If You Live in North Carolina, Here’s How Trump Might Affect Your Retirement
Written by
Laura Beck
Edited by
Zuri Anderson
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With the 2024 election just around the corner, North Carolina is once again finding itself in the political spotlight. And if you’re wondering how former President Donald Trump’s policies might shake up your retirement plans, you’ve come to the right place.
GOBankingRates spoke to financial experts to figure out exactly what might happen after Nov. 5. Let’s break down how Trump might affect your retirement if you live in North Carolina.
North Carolina: The Swing State Showdown
When it comes to elections, North Carolina is a big deal. As Cliff Ambrose, founder and wealth manager at Apex Wealth, puts it: “North Carolina is a key swing state, so voters here will likely feel the effects of these policies more directly as both sides vie for support in the election.”
In other words, your vote in North Carolina carries some serious weight.
The Tax Cut Temptation
One of Trump’s main focuses is on cutting taxes. According to Ambrose, “Trump’s policies could significantly shape your retirement finances.
“He tends to favor tax cuts, which might allow retirees to hold onto more of their income, and this could benefit those living on fixed incomes.”
For some North Carolina retirees — especially those in the higher income brackets — this could sound like good news. If you’re in this group, you might see a bit more cash in your pocket.
The “Business First” Approach
Anthony DeLuca from RetireGuide gave us a peek at Trump’s bigger picture for North Carolina.
“On a macro level, Trump is very much a businessman,” he said. “He’s going to favor deregulation regarding environmental protection, financial oversight, and [environmental, social, governance] regulations.”
DeLuca added, “Trump will also push Jerome Powell, the chairmen of the Board, to lower the Federal Fund Rate as swiftly as possible. All of these above initiatives are going to help spur small to medium-sized businesses.”
While these policies aren’t directly aimed at retirees, they could have a ripple effect.
“Trump’s goal is to grow the economy and keep jobs in-state,” DeLuca explained. “That’s going to affect an individual’s ability to earn a living and save for retirement.”
The Social Security and Medicare Question
While Trump is all about tax cuts, that money has to come from somewhere. Ambrose noted, “potential cuts to federal programs like Social Security or Medicare could mean higher out-of-pocket costs down the line.”
If you’re a retiree in North Carolina who relies on these programs, you should consider how potential changes to these programs could affect your retirement budget.
The Trade Talk
Trump has also been vocal about trade policies.
“Trump referred to North Carolina as the ‘furniture capital of the world,'” said DeLuca. “He also discussed how he replaced the North American Free Trade Agreement with the United States-Mexico-Canada Agreement.”
While this might sound good for local businesses, it’s worth thinking about how changes in trade policies could affect the cost of goods for retirees.
The Final Word
Trump’s ideas could be good news for some retired folks in North Carolina, but not so great for others.
If you’ve got a lot of money saved up, you might get to keep more of it because of lower taxes. But if you depend on things like Social Security checks or Medicare for doctor visits, you might need to be ready for some changes.
These programs could get less money, which might mean you have to spend more out of your own pocket.
Editor’s note on election coverage: GOBankingRates is nonpartisan and strives to cover all aspects of the economy objectively and present balanced reports on politically focused finance stories. For more coverage on this topic, please check out If You Live in North Carolina, Here’s How Harris Might Affect Your Retirement.
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