Tax Cut and Retirement Savings

[Ruffdaddy]

Did the Tax Cut change anyone's retirement investing? Given that the Tax cuts expire in 10 years...does it make more sense to go heavy on Roth instead of maxing 401K?

[Rick Modena]

All I know is that I'm in the market for a Cowskin Rug, bitches!

[slow99]

I can't contribute anything to a ROTH without jumping through 100 hoops anyways so I haven't paid any mind to it. There's no telling what the tax system will look like in 20 years anyways.

[TX_92_Notch]

I'm planning to win the lottery by the time I retire so I'm spending every penny I make.

It's either that or social security will carry me through my golden years...

[cool cat]

I bought a bigger mattress to keep my money in.

[Ruffdaddy]

I can't contribute anything to a ROTH without jumping through 100 hoops anyways so I haven't paid any mind to it. There's no telling what the tax system will look like in 20 years anyways.

If you were a normal scrub like me...would you go Roth?

I would imagine the Tax situation in 20 years is going to be worse than the next 10. But am.i taking a way too simplistic approach to the tradeoff?

You have to treat me like the financial idiot I am and start from level 1.

[beefed88]

If you were a normal scrub like me...would you go Roth?

I would imagine the Tax situation in 20 years is going to be worse than the next 10. But am.i taking a way too simplistic approach to the tradeoff?

You have to treat me like the financial idiot I am and start from level 1.

But why would it get worse in 20 years when it just got better? I believe over the last 35-40 years tax rates have continued to decrease.

[akfodysvn]

It's easy to max out Roth. Max it and then go onto the next. Obviously invest in any matched money first. It's good to be diversified in tax deferred and accounts taxed now. Chances of our taxes being lower in retirement are slim to none. To pay for underfunded programs like social security and everything else the govt has to pay for... taxes are going up. The lower class will eventually get a standard basic income from the govt. The Republican party is really killing themselves right now and won't have near the support it should. Both sides are so interested in their own needs that they don't give a shit about the American people

Maintaining a balance of those during are a good idea. It will be nice to have some non taxable income during retirement. It will help overall lower your basis.

No fool proof way to go about it but lots of options.

[Ruffdaddy]

But why would it get worse in 20 years when it just got better? I believe over the last 35-40 years tax rates have continued to decrease.

Because the Trump tax cuts expire in 10 years.

Edit: And your belief about tax rates dropping depends on a whole lot of factors with income level being a big driver.

[Captain Crawfish]

I’d be careful taking financial advice around here! If a van down by the river sounds like your cup of tea then go ahead!

[Broncojohnny]

If you are smart you will be taking minimum withdrawals in retirement, putting that money, once taxed, right back into the same stock and then living off of a dividend that is taxed at 15 or 20% after one year. Between that income and money from day trading options I hope I’ll be set.

[AnthonyS]

Max out both

[Stng5Pnt8]

Did the Tax Cut change anyone's retirement investing? Given that the Tax cuts expire in 10 years...does it make more sense to go heavy on Roth instead of maxing 401K?

Shoot me a pm with your contact info and we can give you a call and give you a couple suggestions or recommendations. No obligation to make any investment or anything like that with our company. We're a little limited on what advise we give out on a public forum.

Tdominguez@allstate.com
Text 214.244.1043

-Tony

[akfodysvn]

not sure what he is going to suggest and no offense to him but don't even consider doing an insurance policy as an investment until you done major progress on your Roth and 401.

[AnthonyS]

Max both. It's only 23.5kper year.