MMI’s latest study on the impact of the Financial Transaction Tax (FTT) reveals a definitive conclusion:
The proposed FTT is a Retirement Tax on American savers.
Our in-depth analysis revels that the revenue generated from this tax would come directly from the pockets of Main Street investors saving for retirement, college, and other life milestones. Our report looks at the economic impact of the FTT, proposed in the Inclusive Prosperity Act of 2019 (S. 1587), on a number of savings vehicles utilized by the average investor. The findings highlight the devastating impact this tax would have on American savers, including:
$19 million in annual FTT on 529 College Savings plans, or the equivalent of a year of full in-state tuition for 1,900 students at a public university;
$24 million in annual FTT for a single public university endowment with $20 billion AUM, or the equivalent of 3,227 college scholarship in a given year;
$64,232 in annual FTT over the lifetime of a 401k account, or the equivalent of delaying the average individual’s retirement by two years; and,
$132 million in annual FTT for the typical state public pension plan with more than $68 billion in assets under management.
View the full report, A Study on the Effects of a Retirement Tax/Financial Transaction Tax on Retirement Security, College Savings and University Investments, below:
Our CEO Kirsten Wegner discusses the Retirement Tax and its impact on savers:
It's National 529 College Savings Plan Day – but watch out for new Dem tax proposals
Wednesday is National 529 College Savings Plan Day – but you might want to think twice before celebrating.
The 529 plans are widely perceived as an incredibly helpful tool for families attempting to save for the mounting cost of a college education. In fact, 2018 was a record year for these savings plans, with 44 percent of parents utilizing a 529 account for college savings.
US financial transaction tax would put unfair burden on savers.
As Democrats start positioning themselves for the 2020 US presidential campaign, it is clear that Wall Street is firmly in their sights.
Along with touting proposals for wealth and income taxes aimed at the affluent, some Democrats on Capitol Hill last week unveiled a bill to impose a financial transaction tax. This particular revenue raiser, beloved by leftists in Europe, would levy a 0.1 per cent tax every time a share, bond or derivative changes hands.
Let's Not Tax Colleges To Pay For College Tuition
Imagine this: free college tuition for everyone, and all we have to do is impose a tiny tax on big-money financial institutions when they buy and sell shares of stock. Maybe that sounds good on the surface, but it doesn’t pass a freshman economics class.
Pension funds cannot afford Sanders' tax on financial transactions
Institutional investors continue to navigate a challenging landscape marked by geopolitical risks, low yields and sizable long-term obligations. Now, coming from Sen. Bernie Sanders, I-Vt., is another challenge posed by the so-called financial transaction tax included in the Inclusive Prosperity Act of 2017.