My support for the romney plan

Romney on the trail said we should have an exemption for the first $250K of capital gains. I'm extremely fond of this idea and I'll explain why (email your congressmen)

My goal in life is to aquire 5 Million working capital by the age of 50, then retire on gov't bonds that earn 5.25% tax free. Good for me right, no capital gains.

My best friend has managed to scrape up 50K non 401k savings. He keeps it in bank CD's searching for competitive rates usually around 5.25%. Each year he earns roughly 2600 which is tacked onto his income taxes at around 12%...he pays 315 taxes, I will pay zero....seems like the gov't at its finest.

I also am disuaded from seeking say 10% on my money cuz if I do at present rates I have to hand over 15% of that (28% if obama gets in). Take a massive risk incrrease (zero risk in gov't bonds) to try for 3.25% more return after taxes....makes no sense. This means less investment capital for the economy.

Capital Gains taxes hurt middle america....primarily keeping them from becoming upper america and stifles investment along the way.

Get on board, email congressmen, and push for a 250k exemption for capital gains.

Good luck on your goal.

I'm a little less aggressive with mine...but, then again you have a wife and i assume some kids.

I would very much like to be onto my 2nd career by 50...in the fine dining arena.

What about fully funding your Roth IRA. You can trade as much as you like without worrying about taxes - ever. But you can't touch the money till 55.5.

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Originally Posted by Scott Campbell

But you can't touch the money till 55.5.

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Bingo!!!

You could fund the first 5.5 years of your retirement with govt. bonds, but if the bulk of your retirement funds are in a Roth, you're not tied to the paltry government bond yields. You're 5.5% example above barely outpaces inflation in many years.

You can also afford to have $10-20K of taxable income every year. There's a threshold around the poverty level that is barely taxed, if taxed at all. That's why I won't put all of mine in a Roth.

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Originally Posted by Tyrone Bigguns

Good luck on your goal.

I'm a little less aggressive with mine...but, then again you have a wife and i assume some kids.

I would very much like to be onto my 2nd career by 50...in the fine dining arena.

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I'm quite a ways from it, the first million is truly the hardest...that isn't just a saying. But I am only 38 so hopefully by 50....