Concerning 401k and IRA investing, when the average guy withdraws that, he pays a tax rate based on AGI for the year, which for me and my wife was up in the 34% range 2 years ago, and that is whether the account earned money, or lost money. Our income was part earned, and part unearned. We paid SS on the earned portion.
The rich invest in regular accounts, their profits are capital gains on unearned income, and get a preferred tax rate of 15%. They don't pay into SS on unearned income.
Warren Buffet says his employees pay a higher tax rate than he does...
The rich have the politicians in their pockets, while the gullible middle class have no pockets. A lot of middle class demand tax cuts that will save them a few hundred a year, but save the uber rich a few hundred thousand a year, or more....
And for those "conservatives" who think I envy the rich, the wife and I have plenty of assets and our retirement income accumulates faster than we can spend it.
Oracle of Utah
Truth rings hollow in empty heads.
Some people need to give up on their envy for the rich and start focusing on the fact that their policies are exactly what's causing perpetual unemployment now.
Utah Bill, heard of the Son of Boss tax scheme? A completely artificial way to generate insanely large fake losses to completely eliminate all taxable income? It ain't the poor and middle class who are using them.
"If your opponent is of choleric temperament, seek to irritate him." - Sun Tzu
In fact all those evil rich people need to do the same thing, stop giving to charities letting those charities fend for themselves, pay higher taxes so that the bureaucrats in D.C. can handle the money and send it to the charities they deem worthy, democrat constituent groups.
I have an answer for everything...you may not like the answer or it may not satisfy your curiosity..but it will still be an answer. ~ Kal'Stang
My mind and my heart are saying I'm in my twenties. My body is pointing at my mind and heart and laughing its ass off. ~ Kal'Stang