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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Pitera who wrote (18903)	3/28/2017 9:20:02 AM
From: richardred	Read Replies (1) \| Respond to of 33421

I can't recall the specifics either John. Maybe it was just talk about it one tax year long ago? Still I don't like that congress may change the rules on Roth IRA's. Who would trust congress? >Congress may change the rules that allow for tax-free withdrawal of Roth IRA contributions. Therefore, someone who contributes to a traditional IRA is guaranteed to realize an immediate tax benefit, whereas someone who contributes to a Roth IRA must wait for a number of years before realizing the tax benefit, and that person assumes the risk that the rules might be changed during the interim. On the other hand, taxing earnings on an account which were promised to be untaxed may be seen as a violation of contract and completely defeat the purpose of Roth IRAs as encouraging saving for retirement – individuals contributing to a Roth IRA now may in fact be saving themselves from new, possibly higher income tax obligations in the future. However, the federal government is not restricted by the Contract Clause of the U.S. Constitution that prohibits "Law[s] impairing the Obligation of Contracts". By its terms, this prohibition applies only to state governments. en.wikipedia.org My oldies- Interesting Trump Reference Message 21414511