Got A 401(k)? Kiss It Goodbye!

[taiyuu_otoko]

Looks like those who've saved up a nest egg are gonna be paying for those who haven't...


Obama Begins Push For New National Retirement System

A representative of the liberal Pension Rights Center, Rebecca Davis, testified that the government needs to get involved because 401k plans and IRAs are unfair to poor people. She demanded the Obama administration set up a "government-sponsored program administered by the PBGC (the governments’ Pension Benefit Guarantee Corporation)." She proclaimed that even "private annuities are problematic."


Such "reforms" would effectively end private retirement accounts in America, Crone warns. "These people want the government to require that ultimately all Americans buy these government annuities instead of saving or investing on their own. The Government could then take these trillions of dollars and redistribute it through this new national retirement system."


Deputy Treasury Secretary J. Mark Iwry, who presided over the hearing, is a long-time critic of 401k plans because he believes they benefit the rich. He also appears to be one of the Administration’s point man on this issue.

"This whole issue is moving forward very quickly," warns Crone. "Already there is a bill requiring all businesses to automatically enroll their employees in IRA plans in which part of every employee’s paycheck would be automatically deducted and deposited into this account.

If this passes, the government will be just one step away from being able to confiscate all these retirement accounts."

(emphasis mine)

 

[SXS]

In my country, every month, 8% of your paycheck is deduced and saved in a account of a govern institution. You cannot move or do anything with this money, except for things like financiing a house, or being fired or something. You also have to pay for a universal retirement plan, which of course, is based mostly in age and contribution.

 

[sharkbeat]

I don't get it. Isn't that what Social Security basically is? (and SS is failing).

 

[speed dawg]

No way. If they try to confiscate my money I'm taking up arms over this crap.

 

[taiyuu_otoko]

No way. If they try to confiscate my money I'm taking up arms over this crap.

I'm not sure that would be the best response. As happened before, and will happen again, the smart money is always ahead of the government.

Anybody with a sizable investment and half a brain will just move it overseas before this happens.

Ultimately, I see this happening, eventually, but they won't make any money out of it. As investors and money managers will see this happening and just get out before it's too late.

It will just be an excuse to raise taxes more, as that's all this is, is a raising a social security taxes.

 

[speed dawg]

I'm not sure that would be the best response. As happened before, and will happen again, the smart money is always ahead of the government.

Anybody with a sizable investment and half a brain will just move it overseas before this happens.

Ultimately, I see this happening, eventually, but they won't make any money out of it. As investors and money managers will see this happening and just get out before it's too late.

It will just be an excuse to raise taxes more, as that's all this is, is a raising a social security taxes.

Most portfolios being managed by professionals have a sizable amount of investments overseas anyway right now. Just the way of the world.

 

[5string]

I've been reading about this for some time, as you can see the post dates back a couple of years.

However it is a very real, scary possibility. In an effort to stop printing money, it would be "beneficial" to the politicians to acquire all retirement accounts and put the money into US treasuries. With a 100% withdrawal fee, then you have the recipe for seized retirement accounts.

Of course, only an idiot would think that IRA's and 401ks are only for the rich.

In my 20's I was making minimum wage working 70+ hours a week just so I could put cash in my IRA. Anybody is capable of doing it. But as I countlessly post, most are too lazy to bother trying. It's so much easier to just take it from those who actually work.

I cannot quote a source, but remember awhile back reading about some clowns on capitol hill that were talking about reducing or eliminating your social security benenfits should you have a 401K or other qualified account with a certain amount of money in it. Obviously another example of redistribution of wealth (socialism) which is now the norm in this country, especially since Nobama got reelected.

That's the price to be paid for working hard and being frugal.

 

[Who Dares Win]

Oh if you think the best is already unveiled, just wait to see what the government is gonna do with those money before you will be old enough for claiming them back...
They usually say they invest them to make them grow or "invest them in society"...yeah something like that except that the only one to gain is the poor basterd who paid.

Yeah sleep tight while knowing that someone who "knows better" than you how to spend your own money has blank check and can cash any single coin.

Kinda a high price to pay just to brag a moral superiority of having a black president and a social state if you ask me...