Class Warfare's Next Target: 401(k) Savings

Investors.com ^ | February 17, 2010 | NEWT GINGRICH AND PETER FERRARA

[Secret Agent Man]

Look friend, I am only going to reply one more time to you, as I am getting frustrated discussing this with you.

If you do it now, you will be able to transfer it to your bank. And then take it out from your bank. If you do it now while they are taking comments, you will have time to do it and get actual cash into your hands.

[savedbygrace]

If they can design it so it doesn’t look much like the theft that it really is, then they can get away with it.

[rxsid]

No need to get testy FRiend. You have your opinion, I have mine.

I see no advantage to using the "middle-man" (the bank) if one is simply going to take their money completely out of the "system" (be it 401k or a bank). If that is the goal, I would simply take it out of the 401k directly, and cut out the bank in between.

Have a nice day.

[rxsid]

"Better to fight to keep it there than to give up a chunk of income on the possibility that it will all be stolen. They can steal it from your new bank account or other fund as well, when the time comes."

Indeed. Completely agree. I will fight this before taking my money out and taking a 20% hit. Keeping a very large sum of cash at home isn't exactly an attractive alternative to me.

[adorno]

Anytime a government sees a pile of cash, they immediately start looking for ways to get it.

You're onto something there.

But, the biggest target and the only real targets for the socialists and communists is the wealth being held by the super-rich and those that are just wealthy. But, wealthy can be defined (or re-defined) to mean anybody that is living beyond a comfortable living standard.

Thus, if the socialists and communists are allowed to have their way with the government becoming all-controlling over our lives and with the economy, then it's just a matter of time before they start looking at bank accounts and all assets, including houses, for re-directing all of it towards takeover of it by government. We are already familiar with confiscation of earning through taxes, but what is coming is even more sinister. Confiscation of wealth is the ultimate goal of socialism/communism and at that point, the U.S. and capitalism will have been destroyed and we'll just be left with a banana republic (or should we call it an apple republic?).

[Secret Agent Man]

Your 401k is not going to send you cash. They will send you a check which you will have to cash in at the bank. And then withdraw right away. You still need a bank you have an account at.

[rxsid]

I believe a check (even a large one) can be cashed at the issuing bank without having an account there, and in many others as well (w/o an account). There is also the option of a check cashing agency. Of course, fee's will apply, but no need for an account (which incur fee's as well).

Cheers!

[cherry]

is your money sitting under your bed?....I bet not...I bet you have a few statements from the bank, or financial people that states you have so much money...

how easy is it for the govt to just confiscate all of that?.....hardly lift a finger and its done...

think about it...none of our hard earned wealth is secret from the govt..they know it all..they have all the tools to spy and record every transaction you make..

and it does no good to think that buying antiques or gold or guns and having them to sell when TSHTF is a worthwhile endeavor...the govt will make it illegal to sell anything under the table...thus making us all criminals.

hell, they are always threatening to tax garage sales

..and to be sure, they will come after conservative,religious people first..

which all makes me very sad....all I can think to do is to NOT put anymore money away, but get rid of bills and stash a little cash and help my adult children a little more...

[AmericanInTokyo]

Take your pick.

Take up with the East African.

Or take up with the West African.

Either way it is a GIVEN that The Kenyan is going to empty your pockets of gobs of hard-earned loot.

You might much better with the Nigerian.

[Secret Agent Man]

It is getting harder and harder to find banks that will cash checks for people that don’t have accounts with them. the ones that do charge fees to do so, and I would not be surprised if the fee goes up as the amount to cash, goes higher. Especially when you are talking tens of thousands of dollars or more.

[Gaffer]

The result of this will be more acts of desperation as has been seen recently in response to frustration and the futility of dealing with government.

[rxsid]

Indeed.

[haroldeveryman]

“All I am saying is don’t underestimate your adversary’s ability to do anything. Especially this guy.”

Thanks for your reply and the explanation. Another way one might look at it is a remark once made by H.L. Menken. To paraphrase (since I’m not sure of the exact words) “Noone ever lost money by underestimating the intelligence of the American public.”

By the way, after re-reading my previous post I’d like to say that I didn’t come as unhinged as it might seem. However, what has been happening to this country in the past year makes me think we’ve entered the Twilight Zone on steroids.

[WOBBLY BOB]

401k advice:

to cash it all in and take the hit?? what’s the tax rate on doing so?

do it now or wait till the job goes away? (is losing your job a valid “hardship” to do so without penalties?)
use the cash to pay off debt and ???

my thinking now is keep it and it’ll become worth nothing via inflation, or worse, be taken by our government.