I'll be pissed off because I've got about a million dollars saved for retirement that I've paid several hundred thousand dollars in income tax to earn and if this happens I'm going to have to pay tariffs or buy higher cost domestic goods, effectively double taxing me? I'm all in favor of killing the income tax, but for the sake of fairness do it in a way that doesn't royally fuck over retired people and folks that saved a lot.
I'm in the same financial situation as you at this time. Right now, up to 85% of Social Security can be taxed as income and is called a financial torpedo for a reason. This would no longer be the case in this scenario.
Currently if your money was invested pre-tax (IRA, 401K, 403b), you would pay tax on it as income when taking it out for retirement. Under this tariff plan, you should not be taxed on it as income. If you have money in a Roth plan, all your gains in investments were already sheltered from income taxes while in the fund.
So in theory, we should be in a good position by having more money available to spend on potential higher priced items. Having more money also means you can invest, rather than spend to make even more money.
I just hope they don't try to attach some kind of retroactive capital gains tax to those investments.
I'll be pissed off because I've got about a million dollars saved for retirement that I've paid several hundred thousand dollars in income tax to earn and if this happens I'm going to have to pay tariffs or buy higher cost domestic goods, effectively double taxing me? I'm all in favor of killing the income tax, but for the sake of fairness do it in a way that doesn't royally fuck over retired people and folks that saved a lot.
I'm in the same financial situation as you at this time. Right now, up to 85% of Social Security can be taxed as income and is called a financial torpedo for a reason. This would no longer be the case in this scenario.
Currently if your money was invested pre-tax (IRA, 401K, 403b), you would pay tax on it as income when taking it out for retirement. Under this tariff plan, you should not be taxed on it as income. If you have money in a Roth plan, all your gains in investments were already sheltered from income taxes while in the fund.
So in theory, we should be in a good position by having more money available to spend on potential higher priced items. Having more money also means you can invest, rather than spend to make even more money.
I just hope they don't try to attach some kind of retroactive capital gains tax to those investments.