I wonder if they count it again when you transfer it from your 401k to an individual IRA when you change jobs.
Well, some parts of the government, such as the Bureau of Labor Statistics, do. The IRS doesn’t count it as part of your AGI until you withdraw it.
And the author’s point is weakened by the earnings in the IRA or 401K. Unless the un-withdrawn gains are counted as income by the BLS, then some of what is withdrawn is NOT double-counted. Of course, if you lost money in your retirement account, then it is even worse.