Have you ever wondered why the the wealthy don't have 401(k) accounts?
When it comes to financial matters and retirement planning, very few options are completely tax-free. However, are you familiar with the concept of a Tax-Free Retirement Account (TFRA)? All contributed money that you put into your TFRA, make from your TFRA, and take from your TFRA can be 100% tax-free.
This approach isn't new; it's what smart, wealthy families have been doing for decades to establish tax-free wealth that endures through generations. When appropriately established, TFRAs are fully aligned with both historical and current IRS tax regulations. One advantage of a TFRA is that any income generated within this account is not required to be reported as earnings. Technically, money made through a TFRA is not earned income.
Not everyone meets the eligibility criteria for this account type. Several limitations, such as age, profession, geographic location, and marital status, apply.
