Comments on: What Is Tax Deferral? http://wealthpilgrim.com/what-is-tax-deferral/ WealthPilgrim.com -No Money Worries. No Matter What. Tue, 22 May 2012 13:10:32 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Neal Frankle http://wealthpilgrim.com/what-is-tax-deferral/#comment-38323 Neal Frankle Mon, 23 Apr 2012 18:14:48 +0000 http://wealthpilgrim.com/?p=20030#comment-38323 Mike. You are right! Thanks. I made the correction! Neal Mike. You are right! Thanks. I made the correction!

Neal

]]> By: Mike http://wealthpilgrim.com/what-is-tax-deferral/#comment-38322 Mike Mon, 23 Apr 2012 17:54:32 +0000 http://wealthpilgrim.com/?p=20030#comment-38322 Hi, Neal. Are some of the numbers in your table reversed? From the above example, I thought the value of the tax-deferred $100,000 investment would be $324,000 and the net income would be $9,081 after 30 years. However, on the table these numbers are reversed with the non-deferred account. It was just a little confusing because the table was going against everything you said in the paragraph that preceded it. Hi, Neal. Are some of the numbers in your table reversed? From the above example, I thought the value of the tax-deferred $100,000 investment would be $324,000 and the net income would be $9,081 after 30 years. However, on the table these numbers are reversed with the non-deferred account.

It was just a little confusing because the table was going against everything you said in the paragraph that preceded it.

]]> By: Neal Frankle http://wealthpilgrim.com/what-is-tax-deferral/#comment-30499 Neal Frankle Fri, 13 Jan 2012 07:06:56 +0000 http://wealthpilgrim.com/?p=20030#comment-30499 I believe it is generally agreed that the Roth option is good for younger investors - if you believe the government won't change the rules. A big if. Also, w/regards to conversion, there are some cases where this makes sense. It certainly doesn't if the taxpayer is paying those taxes from the retirement account. I believe it is generally agreed that the Roth option is good for younger investors – if you believe the government won’t change the rules. A big if.

Also, w/regards to conversion, there are some cases where this makes sense. It certainly doesn’t if the taxpayer is paying those taxes from the retirement account.

]]> By: Optimus Thomas http://wealthpilgrim.com/what-is-tax-deferral/#comment-30494 Optimus Thomas Fri, 13 Jan 2012 06:49:13 +0000 http://wealthpilgrim.com/?p=20030#comment-30494 I agree it was a great article. I also agree that Traditional IRA’s and 401K accounts are great examples of tax deferred accounts. The balance of these account grow tax deferred which means that the tax payment is due upon withdrawal which is usually at retirement. There is a lot of debate as to which accounts are ultimately better- a Traditional IRA, a tax deferred account or a Roth IRA or taxable accounts that allows tax –free withdrawals. I agree it was a great article. I also agree that Traditional IRA’s and 401K accounts are great examples of tax deferred accounts.

The balance of these account grow tax deferred which means that the tax payment is due upon withdrawal which is usually at retirement.

There is a lot of debate as to which accounts are ultimately better- a Traditional IRA, a tax deferred account or a Roth IRA or taxable accounts that allows tax –free withdrawals.

]]> By: Neal Frankle http://wealthpilgrim.com/what-is-tax-deferral/#comment-24892 Neal Frankle Tue, 27 Dec 2011 17:57:22 +0000 http://wealthpilgrim.com/?p=20030#comment-24892 Well...for very young people maxing out the Roth can be a good idea. This is especially so if tax rates rise (and stay up there) into retirement. Of course, nobody knows what rates are going to be. Again, the younger you are, the better this works. Well…for very young people maxing out the Roth can be a good idea. This is especially so if tax rates rise (and stay up there) into retirement. Of course, nobody knows what rates are going to be. Again, the younger you are, the better this works.

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