2025 Investment Impacts from Policy Change

[davidsa]

The legislation for extending the tax cuts and adding additional tax cuts (tips, overtime, SS) was originally going to be included in the House legislation for funding through the end of the 2025 fiscal year. The Senate said nope so they did the CR instead. Extending and increasing the tax cuts comes next but the challenge will somehow showing it won’t increase the deficit, otherwise it will need 60 votes in the Senate. All this disruption with the federal workforce is really a spit in the ocean compared to the actual cost drivers in the budget.

Thanks! I would love to see the tax cuts extended but not at the expense of future generations.

[NitroZ7]

The legislation for extending the tax cuts and adding additional tax cuts (tips, overtime, SS) was originally going to be included in the House legislation for funding through the end of the 2025 fiscal year. The Senate said nope so they did the CR instead. Extending and increasing the tax cuts comes next but the challenge will somehow showing it won’t increase the deficit, otherwise it will need 60 votes in the Senate. All this disruption with the federal workforce is really a spit in the ocean compared to the actual cost drivers in the budget.

It feels like we have been involved in one type of conflict or another for the past 20 years. That had to add a huge amount to the deficit and we really got no return on those expenditures.

[davidsa]

Conflicts have to be a huge cost. I'd say more fundamentally an entitlement attitude pervasive just about everywhere that looks at the cause but not the budget impact. Kinda like ordering at dinner when someone else is paying.

[Bassin08]

I wish they would keep our tax dollars in this country. We pay all of this money in every year, only to have them supposedly give it out to other countries. That would right this ship!

[boneil]

I had forgotten about balance sheet runoff. $25 billion to just $5billion starting next month. The end of QT and the begining of QE is right in front of us.

[sdbrison]

If the govt came to you and said "If you pay us $200,000.00 to help with the debt then you would not need to pay income taxes for the rest of your life" would you take it? (This assumes that you trust them with the deal

Nope. Unless there was a guarantee US would pay all debts and stay out of debt. Otherwise they will figure out a way to get my money some other way so they can keep spending like drunken sailors

[davidsa]

It think we need to get back to balanced budget law and increasing taxes when we don't. We the masses need to directly feel the pain when our elected reps feel we "must do something" and we need to promptly vote them out of office for being unable to run the country with the professionalism of many households.

[Bassin08]

Have they visited Fort Knox yet to see all of our gold? I have a feeling they are going to have a lot of storage space to rent out.

[boneil]

Have they visited Fort Knox yet to see all of our gold? I have a feeling they are going to have a lot of storage space to rent out.

Why do you think gold has risen so much recently. Thats the gov buying the gold before the audit. Once the audit is done, we'll see gold sell off.

[sdbrison]

Why do you think gold has risen so much recently. Thats the gov buying the gold before the audit. Once the audit is done, we'll see gold sell off.

Good one

[rds_nc]

Why do you think gold has risen so much recently. Thats the gov buying the gold before the audit. Once the audit is done, we'll see gold sell off.

That's just absurd enough to be true. I bet the movie gets nominated for Best Picture in the 2052 cycle

[davidsa]

We don't need gold, we have a crypto reserve

[Bassin08]

Why do you think gold has risen so much recently. Thats the gov buying the gold before the audit. Once the audit is done, we'll see gold sell off.

The government didn’t and aren’t buying the gold. They already have it in their gated communities.

[boneil]

I suggest those interested in oil and gas companies, gas prices and how policy affects energy prices read the following report. Especially the comments from Exploration and production firms.

https://www.dallasfed.org/research/s...501#tab-report
https://www.dallasfed.org/research/s...1#tab-comments

[davidsa]

https://www.nbcnews.com/politics/con...uts-rcna198406

Several stories related to extending budget cuts coming forward from various sources. I thought they might be searching for offsets in spending but as reported in various sources, that does not seem core. Talk about making the cuts permanent appears at the core of the decision. One comment made talked about getting the US taxpayers some clarity by Memorial day.

if tax cuts were made permanent and if social security payments were made tax free, that would alter my IRA to Roth Conversion Strategy a little bit.

[davidsa]

https://www.cbsnews.com/news/trump-t...ior-deduction/


Some level of detail about the initial tax bill in the House

Note that the elimination of tax on Social Security is not included. That saddens me but we don't even have a plan to pay for tax cuts yet so undermining funding of Social Security would not help things.

The thought of having existing tax rates continue forever is very interesting and the impact is second only to the return on someone's portfolio. A year ago, I would have never dreamed this possible

[Bassin08]

I was really hoping for the no tax on SS. We are currently being taxed on 85% of SS benefits at 15%. We have no place to hide. I did a poor job on setting up our retirement investments. Just about everything is open for taxation.

[davidsa]

I was really hoping for the no tax on SS. We are currently being taxed on 85% of SS benefits at 15%. .

I agree!

It must be really bad financial outlook that is preventing the House from supporting a Presidential Promise. But it ain't over until the reconcile with the Senate and the big man signs. What is suggests to me is that if we took 10 people who contribute to this investment forum and asked us to analyze and recommend; that we would tax SS as it is today not because we like it but rather because the financial situation is just chit.

[Bassin08]

If it were up to me, I would stop supplementing Medicaid through Medicare. My wife and I as many others too, worked forty plus years to earn our SS and Medicare. Now to be taxed again on that same money is just plain wrong.

[RazorCat]

POTUS has mentioned more than a few time that he’d like to abolish income taxes in favor of either Flat Tax, or Fair Tax. He even mentioned renaming the IRS the External Revenue Service. I’m for anything that eliminates the thousands of pages of tax code in favor of a 1 rate fits all.
That would be an economic boom. Imagine a system where the government only gets what it needs, and we the people getting to keep more of our own money.
At the very least, eliminate SS taxes. I get hit harder than I like on SS benefits that I paid into for over 40 years. The fact the government taxes me for the privilege of taking my own SS benefits is bullshit.