UnThreaded | Threaded | Whole Thread (7) | Ignore Thread Prev Thread | Next Thread
Author: dblaisd Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75381  
Subject: $2000 limit for IRAs Date: 12/18/1999 11:35 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
My first order of business is to apologize for any misspellings in this post and to ask your forgivness if this question has already been asked.

I am normally able to find out information fairly well, but this particular topic has been kind of a tough one. Most everyone knows that there is a $2000 contrib. limit for IRAs, but my query is why has it remained $2000 for so long. It has been $2000 for as long as I can remember. While trying to 'plan' for the future and only being able to put away a limited amount each year into an IRA it seems kind of unfair. It may be nice to be able to put away a bit more if we are really wanting to be prepared for retirement. Even if the amount is not going to be unlimited, at least the gov. could raise the amount allowed to contribute as the other areas get raised to allow for higher costs.

Sorry, I started babbling. Back to the reason for this post:

Why has the IRA contribution limit remained at $2000 for so long?


Thanks in advance for any help offered.

Spiritpalms

p.s. If anyone out there has a search string that I could have found this answer in the archives, I would like to know what it would be since "IRA" and "$2000" did not come up with what I was looking for and I already looked at the FAQ and in the basics the limit was discussed, but not the reason why it has reamined $2000 for so lone.
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post Back To Top
Author: TMFPixy Big gold star, 5000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 16553 of 75381
Subject: Re: $2000 limit for IRAs Date: 12/18/1999 11:42 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Greetings, Spiritpalms, and welcome. You asked:

<<Why has the IRA contribution limit remained at $2000 for so long?>>

The answer to your question is really rather simple. The limit is established by law. Any change to that limit was be enacted by Congress. To date, the Congress hasn't seen fit to change the present limit. Why? Only our illustrious leaders can answer that.

Regards..Pixy

Print the post Back To Top
Author: phooley Big red star, 1000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 16556 of 75381
Subject: Re: $2000 limit for IRAs Date: 12/18/1999 12:42 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
If anyone out there has a search string that I could have found this answer in the archives, I would like to know what it would be since "IRA" and "$2000" did not come up with what I was looking for and I already looked at the FAQ and in the basics the limit was discussed, but not the reason why it has reamined $2000 for so lone.

Some of the search engines don't do well with numbers, for various reasons.

I don't have an answer for your question with respect to the TMF site itself, but I use another meta-search engine to search on the Internet in general: www.dogpile.com .

I searched for:
"ira contribution limit" index
on Usenet, and found a few posts on the subject -- including one by Phil Marti. In this case, there is no definitive answer other than the one posted as the initial reply to your post. I was thinking I might at least find an HR- or S- bill proposing to index the amount. I'll continue looking, on the Web -- I would expect there would be a forum somewhere where people would be advocating such changes, and others might counter the suggestions...

Phooley

Print the post Back To Top
Author: phooley Big red star, 1000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 16558 of 75381
Subject: Re: $2000 limit for IRAs Date: 12/18/1999 12:58 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
... I'll continue looking, on the Web ...

Seems that what I was looking for was included in a draft of S.1792 -- but it doesn't seem to be in the version passed by the Senate.

The best way to get an answer would probably be to write to your Members of Congress expressing your support for the idea of indexing the $2,000 limit, and asking whether they intend to introduce or sponsor legislation to enact such a "reform."

BTW, a good position paper on the subject seems to be www.senate.gov/~finance/2-24fink.htm --

Phooley

Print the post Back To Top
Author: rkmacdonald Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 16574 of 75381
Subject: Re: $2000 limit for IRAs Date: 12/18/1999 9:50 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Spiritpalms wrote:
Most everyone knows that there is a $2000 contrib. limit for IRAs, but my query is why has it remained $2000 for so long. It has been $2000 for as long as I can remember

Ahhhh.........your government in action! Just think about this when you go to the polls next time. I try to find out about each candidate's position on this before I vote. I wish more people would do that. Maybe we could change things.

Also, think about this on April 17 when you make your yearly donation to the cause!

rkm

Print the post Back To Top
Author: zay34kc3 Three stars, 500 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 16609 of 75381
Subject: Re: $2000 limit for IRAs Date: 12/20/1999 7:59 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
in regards to indexing the limit, i believe Senator Roth (of Roth IRA fame) has floated the proposal to properly index the amount and raise the limit. he's saying the limit should be $5000 (yea, baby!) because (according to his numbers) that would be the limit if it was indexed properly from 1986, I believe.

i'm not sure if that would apply only to the Roth IRA or to all IRAs (except the Education IRA, of course).

wouldnt' it be nice, though, to have a $5000 limit Roth IRA or regular IRA?........i guess our government, which bemoans the low savings rate, would rather have us spend an extra $3000 than save it....

zay34kc3

Print the post Back To Top
Author: markr33 Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 16643 of 75381
Subject: Re: $2000 limit for IRAs Date: 12/20/1999 2:55 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Ahhhh.........your government in action! Just think about this when you go to the polls next time. I try to find out about each candidate's position on this before I vote. I wish more people would do that. Maybe we could change things.

More like government inaction :-)



Print the post Back To Top
UnThreaded | Threaded | Whole Thread (7) | Ignore Thread Prev Thread | Next Thread
Advertisement