Is Congress Coming After Your Retirement Accounts?

The Principle:

What do you need to know when it comes to the latest proposals in Congress? Are your retirement accounts actually at risk? Are your accounts appropriately invested?

Honest Takes:

A piece in Forbes speculated that Congress will come after our retirement accounts to pay for all of those big spending programs. Is this true? What does Brian think about these proposed changes?

A lot of changes are happening at once as new programs are proposed. Brian says they could do something like a SECURE Act 2.0 in the future. Right now, the Roth IRA does not have required minimum distributions (RMDs) for the original account owner. One of the advantages of a Roth is that you can defer it. Now, it would still come out tax-free but what if you have to take out distributions? You would then have to reinvest it into something else.

Will this eliminate the “back-door Roth IRA”? If you make too much money, you can’t contribute to a Roth IRA. What are the rules of the back-door Roth? What is a mega Roth? And what does Brian think these possible changes could ultimately do to the overall economy?

Regardless of what’s happening with the seasons and in the market, how does Brian keep clients at an even keel with their investments? Are you okay with risk or do you want something that doesn’t move at all? Consider the alternatives to investing in the market. Is that really a better fit for you? Are you invested appropriately? The right financial advisor is not only managing money but managing expectations for clients so no one has a moment of panic in the markets. Make sure whatever you’re investing in is appropriate for you and your situation.

Listen to the entire episode or use the timestamps below to skip to a particular topic.

[0:12] – Is Congress coming after our retirement accounts?

[3:17] – What is an after-tax contribution?

[6:42] – How do you stay even keel regardless of the season or what’s happening in the markets?

Today’s Truth:

“Risk tolerance is not a right or wrong answer.”

Brian Bowen


The Host:

Brian Bowen – Contact