Tax changes that favor people who save will also tend to favor those with relatively higher incomes.

Question

Quizplus · Accepted Answer

Tax changes that incentivize saving, such as increasing contribution limits to retirement accounts or providing tax credits for contributions, tend to benefit those who have more disposable income to save. Lower income individuals may not have the financial means to save and take advantage of these tax breaks.

Tax Changes That Favor People Who Save Will Also Tend