Enhancing Retirement Security Will Make Some High Earners Angry

A 146-page report devising a bipartisan plan to enhance the retirement security and personal savings of Americans has finally been released after two years. High earners, however, will not like the advice this report gives. The report addresses urgent needs for retirement, but the proposal will negatively affect high-income workers.

One recommendation is that further tax deductions should not “apply to mortgage interest when home equity decreases.” The proposal also suggests shrinking Social Security benefits for wealthy individuals by capping spousal benefits. Further, the plan recommends that money inherited in IRAs and defined-contribution plans should be distributed over no more than five years. You are able to download the full report through the Article.

See Suzanne Woolley, High Earners Are Going to Hate These Retirement Proposals, Bloomberg, June 9, 2016.

Special thanks to Jim Hillhouse (Professional Legal Marketing (PLM, Inc.)) for bringing this article to my attention.