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So Biden's gonna poop out a capital gains tax increase for people earning $1 million or more.

posted by ScorpioGlitch on Whatever

What that means is inheritance, investments, sudden windfalls of $1 million will now only get you about $600,00. It's a small increase from what it was but it's now enough to ensure that you will NEVER retire from a lump sum amount of $1 million ($1 million goes very fast). You will need $2 million for a middle age adult to retire. $5 million for the same adult to retire comfortably. About $7 million for someone in their 20s to do the same. Meanwhile, those who earn that much or more regularly will continue to use the same tax loopholes to avoid paying taxes. It leaves them alone and squeezes middle class and prevents you from climbing the income ladder. And the stock market dropped because of this. I wonder why? It's because the smart upper class investors are shuffling assets to avoid it and the middle class... well, they don't have the money to buy in the dip. Bitcoin lost like, what, $8000 overnight? AND PEOPLE ARE PRAISING THIS. If they wanted real change, the tax laws need to be completely revamped. But that's not what it's about. But keep dreaming of that free housing, free college, free whatever, yo. All you're doing when you support this kind of crap is destroy yourself.

For more investment advice and political insights, don't follow me.

What that means is inheritance, investments, sudden windfalls of $1 million will now only get you about $600,00. It's a small increase from what it was but it's now enough to ensure that you will NEVER retire from a lump sum amount of $1 million ($1 million goes very fast). You will need $2 million for a middle age adult to retire. $5 million for the same adult to retire comfortably. About $7 million for someone in their 20s to do the same. Meanwhile, those who earn that much or more regularly will continue to use the same tax loopholes to avoid paying taxes. It leaves them alone and squeezes middle class and prevents you from climbing the income ladder. And the stock market dropped because of this. I wonder why? It's because the smart upper class investors are shuffling assets to avoid it and the middle class... well, they don't have the money to buy in the dip. Bitcoin lost like, what, $8000 overnight? AND PEOPLE ARE PRAISING THIS. If they wanted real change, the tax laws need to be completely revamped. But that's not what it's about. But keep dreaming of that free housing, free college, free whatever, yo. All you're doing when you support this kind of crap is destroy yourself. For more investment advice and political insights, don't follow me.

14 comments

[–] ScorpioGlitch [OP] 4 points (+4|-0)

Every time bitcoin drops, I throw another $200 at it. So far, I'm ahead.

[–] CDanger 2 points (+2|-0)

It's really hard to lose money on an asset that has grown at an average rate of something like 200% per year, and yet people have. Tells you a lot about the intelligence of the average person.

[–] ScorpioGlitch [OP] 1 points (+1|-0)

That's because they think of investments like that as a short term volatile stock. It dips lightning quick and they panic, trying to recover before they lose more. When everyone is selling, that's the time to buy.

[–] CDanger 1 points (+1|-0)

Yeah the history is plain as day and gives a super easy formula for making money on it: just buy and hold. I guess they see the volatility and think they could make even more money if they time trades perfectly, but my guess is the kind of person inclined to think that way is also an impulsive type who doesn't think about things long term, so when they're likely to overextend themselves and panic when they see their portfolio down.

You'd think the abundance of data on this and the strong incentive not to lose money would be enough to modify this behavior, but a fool and his money are soon parted. Or it's like people somehow perversely enjoy lighting money on fire while bitching about it at the same time. Whatever the cause of this phenomenon, it's probably the same reason casinos are even a thing.

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