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

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

[Red in Blue PA]

Republicans should introduce the "Keep Your Hands Off My 401(k) Act of 2010" about 2 months before the November elections.

[campaignPete R-CT]

BRING IT ON! LET’S RUMBLE!

[Jack Black]

*Never* have I seen a topic cause such a large percentage of Freepers posting to say "this will start CWII". And I've been at this ping list a long time now (along with my two good FRiends and partners, Archy and Travis).

CWII PING!!!!

[FightThePower!]

If this happens, its time for violence. Thieves.

[robomatik]

"BusinessWeek reports that the Treasury and Labor departments are asking for public comment on "the conversion of 401(k) savings and Individual Retirement Accounts into annuities or other steady payment streams.

In plain English, the idea is for the government to take your retirement savings in return for a promise to pay you some monthly benefit in your retirement years."

ping-meister

[Tijeras_Slim]

I’d rather let them try.

No stalling, no delaying... let’s rumble.

[balls]

The other way they will get your retirement savings is through a valua added tax (VAT). All this talk about collecting tax at the point of sale, instead of through income, being more fair is BS. It’s just another way of snagging retirees when they spend their after-tax 401k and IRA distributions. For example, in the UK, the VAT on most goods and services is 17.5%. Imagine spending 17.5% of your already taxed retirement income on VAT. This is where we are headed if Pelosi has her way!

[Wisconsinlady]

Me too. I’d rather take the hit now than later when they will lose it all for me.

Rewarding the grasshoppers with the ants’ money.

Redistributing the wealth.

[Red in Blue PA]

[businessprofessor]

It is much worse than forcing you to buy T-bill annuities. It is confiscation of your assets fueling additional government spending. Your benefit stream will not have any assets to pay benefits. Your wealth will be treated identically to Social Security taxes: spent immediately so that spending levels will not need to decrease. The economy will be starved of private investment and the dollar will still be in grave danger because there will not be enough economic output to support incredible levels of government spending.

[Wooly]

I have been saying that this would happen for the past year. Obama’s health care program was tailored to take the monies from the private sector in order to shore up Medicare and Medicaid.
As I have stated the next logical move on the part of the Democrats would be to force the conversion of 401ks and IRAs into a federally approved or managed investment that would be sold under the guise of protecting you from greedy bankers. What I have stated in the past that this program, based upon the amount that you have in these retirement investments, would be converted in such a way that when you retire you would get another $100 to $500 dollars per month on top of your Social Security for as long as you live. At that time the monies would go to the treasury and not your estate.
You can search my posts if you do not believe me.

[Wisconsinlady]

I talked to my husband tonight about this. Problem is, we will have to pay federal and state taxes plus 10% penalty now. Then what if we have hyperinflation and what I do have turns to nothing?

[Chad_the_Impaler]

Will this apply to 403(b) and 457 as well?

[balls]

These are VAT rates for EU countries

Austria

Country Code: AT

VAT Rate: 20%

Belgium

Country Code: BE

VAT Rate: 21%

Bulgaria

Country Code: BG

VAT Rate: 20%

Cyprus

Country Code: CY

VAT Rate: 15%

Czech Republic

Country Code: CZ

VAT Rate: 19%

Denmark

Country Code: DK

VAT Rate: 25%

Estonia

Country Code: EE

VAT Rate: 18%

Finland

Country Code: FI

VAT Rate: 22%

France

Country Code: FR

VAT Rate: 19.6%

Germany

Country Code: DE

VAT Rate: 19%

Greece

Country Code: EL

VAT Rate: 19%

Hungary

Country Code: HU

VAT Rate: 20%

Ireland

Country Code: IE

VAT Rate: 21%

Italy

Country Code: IT

VAT Rate: 20%

Latvia

Country Code: LV

VAT Rate: 18%

Lithuania

Country Code: LT

VAT Rate: 18%

Luxembourg

Country Code: LU

VAT Rate: 15%

Malta

Country Code: MT

VAT Rate: 18%

Netherlands

Country Code: NL

VAT Rate: 19%

Poland

Country Code: PL

VAT Rate: 22%

Portugal

Country Code: PT

VAT Rate: 20%

Romania

Country Code: RO

VAT Rate: 19%

Slovak Republic

Country Code: SK

VAT Rate: 19%

Slovenia

Country Code: SI

VAT Rate: 20%

Spain

Country Code: ES

VAT Rate: 16%

Sweden

Country Code: SE

VAT Rate: 25%

United Kingdom

Country Code: GB

VAT Rate: 17.5%

[redlegplanner]

Target.

At some point a man and father starts to consider just what he is leaving for his children a lot more than what he is saving for himself. 25 (so far) years of labor pissed away for the benefit of ACORN? I don’t think so.

Remember, in the real world, the ants eventually get wise and kick the grasshoppers’ A$$.

[hot4plasma]

“This would bring on a revolution.”

Are you nuts? They could machine gun millions of us into ditches, and we’d still be putting up people like that traitor Mccain... We the people are going to do absolutely nothing.

[jsh3180]

Sometime around the late 1970’s my business accountants or tax prepares started asking me every year.”Why aren’t you taking advantage of the tax deferred retirement plans available to you?”
They always got the same answer from me, I’d tell them, I don’t trust the governmemnt enough to have any more control over my money. I’ll pay taxes on it now and do with it as I see fit, cause who knows what they’ll dream up in 20 or 30 years when I want to start taking it out.
Of course they all looked at me and rolled their eyes back in their heads as they wrote me off as a crazed, paranoid conspiracy nut.
Well, here I am, 56 years old and I never put one stinking penny in any “gubmint approved” retirement scheme.
Lots of the money I could have contributed was spent as cash for shiny metal goods, known elsewhere as “barbarous relics”.

Damn, I’d love to call those tax preparers and say “I told ya so”, but I won’t, I’ll just smile and thank my lucky stars.

[Ellendra]

Did I call this one?

[ReyTurner]

Rush didn’t even sniff this. This stuff is intellectual.

[Red in Blue PA]

Obama voters are going to be upset over this proposal. Oh wait......