Not only does legislation raising contribution limits have bipartisan support, the idea has commonsense on its side. Now, just think about the more comfortable retirement our second investor will have over our first. He may have to move to a small apartment, the old car will make do. He will worry about outliving their savings every day for the rest of his life. She will live the life she dreamed of all those years, including spoiling the grand kids and peace of mind.
IRAs help working men and woman save for retirement.
The government should be encouraging savings and investment, not limiting it. The Senate version of the bill, which passed the Finance Committee unanimously, includes a tax credit for low-wage earners. Cutting red tape surrounding employer-sponsored accounts will help more small businesses offer retirement plans to their workers of all income levels. And it encourages young people just starting out on their own to begin their savings program early. It has everything but apple pie.