iwantyou_2
Lubbock, Texas USA
Posted: Jan 20, 2008, 5:25 PM CST
I will again post a plan, that has real promise, quit belly aching and do something about it!
Pressure congress to act on a bill like this one before CONGRESS NOW!
This is a concept to reduce Individual income taxes to zero and reduce Employment taxes to 2% without lowering the tax revenues going to the U.S. Treasury. After 40 years, most if not all taxes will be collected from the unused Retirement Savings Accounts of people who die.
This concept would do the following:
* Allow individuals to save 3%-5% of their income each year in a 401k type account that will be invested in no-load mutual funds like the "S&P 500" "The Total Stock Market" and/or bond funds. The type of funds will depend on a person’s tolerance for risk and the number of years before retirement.
* At retirement, a percentage of the assets in the accounts will be converted to income producing instruments that will pay interest only payments each month. The principal is never spent and is left in the account until death. After death the assets in the account are converted to cash and are paid to the U.S. Treasury.
* After 40 years, with all Americans over the age of 18 participating, this concept will generate more income to the U.S. Treasury than the present Individual income tax collection system and the total saved each year will be no greater than 5% of their gross income per person. (10% total for husband and wife with one or two incomes.)
* It will substantially increase the retirement income for seniors over that received from Social Security.
* All "stay at home moms" will save for retirement equally with spouse.
* In a two income family, each person can save up to 5% of their combined annual income.
* The "Tax" will not be collected until the death of both husband and wife, leaving both retirement accounts for the use of the surviving spouse.
* It will simplify the IRS tax code and Social Security.