Updated: Oct 15, 2020
Today I saw a financial adviser preview of the documentary "The Tax Train is Coming" by David McKnight. (And it's VERY GOOD!) In it, there were clips of David McKnight speaking about a Warner Brothers "Roadrunner and Coyote" clip about "the shed and the freight train."
Now, this clip is obviously hilarious... but I'd like to translate it for you for today:
- Bugs Bunny (possibly represents the Government? The IRS? Other well-meaning advisers recommending that you postpone your taxes for a tax-break this year?) is driving the tractor to move the shed onto the tracks.
- Wiley E. Coyote (that's you and me) is counting up his carrots believing he's a "super genius" with how much he has (I think they're sticks of dynamite).
- The train... is the fiscal problem of our federal government and the impending tax situation.
- Once it's too late, Wiley E. Coyote (you and me) simply closes the shade to ignore what's immediately about to happen.
Allow me to ask you a question: Which would probably be a better situation for you:
a) Volatile Stock market risk and fully taxable retirement savings plans?
b) No stock market risk and tax-free retirement plans?
The new 'golf-course bragging rights' will be tax-free income, rather than bragging about how much return you may have earned on your portfolio in a given year. It will be "The stock market went down, but *I* didn't... and I'm perfectly positioned to reap the upside as it grows again."
Here's the movie trailer preview: