Good Morning Gentle Readers,
Years ago an astute and financially diligent client proposed an idea that sounded intriguing yet far fetched. He asked me to figure out a way that he could fund an IRA for his very young son, calculating that if he could invest two grand a year until Michael turned 18, the kid would be a millionaire at retirement. The plan hinged on the funds accumulating tax free, hence the IRA angle. Unfortunately, there really wasn't any legal way to fund an IRA for a child.
Flash forward to 2005
Former Alcoa CEO and one time Treasury Secretary Paul O'Neill proposes that in lieu of social security, the federal government fund an untouchable retirement account for each American baby in the amount of, you guessed it, $2,000.00 per year until the kid turns 18.
So Gerry, it looks like you were ahead of your time.
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