http://genxfinance.com/are-automatic-iras-the-answer-for-low-income-workers-saving-for-retirement/ Helping a unique generation achieve financial independence. Fri, 25 May 2012 01:44:43 +0000 hourly 1 http://wordpress.org/?v=3.3.2 http://genxfinance.com/are-automatic-iras-the-answer-for-low-income-workers-saving-for-retirement/comment-page-1/#comment-131187 Speedracerx9 Tue, 13 Apr 2010 15:07:36 +0000 http://genxfinance.com/?p=2043#comment-131187 The government is the least able to help the poor out of their own predicament. Education to understand the potential of money and how to use it as a tool in your goals is whats important. I don't mean to be suspicious but have you looked at the statistics on the "Cash In" rate based on education level. I'm sure all the penalties would still apply. Think of the extra income the government will get when these plans are cashed in repeatedly as employees go from one job to the next. Lower educated workers move more often from job to job than higher educated workers. Think about it, a new tax hidden as a benefit to the poor. This is why government can't help. They're louse at it. The government is the least able to help the poor out of their own predicament. Education to understand the potential of money and how to use it as a tool in your goals is whats important. I don’t mean to be suspicious but have you looked at the statistics on the “Cash In” rate based on education level. I’m sure all the penalties would still apply. Think of the extra income the government will get when these plans are cashed in repeatedly as employees go from one job to the next. Lower educated workers move more often from job to job than higher educated workers. Think about it, a new tax hidden as a benefit to the poor. This is why government can’t help. They’re louse at it.

]]> http://genxfinance.com/are-automatic-iras-the-answer-for-low-income-workers-saving-for-retirement/comment-page-1/#comment-131182 Olivia Tue, 13 Apr 2010 13:06:55 +0000 http://genxfinance.com/?p=2043#comment-131182 It may not be a matter of knowledge or planning. Though some poor folk are horrible with finances. (Cell phones and cable anyone?) We'd be considered upper lower income people and are quite frugal. What may work even better than an automatic IRA in addition other government mandated plans is to allow us to take our social security payments out of the system and invest that for our own futures. Social security taxes, unlike regular federal taxes, are not graded and have no income minimums. 7.65% is quite a chunk of change especially if you're making a low end income. And you pay double that if you're self employed. A jolly 15.3%. It may not be a matter of knowledge or planning. Though some poor folk are horrible with finances. (Cell phones and cable anyone?) We’d be considered upper lower income people and are quite frugal. What may work even better than an automatic IRA in addition other government mandated plans is to allow us to take our social security payments out of the system and invest that for our own futures. Social security taxes, unlike regular federal taxes, are not graded and have no income minimums. 7.65% is quite a chunk of change especially if you’re making a low end income. And you pay double that if you’re self employed. A jolly 15.3%.

]]> http://genxfinance.com/are-automatic-iras-the-answer-for-low-income-workers-saving-for-retirement/comment-page-1/#comment-131143 Ken Tue, 13 Apr 2010 01:03:55 +0000 http://genxfinance.com/?p=2043#comment-131143 I agree with you. Low income folks are living hand to mouth. Maybe showing them how it can help them on tax return (visually) may help....but it's still an uphill battle. I agree with you. Low income folks are living hand to mouth. Maybe showing them how it can help them on tax return (visually) may help….but it’s still an uphill battle.

]]> http://genxfinance.com/are-automatic-iras-the-answer-for-low-income-workers-saving-for-retirement/comment-page-1/#comment-131114 Credit Girl Mon, 12 Apr 2010 15:56:51 +0000 http://genxfinance.com/?p=2043#comment-131114 I'd have to agree with you on that one. We need to educate lower income employees about saving and investing for retirement. Obviously, if they already have a low-income used to support their family and make ends meet, they're probably not going to put any money towards a 401K or a roth IRA. I’d have to agree with you on that one. We need to educate lower income employees about saving and investing for retirement. Obviously, if they already have a low-income used to support their family and make ends meet, they’re probably not going to put any money towards a 401K or a roth IRA.

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