Tag: tax deduction
Expanding Auto-IRAs and the Saver’s Credit is the real way to increase saving. I just reviewed a manuscript where once again the authors proposed changing the tax incentive for retirement saving from a deduction to a credit. I used to push this idea myself, but now think it’s a diversion that could increase the revenu…
Closing the coverage gap, however, is the real way to increase saving. The financial services industry seems very exorcised by a relatively modest proposal in Joe Biden’s tax plan – namely, changing the tax incentive to save for retirement from a deduction to a flat, refundable tax credit. Let’s see if this proposed chang…