Are New Roth IRA Conversion Rules Meant To Be A Short Term Fix For Government Funding?
Government has loosened the rules making it possible for more people to convert their traditional IRAs and 401(k) funds into Roth IRAs. This conversion essentially means you can pay taxes on the amount then convert it and not pay taxes on it again.
It seems to me that our sly politicians have found a way to boost the revenues for government in the short term. Since the short term is all that matters when you’re a politician, why wouldn’t you want more Roth IRA conversions? This doesn’t mean that it is a good thing for you and your money, but it’s surely a good thing for current politicians.
I’m so sick of the short term manipulations to try and keep the ship afloat now with total disregard to any long term strategic thinking. What a disaster this whole thing is.
What do you think? Do you think that government is allowing more Roth IRA conversions just to be “nice” or to allow more freedoms? Unlikely in my opinion. All policies have an agenda these days. This is no exception.