5 Ways the Election Results May Affect Your Retirement
NEW YORK (TheStreet) -- Between all the debating, advertising and robocalls, it can be difficult to focus on the many everyday parts of life that will be affected by a Romney presidency or Obama re-election. When it comes to finances, for most of us "Big Bird" and "big government" are less important than the things, big and small, that will influence the way we spend and save.
Retirement planning, of course, is among the most important elements of a sound financial plan, so it's critical to understand how the incoming administration's policies will make that more or less secure.
Here are the five most important ways the election can make our golden years more -- or less -- so.
Tax policy is among the most uncertain outcome to the election. Democratic President Barack Obama hopes to keep the Bush-era tax cuts intact for all but the nation's top earners and raise revenue by closing loopholes. Republican challenger Mitt Romney wants to keep all the cuts intact but reduce deductions and loopholes to raise overall tax revenue. The good news: Neither candidate's plans are likely to affect the ability to deduct traditional IRA contributions from your taxes (Roth IRAs are funded with "after-tax" money). The candidates have generally talked about itemized deductions, and IRA contributions aren't among them.