Last month, the Senate Finance Committee looked into changes that could cut tax deductions for IRAs and 401(k)s. The Tax Policy Center says the current system generally works in favor of the rich, but Judy Miller of the American Society of Pension Professionals and Actuaries said retirees sometimes will pay more in taxes than they save through tax breaks. Proposals to tax 401(k)s also could lead to major reductions in the amount Americans save for retirement, said Jack VanDerhei of the Employee Benefits Research Institute.

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