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[W:307]Biden Hitting Your 401k

VySky

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Stunned Wall Street Responds To Biden's Shock Proposal To Double Cap Gains Tax​


With stocks tumbling following the report that Joe Biden is considering a proposal that would double the capital gains tax, as investors dump in hopes of locking in existing cap gains rates - an exercise in futility if Biden and the socialists in Congress decide to make such a tax change retroactive to all of 2021 - Bloomberg quickly polled several Wall Street traders who focused on the policy’s implications for investing, and concluded that while it was too soon to panic, prospects of a higher levy on stock profits could spark near-term selling as investors look to skirt a higher rate.

Here are some hot takes, courtesy of Bloomberg:

 

Mr Person

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Zero Hedge? I mean, really?

They no doubt accidentally publish something truthful now and then, but if they report that the sky is blue you should probably double-check just to be sure. At any rate, with Biden only proposing to bring the corporate tax rate half way up to where it was, I seriously doubt he's going to push for (let alone get) a doubling of cap gains.
 

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scare tactic

it will work on some people
 

buck

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Stunned Wall Street Responds To Biden's Shock Proposal To Double Cap Gains Tax​


With stocks tumbling following the report that Joe Biden is considering a proposal that would double the capital gains tax, as investors dump in hopes of locking in existing cap gains rates - an exercise in futility if Biden and the socialists in Congress decide to make such a tax change retroactive to all of 2021 - Bloomberg quickly polled several Wall Street traders who focused on the policy’s implications for investing, and concluded that while it was too soon to panic, prospects of a higher levy on stock profits could spark near-term selling as investors look to skirt a higher rate.

Here are some hot takes, courtesy of Bloomberg:


I was having a good day trading. Then... this happened. Ugh. It hurt. Lost all my gains on the day plus a lot.

Convert your iras into a roth as soon as possible, would be my only advice. The tax implications of converting my 401k would be too much. But this will push me to convert my ira to a roth.
 

americanwoman

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"concluded that while it was too soon to panic"

It's never too soon to panic with Sleepy Joe's puppets in charge. The deep state be hittin them 401ks!!
 

Court Jester

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Doubling the capital gains tax will lead to a huge sell off, and money moved off shore.

Biden never ran a business, he clearly is clueless about how INVESTORS drive the economy. But to Biden wealth is only deserved by people like his son getting paid off.
 

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Oh FFS, @VySky , the proposal is only for people who made over $1,000,000 in the year the gain is made.



I'm not going to be crying any rivers for someone who has to pay 39.6% cap gains because they hauled in a few million in the same year they sold the stock. And frankly, neither of they. All systems in play are so skewed towards the richest that they'll keep on getting richer anyway. They've systemically absorbed the nation's wealth for decades. The CEO pulls in a cool 50 mil, and the line workers have a second full time job and part-time ones on the side.

Enough.
 

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Oh FFS, @VySky , the proposal is only for people who made over $1,000,000 in the year the gain is made.



I'm not going to be crying any rivers for someone who has to pay 39.6% cap gains because they hauled in a few million in the same year they sold the stock. And frankly, neither of they. All systems in play are so skewed towards the richest that they'll keep on getting richer anyway. They've systemically absorbed the nation's wealth for decades. The CEO pulls in a cool 50 mil, and the line workers have a second full time job and part-time ones on the side.

Enough.
The threshold will not remain there. "Others will pay, not you" is only the sales pitch.
 

SouthernDemocrat

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Stunned Wall Street Responds To Biden's Shock Proposal To Double Cap Gains Tax​


With stocks tumbling following the report that Joe Biden is considering a proposal that would double the capital gains tax, as investors dump in hopes of locking in existing cap gains rates - an exercise in futility if Biden and the socialists in Congress decide to make such a tax change retroactive to all of 2021 - Bloomberg quickly polled several Wall Street traders who focused on the policy’s implications for investing, and concluded that while it was too soon to panic, prospects of a higher levy on stock profits could spark near-term selling as investors look to skirt a higher rate.

Here are some hot takes, courtesy of Bloomberg:


My 401k is up 6.93% since Biden took office. Only fools think that the president has much to do with the economy or stock market regardless of who the president is. In fact, for the post war era, the markets have performed much better on average under Dems than Republicans. That has nothing to do with anything though other than chance. You have to go all the way to the local level to see government making a meaningful difference either way on economic growth.

Just put your 401K into an assortment of index funds and put as much as you can afford into it every year and you will be good upon retirement.
 

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"concluded that while it was too soon to panic"

It's never too soon to panic with Sleepy Joe's puppets in charge. The deep state be hittin them 401ks!!

All those 401ks of people who make over $1,000,000 a year....

Their fearmongering gets dumber by the minute.



The threshold will not remain there. "Others will pay, not you" is only the sales pitch.

Yeah, sure, just like Obama destroyed America and turned it into a third world country. :rolleyes:
 

beefheart

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You might want to read up on what capital gains taxes are an how they're applied.

Why do you think I also have a healthy Roth, and a nice cash balance in the bank?
 

SouthernDemocrat

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Really? Mine is up over 7% since the start of the year, I expect it to keep going up....

The markets are way, way overvalued right now, so it is a given there will be a correction at some point.
 

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Stocks are up for the year.

Stocks go up and down over the short run. It is the long run that is important. Mine have made good money. Sorry if yours are not.
 

buck

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Oh FFS, @VySky , the proposal is only for people who made over $1,000,000 in the year the gain is made.



I'm not going to be crying any rivers for someone who has to pay 39.6% cap gains because they hauled in a few million in the same year they sold the stock. And frankly, neither of they. All systems in play are so skewed towards the richest that they'll keep on getting richer anyway. They've systemically absorbed the nation's wealth for decades. The CEO pulls in a cool 50 mil, and the line workers have a second full time job and part-time ones on the side.

Enough.

That's not as bad as I originally thought. But, the wealthy are the ones that are going to move the market. If they start selling or buy less, the stock market (and 401k) will drop.

So, the point about the 401k in the OP is still accurate.
 

VySky

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Oh FFS, @VySky , the proposal is only for people who made over $1,000,000 in the year the gain is made.



I'm not going to be crying any rivers for someone who has to pay 39.6% cap gains because they hauled in a few million in the same year they sold the stock. And frankly, neither of they. All systems in play are so skewed towards the richest that they'll keep on getting richer anyway. They've systemically absorbed the nation's wealth for decades. The CEO pulls in a cool 50 mil, and the line workers have a second full time job and part-time ones on the side.

Enough.
43%
 

beefheart

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The markets are way, way overvalued right now, so it is a given there will be a correction at some point.
Markets go up and down, that is expected and should be factored in. I have a 401(k), a Roth and an IRA that has funds with good dividends that get re-invested. And, I have zero debt, the mortgage has been done for a few years, no car payments, and I keep a strong cash position.
 

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My 401k is up 6.93% since Biden took office. Only fools think that the president has much to do with the economy or stock market regardless of who the president is. In fact, for the post war era, the markets have performed much better on average under Dems than Republicans. That has nothing to do with anything though other than chance. You have to go all the way to the local level to see government making a meaningful difference either way on economic growth.

Just put your 401K into an assortment of index funds and put as much as you can afford into it every year and you will be good upon retirement.

Hold on. There are occasional exceptions. An administration absolutely can make things worse.

For example, the type of financial deregulation the Bush administration pushed through made it possible for the mortgage bubble to expand exponentially and ultimately explode, knocking the markets on their asses.
 

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This is, essentially, theft.

The capital gains rate is not index for inflation. If, say, your asset gains 10% over time and that 10% equates to $1m, but half that gain is inflation, you really ought to be taxed only on $500k and not $1m. Yet you will be taxed on $1m.

Historically this comes out in the wash as the cap gains rate is usually much lower than the rate on other sources of income, but Biden's proposed changes do a way with that.
 

SouthernDemocrat

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Hold on. There are occasional exceptions. An administration absolutely can make things worse.

For example, the type of financial deregulation the Bush administration pushed through made it possible for the mortgage bubble to expand exponentially and ultimately explode, knocking the markets on their asses.

There are exceptional times like during a major recession when stimulus is important, or as you point out when inadequate market oversight/regulation, but for the most part the economy does what it does. No one is ever like "Well the Republican won, so I am going to buy that bass boat" or "the Democrat won, so hiring 3 new employees".
 

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b9938f82b.jpg





Zero Hedge? I mean, really?

They no doubt accidentally publish something truthful now and then, but if they report that the sky is blue you should probably double-check just to be sure. At any rate, with Biden only proposing to bring the corporate tax rate half way up to where it was, I seriously doubt he's going to push for (let alone get) a doubling of cap gains.
Really should have sent the Bat Boy in to look for WMD. Would have saved a great deal of trouble.
 

beefheart

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Don't know, but if forced to guess I'd say an inheritance.
No inheritance, what a petty thing to say.

Its decades of living within my means, earning more money, and investing that money.

Try it. It works.
 

eohrnberger

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The Fed flooding the economy with deflated dollars magically invented with a click of the mouse on a computer, degrades the value and purchasing power of people's savings / investments / paychecks.
 
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