Should Millennials Be Worried About Their Money Under Trump?
Should Millennials Be Worried About Their Money Under Trump?
President Trump is coming and ready or not his presidency will likely affect you to at least some degree. While trump’s policies will have varying degrees of influence on different people, depending on their life circumstances, almost everyone will see changes to their financial status once the Trump team begins to make changes to the nation’s tax system. While most people understand this, there are also many other Americans who don’t think a Trump presidency is going to change their financial situation, namely Millennials. In fact, according to the results of a recent survey from BankRate.com, almost 45 percent of all respondents between 18 and 35 don’t think Trump will affect their wallets one way or the other. So are they right? Probably not.
How Will Taxes Differ?
The fact is there are several policy changes that could end up affecting Millennials, and in fact, most likely they will. For starters, Trump’s proposed changes to the tax system will affect almost everyone, either for good or for bad. While many people will see their taxes cut under Trump’s plan, there are some groups that will see an increase, including even some middle- and lower-income families. So why the increase? Trump wants to raise the lowest tax bracket from 10 percent to 12 percent and he also wants to drop head of household status and personal exemptions, which often help single parents.
Changes in Health Care
Millennials might not see it coming but there could be some big changes to their health care plans under Trump, which could affect their bottom line. It’s no secret that the Trump administration plans to repeal the Affordable Care Act, otherwise known as Obamacare. If the ACA is repealed millions of Millennials might end up without any healthcare coverage replacement and a lot of uncertainty, including higher medical bills.
Student Loan Debt
When it comes to student loan debt, Trump has made a proposal very similar to the outgoing president’s plan. Trump wants to cap how much a graduate would have to pay on their loan at 12.5 percent of their salary, which would also be based on their current income. Additionally, Trump said graduates might be able to have their debts forgiven if they make regular payments for 15 years.
What About Childcare?
Throughout the election, Trump claimed he wanted to help families who had to pay for childcare, especially young families and single mothers. Trump has proposed allowing parents to deduct the average cost of childcare in their state for up to four children and depending on the child or children’s ages. These deductions would be far-reaching as well, as they would be available to any a single parent making less than $250,000 a year and married couples making less than $500,000. It would also help parents who work and stay-at-home parents whose spouses work outside of the home.
The bottom line is that even though many Millennials might not expect much financial change under Trump, the fact is, many, if not all will see some kind of difference, for better or for worse during Trump’s presidency.
We hope you found this article about “Should Millennials Be Worried About Their Money Under Trump?” helpful. If you have questions or need expert tax or family office advice that’s refreshingly objective (we never sell investments), please contact us or visit our Family office page or our website at www.GROCO.com. Unfortunately, we no longer give advice to other tax professionals gratis.
To receive our free newsletter, contact us here.
Subscribe to our YouTube Channel for more updates.
Alan Olsen, is the Host of the American Dreams Show and the Managing Partner of GROCO.com. GROCO is a premier family office and tax advisory firm located in the San Francisco Bay area serving clients all over the world.
Alan L. Olsen, CPA, Wikipedia Bio
GROCO.com is a proud sponsor of The American Dreams Show.
The American Dreams show was the brainchild of Alan Olsen, CPA, MBA. It was originally created to fill a specific need; often inexperienced entrepreneurs lacked basic information about raising capital and how to successfully start a business.
Alan sincerely wanted to respond to the many requests from aspiring entrepreneurs asking for the information and introductions they needed. But he had to find a way to help in which his venture capital clients and friends would not mind.
The American Dreams show became the solution, first as a radio show and now with YouTube videos as well. Always respectful of interview guest’s time, he’s able to give access to individuals information and inspiration previously inaccessible to the first-time entrepreneurs who need it most.
They can listen to venture capitalists and successful business people explain first-hand, how they got to where they are, how to start a company, how to overcome challenges, how they see the future evolving, opportunities, work-life balance and so much more..
American Dreams discusses many topics from some of the world’s most successful individuals about their secrets to life’s success. Topics from guest have included:
Creating purpose in life / Building a foundation for their life / Solving problems / Finding fulfillment through philanthropy and service / Becoming self-reliant / Enhancing effective leadership / Balancing family and work…
MyPaths.com (Also sponsored by GROCO) provides free access to content and world-class entrepreneurs, influencers and thought leaders’ personal success stories. To help you find your path in life to true, sustainable success & happiness. It’s mission statement:
In an increasingly complex and difficult world, we hope to help you find your personal path in life and build a strong foundation by learning how others found success and happiness. True and sustainable success and happiness are different for each one of us but possible, often despite significant challenges.
Our mission at MyPaths.com is to provide resources and firsthand accounts of how others found their paths in life, so you can do the same.
I Will be Better in 2023
Why I will be better in 2023 than I was in 2022. Every year, millions of New Year’s resolutions are made on January 1st, and like mine, many of them never make it past the 31st. But this year I want to be better: better at setting goals and better at reaching them. I made this resolution in…
The Visionary Mind behind Cave Financial
The Visionary Mind behind Cave Financial Michael Cave started Cave Financial over 20 years ago with the vision of providing families and businesses with assistance in creating, protecting, and preserving their wealth. After completing his education in accounting at Ball Corp, Michael gained experience working for various companies, such as Boeing Co. and Harley Davidson.…
Good Financial Planning Let’s You Live Your Lifestyle with Michael Cave, Managing Director of Cave Financial
Transcript: Alan Olsen Michael, for the listeners here. Can you give us your background and how you got to the point you are today? Michael Cave Yeah, well, I guess like a lot of advisors, I got recruited into the industry. But I’ve always had a bit of a passion LM for financial affairs and…
Derek Lobo’s Self Funding House: The Dream has Not Passed You By
Derek Lobo, CEO & Broker of Record of SVN Rock Advisors Inc., is a recognized housing expert in Canada’s expensive and highly competitive housing markets. As Derek puts it, the affordability gap between home ownership and renting has become a full-fledged crisis. With his new book Self Funding House: Rebuilding the Dream of Home Ownership,…