How Form 8854 Deferring 2023-2024

You hi, this is Dan Thompson. Have you ever played a game where you knew the odds were stacked against you? Putting money into a slot machine that seems to come to mind every once in a while. There's a winner, but for the rest of those who try, they get to watch their money go bye-bye. So here's a question: Do you think if the IRS were to set up a system, they would rig it so that they would lose? No, I don't think so either. See, they know the odds, they have the statistics. They know that the odds are in their favor when it comes to retirement plans. So what am I talking about? I'm talking about deferring your taxes in a retirement plan. The only way to win is to put your money into a retirement plan at a higher tax bracket than when you take it out. That's pretty simple, it's pretty straightforward. There's no other way to win. You take money out at a higher or equal rate as when you put it in, you lose. See, the IRS realizes that there may be a few who defer their taxes at a higher bracket than when they take it out, and they're willing to take that risk. Because the realization is that most people are in the same or a higher tax bracket when they finally take out their money. When I ask CPAs if people are retiring in lower tax brackets than when they were working, the answer is consistently no. In other words, when you retire, there's a good chance that you'll remain in the same tax bracket you were in while you were working, and in many cases, even higher. I mean, if I were to ask you, do you think tax rates...