 35% prognosis to live 2 years so instead she gets a 95% chance to live 6 months and a 1% chance to live 2 years. That's not killing her as much as it is letting her die and it's going to happen. It's going to be "death boards" making those decisions. Of course, if you can afford the pills you're good to go, grandma gets a reprieve.

The issue is rationing treatment, and when health care is free, the only way to meet demand(essentially unlimited), is to ration care. Rationed care means grandma may not get the $450/pill cancer pill that gives her a 35% prognosis to live 2 years so instead she gets a 95% chance to live 6 months and a 1% chance to live 2 years. That's not killing her as much as it is letting her die and it's going to happen. It's going to be "death boards" making those decisions. Of course, if you can afford the pills you're good to go, grandma gets a reprieve.

 

 

But none of that happened, or is going to happen. Which is the point.

But none of that happened, or is going to happen. Which is the point.

 

??? The health review boards are part of Obamacare. Obamacare hasn't even started yet. The real meat of it doesn't come online for 2-3 more years.

??? The health review boards are part of Obamacare. Obamacare hasn't even started yet. The real meat of it doesn't come online for 2-3 more years.

 

http://en.wikipedia.org/wiki/Independent_Payment_Advisory_Board

 

the Board must develop a proposal to reduce the Medicare per capita growth rate.

 

People still are going to get sick. Demand for "free" care is not going to go down. The only way to reduce costs is to restrict supply. I.E. Rationing.

 

Here's a lady alive today, under 0care she would have been denied treatment: http://mccopundit.com/obama-news/obamacare-cont/

 

Here's some more meat about what this "board" will mean.

 

http://www.kaiserhealthnews.org/Columns/2010/May/050610Capretta.aspx

 

In the past, to hit budget targets, Congress has always preferred to impose across-the-board payment rate reductions to provisions which would punish or reward providers based on some measure of quality or efficient performance. ...snip... Certainly, more of the same payment rate reductions will not do it. Medicare’s chief actuary has already said that the payment cuts in the health reform law are unsustainable because they don’t change the cost structure for those providing care. In a very real sense, seniors will be the ones holding the bag from these cuts when they can’t access care due to a lack of willing suppliers

 

"Can't access care" is a euphemism for "denied treatment".

 

I'm sure you've heard the old saying from one businessman to another "we're losing money on every piece we manufacture" The other replies "Yeah, but we're making up for it in volume".

 

That sums up Obamacare. Too many people chasing too many services with too few providers losing money on each procedure. Eventually when they're broke, even the most dedicated altruistic provider will quit.

In any case, taxes will go up, they have to, no matter who is in power. Right now, taxes are at an all time low.

 

When you factor in state taxes, sales taxes, property taxes, etc, I would not agree that "taxes are at an all time low" - at least not in NJ. Perhaps if you microscope taxes and look ONLY at Federal Income and Corporate Taxes, I might agree. However, when you factor in the other points... There was a report on property taxes the other day on the radio, NJ is at an average of 8-9% of landowner income, the highest in the nation. As that is an average, there are people who are paying more than that percentage - and that's JUST property tax.

 

Until government realizes that the well (of the people's money) is not limitless, they will continue to grow unchecked. Someone needs to be the slash and burn candidate who will cut significantly the non-essential programs.

 

For instance, right now we have an unemployment program that is contributing to the problem. If unemployment were to run out in 3 months instead of 2 years, how quickly would some of these people be finding work?

For all of you that think we don't live in socialism. Track every dollar you spend for the year and figure out the taxes you pay. I am willing to say that out of the money you spend 40-50% goes to some kind of tax or "fee".

 

Accounts Receivable Tax

Building Permit Tax

Capital Gains Tax

CDL license Tax

Cigarette Tax

Corporate Income Tax

Court Fines (indirect taxes)

Deficit spending

Dog License Tax

Federal Income Tax

Federal Unemployment Tax (FUTA)

Fishing License Tax

Food License Tax

Fuel permit tax

Gasoline Tax

Hunting License Tax

Inflation

Inheritance Tax Interest expense (tax on the money)

Inventory tax IRS Interest Charges (tax on top of tax)

IRS Penalties (tax on top of tax)

Liquor Tax

Local Income Tax

Luxury Taxes

Marriage License Tax

Medicare Tax

Property Tax

Real Estate Tax

Septic Permit Tax

Service Charge Taxes

Social Security Tax

Road Usage Taxes (Truckers)

Sales Taxes

Recreational Vehicle Tax

Road Toll Booth Taxes

School Tax

State Income Tax

State Unemployment Tax (SUTA)

Telephone federal excise tax

Telephone federal universal service fee tax

Telephone federal, state and local surcharge taxes

Telephone minimum usage surcharge tax

Telephone recurring and non-recurring charges tax

Telephone state and local tax

Telephone usage charge tax

Toll Bridge Taxes

Toll Tunnel Taxes

Traffic Fines (indirect taxation)

Trailer Registration Tax

Utility Taxes

Vehicle License Registration Tax

Vehicle Sales Tax

Watercraft Registration Tax

Well Permit Tax

Workers Compensation Tax

Hey, they're just spreading the wealth.