GOP lawmakers propose new banking option that could help you save

First on the fox: The lawmakers of the Republican Party of Congress re -make legislation to the savings account option, which aims to put a fewer financial regulations to the Americans.

Senator Ted Cruz, R-TEXAS, MP Diana Harsbarger, R-Tenn. The global savings account law on Thursday.

The accounts will be similar to the Roth Ira, but there is no minimum age or any other restrictions to withdraw money without a penalty, and taxes will not be imposed on the growth of money.

Like Roth Ira, the same contributions will face a tax, but the account can be used for any reason, not just retirement, according to Fox Business.

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Two Republicans re -submit legislation for the savings account option, which aims to place fewer financial regulations on the Americans. (Matias Baglietto / Nurphoto via Getty Images / Getty Images)

“The comprehensive savings account law reduces the red tape and gives every American a flexible tax-free means to save, invest and spend-without intervention or government penalties,” Harsbarger said in a statement.

Money can be used for investment, and the current version of the bill allows a “initial contribution” of $ 10,000 a year and $ 20,000 for married couples who are American citizens or permanent residents.

It is worth noting that the limit of the “post -tax” contribution of $ 10,000 will increase 500 dollars annually until it reaches 25,000 dollars, then rises based on inflation.

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The stock market numbers are displayed within Fidelity Investments on Congress Street in Boston on December 20, 2018. (Nicolaus CZARNECKI/Medianews Group/Bostu Herad via Getty Images/Getty Images)

“Washington should not be in the field of miniature implementation how people use their money.

Similar legislation has been presented in recent years. However, the renewed discussion of comprehensive savings accounts comes with the continuation of the details of the tax policy in the White House and in the Congress halls.

Cruz said: “The simple savings plan that can be accessed will provide families with a way to prove financial security and prosperity. This bill provides a direct solution to these challenges. I strongly urge my colleagues to pass this law for future generations of Americans,” Cruz said.

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There will be no restrictions on income for account holders, accounts can be opened on behalf of minors and transferred to the direct family when the holder of the account dies.

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Other countries like the United Kingdom and Canada have global savings accounts, according to the Tax Corporation.