President Trump on Monday promised “no change” to workers’ 401(k) retirement plans — just days after reports that𓂃 Republicans were weighing a move to slash the annual cap on annual contributions.
“There will ﷽be NO change to your 401(k),” . “This has always been a great and popular middle clas𒅌s tax break that works, and it stays!”
Congressional Republicans,💯 as part of a plan to offset an expected drop in tax revenue from the White House’s ambitious tax overhaul framework, reportedly had been discussinꦑg lowering the cap on tax-deferred payments to $2,400 from the current $18,000 level for most workers.
By lowering that ꧑cap, Uncle Sam’s tax revenues would increa⛎se because less employee income would be shielded with the 401(k) provision.
If enacted, US worker🧜s would have to switch to Roth IRAs, which are taxed on the front end but are shielde꧋d from taxes on the back end when the money is withdrawn.
The IRS was also expec🤡ted to raise contribution limits next year to $18,500☂.
The Fidelity Group, the second-la🌟rgest money manager in the world with $4.5 trillion, told The Post on Friday that the proposal✨ under consideration by Republicans “greatly concerned” them.