Uncle Sam Plans To Steal Your 401K
SEIU, UNIONS OFFER PLAN TO POOL ALL OF THE NATION’S 401k’s>> >
Unions need help, pension plans underfunded
Uncle Sam Wants To Steal Your 401K,IRA’s
$3.6 TRILLION in 401(k) accounts. They want more.
Here’s the break down;
- The public would convert their 401(k’s),IRA’s to T-notes.
- The govt. would issue an IOU.(like Social Security)
- The U.S. Treasury could then float our country’s deficit and unsustainable spending.
- You might receive a 3% return ( IF the money is there when you retire)
According to Business Week,
“Retiree Annuities May Be Promoted by Obama Aides”
Spearheaded by Assistant Labor Secretary Phyllis C. Borzi , and Deputy Assistant Treasury Secretary,Mark Iwry,
the treasury and labor departments would like to know the best way to forcibly make you convert at least part of your 401k to T-funded annuities. Since 1980 the inflation index has been manipulated to keep interest rates low. Therefore, the return on the retiree’s 401k and IRA’s would be dismal.
Much like Social Security(really a tax), the govt. would guarantee a steady income during retirement. However,most people have paid a lot more into Social Security than they will ever receive. Plus, many will never receive Social Security ( in essence, a tax) because congress has spent the money placed in the Social Security Trust Fund.
Democrats approached this subject once before, in 2008.
U.S.News reported in 2008, “House Democrats recently invited Teresa Ghilarducci, a professor at the New School of Social Research, to testify before a subcommittee on her idea to eliminate the preferential tax treatment of the popular retirement plans. In place of 401(k) plans and IRA’s she would have workers transfer their dough into government-created “guaranteed retirement accounts” for every worker. The government would deposit $600 (inflation indexed) every year into the GRAs.
Each worker would also have to save 5 percent of pay into the accounts, to which the government would pay a measly 3 percent return.
Rep. Jim McDermott, a Democrat from Washington and chairman of the House Ways and Means Committee’s Subcommittee on Income Security and Family Support, said in 2008, “the savings rate isn’t going up for the investment of $80 billion [in 401(k) tax breaks], we have to start to think about whether or not we want to continue to invest that $80 billion for a policy that’s not generating what we now say it should.”
Related article, Neal Boortz: Brown Election may have saved pensions too
~ by riffenberg on January 10, 2010.