An easy example is Roth IRAs. The contribution limits, including for conversions, are set quite low. The limits this year are $7,000, but that's including several jumps over the past few years. So according to this number, one could nominally contribute or convert (via a backdoor Roth conversion) $210,000 over 30 years, which would then of course likely grow at the market rate of approximately 10%. That would yield approximately $1,153,203 for a person able to max out a Roth IRA every year for 30 years, assuming this year's limit as a constant. Such a person is likely in the middle to upper middle class.
However, the super wealthy are able to amass tens, hundreds, and even thousands of millions of dollars in Roth IRAs, and furthermore, they use these accounts as investment vehicles into investments not available to non-super wealthy people. The only way that's possible, in accounts with strict and low limits, is through various loopholes in the system available to them because of their wealth.
However, the super wealthy are able to amass tens, hundreds, and even thousands of millions of dollars in Roth IRAs, and furthermore, they use these accounts as investment vehicles into investments not available to non-super wealthy people. The only way that's possible, in accounts with strict and low limits, is through various loopholes in the system available to them because of their wealth.
https://www.investopedia.com/ultrawealthy-exploit-roth-ira-5...
https://www.propublica.org/article/lord-of-the-roths-how-tec...