So Congress is considering capping the amount one can invest tax deferred in a 401K account. From a current $18K to $2400. About an 85% cut. To fund tax cuts for the rich. Now this alone is a huge WTF. But here is the thing many are missing….this is also a PAY CUT.
I am an executive assistant in NYC and I have always had a 401K account with a 100% from my employer. So every year I invest my limit of $18K and they match it, which means an $18K donation to my retirement account.
Now, the limit is $2400. So my 100% match is now $2400. I am not so good at math but that is $15,600 LESS I AM MAKING AT MY JOB. Now maybe some companies will donate to a Roth IRA instead, or maybe they will give you a unicorn too.
I am going to transition from a home office back to corporate for benefits LIKE THIS. The only thing left the middle class has that companies give us.
Am I the only one horrified by this? 42 percent of companies now match dollar-for-dollar. Others match 25% or 50%, but any way you look at it, it is PAY CUT TO THE MIDDLE CLASS.
Please get out the word.