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Post by freecharlie on Jan 21, 2015 3:55:10 GMT
We didn't have the extra income for a while for the kids 529 plan. I know one set of grandparents have money set aside for the kids.
Currently we save $100 per month for the older and $50 per month for the younger we figure he has 3 extra years to save.
It isn't much, but it will help them
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Post by BuckeyeSandy on Jan 21, 2015 4:09:19 GMT
i have not read anything about the proposed hikes, this is from just half listening to reports on the weekend investing radio shows. ANY INVESTMENT ACCOUNT where you have CAPITAL GAINS. 401K (and all the other initials), 529, Thrift Savings, IRAs, Systematic Investment Accounts (various types). All of these, one third wiped out by taxes. Nearly everyone I know in our income bracket has some sort of savings account(s) that will be hit, not like we haven't been hit, repeatedly over the last few years...
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Deleted
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May 29, 2024 11:46:27 GMT
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Post by Deleted on Jan 21, 2015 4:11:11 GMT
See, I don't know any middle class people who have extra income to funnel into one of these plans, so to me, this is something for the wealthy, even though it has been touted as a program for the middle class. The only two people I know who put money into one of these make in excess of 150k per year, excluding their spouses' incomes. I think the truly wealthy have trust funds. I know multiple people who save for college (in one way or another) and they aren't making 150k. I think for some people it can be very difficult to find the extra money for college savings after taxes, bills, retirement funds, etc., but it is certainly not out of reach. Some people truly don't have the money and some people choose other priorities. I've got a trust fund and am far from "truly wealthy". We were not always good in putting money away for education, but I feel that if people cannot find $50 to put away every month to save for education, then perhaps the economy isn't as "recovered" as this President and others claim. BUt I also agree that like anything else, some people just choose other priorities vs. paying to take care of things that need attention.
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raindancer
Pearl Clutcher
Posts: 3,095
Jun 26, 2014 20:10:29 GMT
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Post by raindancer on Jan 21, 2015 4:13:05 GMT
"Everyone" but the middle class also known as those who work and pay for everyone else precisely. Because the middle class will most likely make "too much" to qualify for the tuition.
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raindancer
Pearl Clutcher
Posts: 3,095
Jun 26, 2014 20:10:29 GMT
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Post by raindancer on Jan 21, 2015 4:14:44 GMT
I think the truly wealthy have trust funds. I know multiple people who save for college (in one way or another) and they aren't making 150k. I think for some people it can be very difficult to find the extra money for college savings after taxes, bills, retirement funds, etc., but it is certainly not out of reach. Some people truly don't have the money and some people choose other priorities. I've got a trust fund and am far from "truly wealthy". We were not always good in putting money away for education, but I feel that if people cannot find $50 to put away every month to save for education, then perhaps the economy isn't as "recovered" as this President and others claim. BUt I also agree that like anything else, some people just choose other priorities vs. paying to take care of things that need attention. I've heard that parts of our economy are showing some growth (not a lot but some) like jobs, while others remain flat (like wages) and until they both grow we are not in an actual recovery.
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Deleted
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May 29, 2024 11:46:27 GMT
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Post by Deleted on Jan 21, 2015 4:20:55 GMT
I've got a trust fund and am far from "truly wealthy". We were not always good in putting money away for education, but I feel that if people cannot find $50 to put away every month to save for education, then perhaps the economy isn't as "recovered" as this President and others claim. BUt I also agree that like anything else, some people just choose other priorities vs. paying to take care of things that need attention. I've heard that parts of our economy are showing some growth (not a lot but some) like jobs, while others remain flat (like wages) and until they both grow we are not in an actual recovery. I agree. I posted actual numbers on a thread Lucy posted (my reply quoted Kristina) and if anyone read it...no one had any comments. Unemployment may be down, but the numbers aren't changing for Americans.
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pudgygroundhog
Pearl Clutcher
Posts: 4,643
Location: The Grand Canyon
Jun 25, 2014 20:18:39 GMT
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Post by pudgygroundhog on Jan 21, 2015 4:29:31 GMT
I think the truly wealthy have trust funds. I know multiple people who save for college (in one way or another) and they aren't making 150k. I think for some people it can be very difficult to find the extra money for college savings after taxes, bills, retirement funds, etc., but it is certainly not out of reach. Some people truly don't have the money and some people choose other priorities. I've got a trust fund and am far from "truly wealthy". We were not always good in putting money away for education, but I feel that if people cannot find $50 to put away every month to save for education, then perhaps the economy isn't as "recovered" as this President and others claim. BUt I also agree that like anything else, some people just choose other priorities vs. paying to take care of things that need attention. I meant more that the truly wealthy are using other avenues of saving rather than relying on 529, which seems to be more of a middle class option. I think any potential 529 changes would impact the middle class much more. As for people not finding $50 ... I think this varies by region/industry. For my circle of friends/co-workers, it's been a mix. We've had layoffs at my company, which certainly affects people and where their money goes. But I also think people have made different choices for their families (i.e. they've decided it was more important to have a SAHM, they have to fund retirement first, or they just would rather spend the money on other things).
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Deleted
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Post by Deleted on Jan 21, 2015 4:58:59 GMT
I've heard that parts of our economy are showing some growth (not a lot but some) like jobs, while others remain flat (like wages) and until they both grow we are not in an actual recovery. I agree. I posted actual numbers on a thread Lucy posted (my reply quoted Kristina) and if anyone read it...no one had any comments. Unemployment may be down, but the numbers aren't changing for Americans. I went to look for the previous post that I mentioned above. Maybe we can talk about it on this thread
Jan 9, 2015 at 11:45am iowa57girl said: Oh, I think it was WAY more than just desertpea and the gold chick screaming about the end of society and US economics as we know it, they know who they are, but you'll never see them on this thread, nor would you ever see them give this administration credit for anything.
Even better news today -
The U.S. Economy added 252,000 jobs in December which capped the best year in hiring in 15 years!
BLS
(here's my response to Kristina)
I will be the first to admit that it's difficult for me to decipher all the numbers and determine their TRUE meaning. Frankly, looking at the headlines with the declining unemployment rate and the addition of 252,000 jobs sure seems like great news.
But then I read the report.
Long term unemployed - unchanged in December
Involuntary part time - little changed in December
Major workers unemployment:
adult women - decreased .2 percentage point
men, teens, whites, blacks, Hispanics, Asians - little change
So we're seeing the headline numbers improving, but when you read the report, it still seems as if all of these numbers aren't affecting improvement to the American people.
Again...I'll be the first to tell you that I certainly can be lacking in the ability to understand this report...but from what it seems...there's still little change despite the fanfare of the unemployment rate decreasing and the number of jobs being added.
Here's the thread 2peasrefugees.boards.net/thread/15693/chicken-littles-wrong-inflation
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Deleted
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May 29, 2024 11:46:27 GMT
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Post by Deleted on Jan 21, 2015 5:04:57 GMT
i have not read anything about the proposed hikes, this is from just half listening to reports on the weekend investing radio shows. ANY INVESTMENT ACCOUNT where you have CAPITAL GAINS. 401K (and all the other initials), 529, Thrift Savings, IRAs, Systematic Investment Accounts (various types). All of these, one third wiped out by taxes. Nearly everyone I know in our income bracket has some sort of savings account(s) that will be hit, not like we haven't been hit, repeatedly over the last few years... I got totally screwed by capital gains last year and my mother's CPA reporting it against me personally, which impacted our family taxes in a bad, bad way vs. reporting it against the trust.
I ended up writing my DH a check for what our tax refund would've been without the capital gains vs. what our tax bill was with the capital gains factored in.
Head. Ache.
No surprise capital gains this year.
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Post by freecharlie on Jan 21, 2015 5:07:51 GMT
I don't mind going off topic as it is not a class offense here.
In my county, unemployment has gone down significantly and wages on average had gone up. In my county it is directly linked to the fracking and oil industry. Scores of people ran to the higher paying jobs of the oil field, leaving other jobs (low skills or education needed) unfilled.
Unfortunately for them and as result the county that was experiencing a boom, it is directly tied to oil prices. Layoffs have already begun. Hiring has frozen. And the ripple effect on some of the different industries around here have been felt every time the gas prices go down.
The oil industry isn't booming in other areas though and I am sure that there are portions of this country who don't have anything fueling the boom.
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Post by maryland on Jan 21, 2015 6:18:48 GMT
New York State allows contributions up to a certain level be deducted from state taxes. so does colorado. I wish there was a non-bible thumping, fiscal conservative who is more socially accepting that I could vote for for president, but unfortunately as long as the Republican party is more interested in shoving the bible at the public than actually being conservatively responsible the Democrats are the lessor of two evils. The middle class gets screwed by the Democrats and screwed by the republicans. Yes! So true!
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Post by stacy71 on Jan 21, 2015 8:54:22 GMT
See, I don't know any middle class people who have extra income to funnel into one of these plans, so to me, this is something for the wealthy, even though it has been touted as a program for the middle class. The only two people I know who put money into one of these make in excess of 150k per year, excluding their spouses' incomes. First off I disagree with your assessment. We are a one income lower middle class family and save money every month for our kids college. Even if your assessment were true that this is for the wealthy it is still very shitty for the president to propose. However since you hate rich people you think it is ok? Our country is so screwed!
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Post by littlemama on Jan 21, 2015 12:13:00 GMT
See, I don't know any middle class people who have extra income to funnel into one of these plans, so to me, this is something for the wealthy, even though it has been touted as a program for the middle class. The only two people I know who put money into one of these make in excess of 150k per year, excluding their spouses' incomes. First off I disagree with your assessment. We are a one income lower middle class family and save money every month for our kids college. Even if your assessment were true that this is for the wealthy it is still very shitty for the president to propose. However since you hate rich people you think it is ok? Our country is so screwed! Hmmm, I don't see where I said I hate rich people. What I said was, I personally know only two people who participate in these plans. They make more money than a middle class person, therefore my perception of these plans is that they are for people above middle class.
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Post by Kymberlee on Jan 21, 2015 13:04:59 GMT
First off I disagree with your assessment. We are a one income lower middle class family and save money every month for our kids college. Even if your assessment were true that this is for the wealthy it is still very shitty for the president to propose. However since you hate rich people you think it is ok? Our country is so screwed! Hmmm, I don't see where I said I hate rich people. What I said was, I personally know only two people who participate in these plans. They make more money than a middle class person, therefore my perception of these plans is that they are for people above middle class. Regardless of whether or not these plans are for "rich people" or not, people that do the right thing and make sacrifices for their children's education should not be penalized for planning ahead and making college a priority. I really am floored by your comments. As you have read through the comments, I am hoping that you are coming to the conclusion that it isn't just "rich people" saving for college. My takeaway from this proposal is that poor folks (or those that don't make education a priority) will get a free education and that truly wealthy families who don't have to pinch pennies to make ends meet will also be able to afford college and those of us that are truly middle class will be stuck with the bill. Also, what other taxes is the president proposing? I see mention of 401Ks, IRAs, etc… I shudder to think that the money my DH and I put into these plans will be taxed at some point when we need it the most.
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back to *pea*ality
Pearl Clutcher
Not my circus, not my monkeys ~refugee pea #59
Posts: 3,149
Jun 25, 2014 19:51:11 GMT
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Post by back to *pea*ality on Jan 21, 2015 13:18:21 GMT
Hmmm, I don't see where I said I hate rich people. What I said was, I personally know only two people who participate in these plans. They make more money than a middle class person, therefore my perception of these plans is that they are for people above middle class. Regardless of whether or not these plans are for "rich people" or not, people that do the right thing and make sacrifices for their children's education should not be penalized for planning ahead and making college a priority. I really am floored by your comments. As you have read through the comments, I am hoping that you are coming to the conclusion that it isn't just "rich people" saving for college. My takeaway from this proposal is that poor folks (or those that don't make education a priority) will get a free education and that truly wealthy families who don't have to pinch pennies to make ends meet will also be able to afford college and those of us that are truly middle class will be stuck with the bill. Also, what other taxes is the president proposing? I see mention of 401Ks, IRAs, etc… I shudder to think that the money my DH and I put into these plans will be taxed at some point when we need it the most. My take away as well. I feel the same way about health care. If the current health care law is not reformed then the middle class will lose access to health care over time. The rich will have it, they have enough assets to meet their needs, the poor will get if for free and the middle class will shoulder the burden for all. Then there are people like Al Sharpton who don't pay their taxes and get invited to the White House. WTF?
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Post by straggler on Jan 21, 2015 14:22:11 GMT
No need to worry about college for your children! They way things are going with Dems pushing "free" everything for everyone, including illegal immigrants, if Hillary gets 8 years in the White House I am sure "free" four-year college educations for everyone are just around the corner!
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Post by lisacharlotte on Jan 21, 2015 15:29:19 GMT
150k year is middle class. upper middle class in some areas but solidly middle class.
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Jili
Pearl Clutcher
SLPea
Posts: 4,363
Jun 26, 2014 1:26:48 GMT
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Post by Jili on Jan 21, 2015 15:52:15 GMT
See, I don't know any middle class people who have extra income to funnel into one of these plans, so to me, this is something for the wealthy, even though it has been touted as a program for the middle class. The only two people I know who put money into one of these make in excess of 150k per year, excluding their spouses' incomes. We're definitely middle-class, and fund 529s for both of our daughters. Not to the extent that I would like, but we've managed to save a little for them over the years (and continue to do so). Honestly, if we were 'rich', I'd likely consider other savings vehicles rather than 529. I'm not loving this idea, either--at all. I need to read more about it. One article I read indicated that current 529s wouldn't be affected. I don't know what is true and what isn't.
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Post by ntsf on Jan 21, 2015 17:30:23 GMT
some of the thinking about the 529's is that the vast majority of people who benefit from these programs make over $250,000 a year. not to say others don't use them..but it helps out the more wealthy people a lot more than anyone else.
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pudgygroundhog
Pearl Clutcher
Posts: 4,643
Location: The Grand Canyon
Jun 25, 2014 20:18:39 GMT
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Post by pudgygroundhog on Jan 21, 2015 17:35:45 GMT
some of the thinking about the 529's is that the vast majority of people who benefit from these programs make over $250,000 a year. not to say others don't use them..but it helps out the more wealthy people a lot more than anyone else. I have a hard time believing that.
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Post by jumperhop on Jan 21, 2015 17:36:43 GMT
" Mr President what was your greatest accomplishment as President". "Gas prices were low for 6 months while I was in office".
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Post by Darcy Collins on Jan 21, 2015 18:39:57 GMT
some of the thinking about the 529's is that the vast majority of people who benefit from these programs make over $250,000 a year. not to say others don't use them..but it helps out the more wealthy people a lot more than anyone else. Totally and completely false: blogs.wsj.com/totalreturn/2015/01/20/tax-benefits-of-college-savings-plans-would-be-cut-by-obama/Now will some of the tax benefit go to wealthy families - sure when someone like Obama plows $240,000 into a 529 for his daughters - his tax benefit is going to be greater than all those families with only $20,000. But that doesn't change the fact that the vast majority of people ARE middle class who are using that program. And taking away their tax benefit on some mission to make sure the next Obama can't use a 529 is misguided at best.
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Deleted
Posts: 0
May 29, 2024 11:46:27 GMT
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Post by Deleted on Jan 21, 2015 18:56:57 GMT
Regardless of whether or not these plans are for "rich people" or not, people that do the right thing and make sacrifices for their children's education should not be penalized for planning ahead and making college a priority. I really am floored by your comments. As you have read through the comments, I am hoping that you are coming to the conclusion that it isn't just "rich people" saving for college. My takeaway from this proposal is that poor folks (or those that don't make education a priority) will get a free education and that truly wealthy families who don't have to pinch pennies to make ends meet will also be able to afford college and those of us that are truly middle class will be stuck with the bill. Also, what other taxes is the president proposing? I see mention of 401Ks, IRAs, etc… I shudder to think that the money my DH and I put into these plans will be taxed at some point when we need it the most. My take away as well. I feel the same way about health care. If the current health care law is not reformed then the middle class will lose access to health care over time. The rich will have it, they have enough assets to meet their needs, the poor will get if for free and the middle class will shoulder the burden for all. Then there are people like Al Sharpton who don't pay their taxes and get invited to the White House. WTF? Yep...I've been saying for the last 14 months or so that the middle class will no longer be able to afford health insurance. The people that paid for it before will be squeezed out.
And yes, Al Sharpton at the White House so many times...that's beyond effed up. Too bad the White House isn't like the HOA pool...you don't pay...you don't get in to swim.
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Post by straggler on Jan 21, 2015 19:16:35 GMT
I know this probably won't sit well with a lot of peas, and I truly mean no offense to the young woman representing her family who suffered financially during recent economic times, but seriously of all the families who struggled and are still struggling...this was the best/worst they could come up with? Her husband's business failed, she had to go back to school, they had to give up vacations? Now she has a good job, and the business is up and running again. Seriously? I have neighbors who should have been invited to sit with Michelle...their stories would have been much more touching and a better example of how middle-class families have suffered! Give me a break! Even I could have sit with Michelle...my family has never had a real vacation!
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Deleted
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May 29, 2024 11:46:27 GMT
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Post by Deleted on Jan 21, 2015 19:42:40 GMT
" Mr President what was your greatest accomplishment as President". "Gas prices were low for 6 months while I was in office". Memories are short, so if it's the 6 months just prior to an election, it will be what people remember when they vote.
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Deleted
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May 29, 2024 11:46:27 GMT
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Post by Deleted on Jan 21, 2015 20:58:40 GMT
We are not wealthy by any means. We have one income ...a military income at that. But we made it a priority to help fund our kids' educations when they were young. We have saved for all four kids. It's not a ton of money, but I am PROUD of the fact that we won't be completely dependent on others to help out when the time comes to send our kids' to college.
Obama's idea to tax 529 plans sickens me. We've sacrificed a ton of things over the years to do the right thing and once again we can anticipate a cold slap in the face for being responsible.
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Deleted
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May 29, 2024 11:46:27 GMT
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Post by Deleted on Jan 21, 2015 21:53:15 GMT
trezmom...we have that issue too...because we have worked hard (I went back to work when I wanted to continue being a SAHM) to be able to save for college for 3 kids, those are who you penalize with more taxes? And oh, we are in the category of NO financial aid beyond some very small loans each year (that we haven't taken) and no tax credits or deductions due to our income level. And we don't meet the $250K level. But we get absolutely no help.
We've given up lots of expenses to be able to do so. I am thankful I am in the place to be doing so....but it stinks when we get punished in one more place.
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Post by jumperhop on Jan 22, 2015 0:13:30 GMT
I hate it when you are right! Jen
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