Trump says no changes to 401(k) plans under tax proposal
(Bloomberg) — President Donald Trump said there will not be changes to tax-deferred retirement savings plans under his proposed tax plan, shooting down reports that House Republicans were considering tweaking or capping one of the most popular breaks.
“There will be NO change to your 401(k),” Trump said Monday on Twitter. “This has always been a great and popular middle class tax break that works, and it stays!”
Trump’s declaration is the first time he has weighed in specifically on this portion of the tax overhaul debate. Republicans had been considering reducing the cap on the annual amount workers can set aside for their 401(k) retirement accounts, according to a New York Times report on Friday.
Workers can currently put as much as $18,000 in those accounts each year without paying taxes up front.