Peter Thiel turned a Roth IRA into a $5B tax-free piggy bank

Re:Peter Thiel turned a Roth IRA into a $5B tax-free piggy bank by sokoloff on Thursday June 24, 2021 @07:01PM (#27625039)

I'm fine with limiting additional contributions to the Roth IRA once its value passes some number (and around $10M, indexed to CPI, feels reasonable).

I'm not bothered by investments whose value grows beyond that figure, to be honest, mostly because it's not clear what you'd actually do about it without trying to value unrealized positions and more likely compel transactions. (Valuing listed shares is relatively straightforward, but compelling transactions is abhorrent to me.)

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Re:Peter Thiel turned a Roth IRA into a $5B tax-free piggy bank by toomuchtodo on Thursday June 24, 2021 @07:05PM (#27625082)

I would go so far that additional gains above $10 million are exposed to capital gains, as contributions are inconsequential compared to the compounding of the account’s assets at that account value.

This is in line with QSBS tax treatment of corporation shares, where if certain conditions are met, there are no capital gains on the first $10 million.

https://www.brownadvisory.com/us/theadvisory/qsbs-tax-exempt...

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Re:Peter Thiel turned a Roth IRA into a $5B tax-free piggy bank by jeffbee on Thursday June 24, 2021 @07:35PM (#27625301)

Any balance in excess of ten million dollars at end-of-year should be a mandatory distribution. That’s a simple and very fair way to address the Romney-Thiel issue.

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