White House Considering Tax Break to Boost Stock Ownership

DanBongino.com| Matt Palumbo:

President Donald Trump has spoken about “tax cuts 2.0” ahead of the election, which he’s advertised as specifically for the middle class. At least one part of the forthcoming tax package would aim to increase the number of Americans benefiting from the stock market’s record run (and lower their taxes).

The American tax system already does incentivize investment by allowing workers to invest up to $6,000 into an IRA each year (which reduces taxable income by the amount invested). Tax cuts 2.0 aims to nearly triple the total amount that individuals can invest tax free.

According to CNBCA household earning up to $200,000 could invest $10,000 on a tax-free basis, although officials noted these numbers are fluid. “Nothing’s ruled out,” said one senior administration official. “Nothing’s been ruled in, either.” MORE

10 Comments on White House Considering Tax Break to Boost Stock Ownership

  1. I tried investing for several years but you can’t compete with professional stock manipulators, Ceo’s who lie about their companies finances, inside traders who are everywhere, and analysts who don’t know squat.

  2. Watch Lousy Puh – Lousy attack the idea
    for being nothing but the

    ” CRUMBS ”

    for the middle class.

    Ironic since the only political party
    that has tried to destroy the middle class
    via oppressive taxation IS
    the smellocrat party.

    But watch and laugh anyway at her perennial

    ” CRUMBS ” idiocy.

  3. “The stock market is a sucker’s game. Bet on the horses, at least one of them son of a bitches is gonna win!– Al Capone

    1
  4. TBH, I think this is a bit of a gimmick. You can already invest up to 18K in your 401K every year, even self-employed you can put up to 25% of earnings into your SEP.

    And for those that think they are not in the stock market if you have a 401K of almost any vehicle, you are in the stock market.

    One of the smartest things I ever did was maximize my 401K contributions while I was working, you can’t beat it for wealth creation.

    55% of Americans own stocks of some kind, many more should. The Trump economy has made capital appreciation through equities a no brainer.

    4
  5. Who slipped John McCain’s glioblastoma in Donald Trump(Sr.)’s ear? This is some weird Star Trek joke, right? Or is “Senior” the (really, really, serious) problem?

  6. My bread and butter the past few years is options trading. If you define your risk and establish primary exits and secondary exits (if the trade goes against you) BEFORE placing the trade and stick to the plan, it’s pretty easy to have over 80% winning trades after you take a year or two to educate yourself. Most of my trades span 30 to 90 days and generate 20% to 1000%+ annualized returns (my best trade right now is up over 4500% annualized), bad trades lose at most 100%. It’s all numbers, you have to be sharp with basic arithmetic. It’s also a lot of comprehension, you must learn fundamentals of the company you wish to trade by doing copious amounts of research. There’s no shortcuts, not knowing what you’re doing will create loses. Never trade with money you’re not willing to lose and never give up: the best traders lose money too. I get the frustration, I lost $4 million during dot.com bust and $500k during the great recession – because I wasn’t educated and didn’t establish a risk plan.

    3
  7. The key is dollar cost averaging, which is what happens when you make regular contributions into your 401K via payroll deduction. When prices go up you purchase less shares, when they go down you purchase more shares. Over time, and given fluctuating prices, dollar cost averaging will result in a lower average cost than the average price of the stock or mutual fund, whatever your plan invests in.

    The most important thing is to begin contributing early in your career, and remain disciplined. Learn to live without that amount being deducted. You will be glad that you did.

    3

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