Should the 401k Be Killed? (Go with the gubmint pension plan instead?)

Time ^ | 12/04/08 | Justin Fox

[nufsed]

People in 401ks will pay 7-8 times the taxes, they deferred, after they retire, if the retirement period matches the period of contribution. The employer contribution will probably cove most of the taxes, but that's hardly a bonus.

If people are contributing above the match, they might want to consider putting the rest in an indexed universal life policy. It's safe and liquid, without the restrictions of a 401k and no tax on the gain or distribution. Plus you get a death benefit.

www.usretirementrevolution.com

[nufsed]

COVER most of the taxes

[ClayinVA]

I am thinking it is almost that time, such a huge theft might be just the right kickoff. I guess this time all we need to do is reprint the Declaration of Independence and change a few names, then sign it again.

[The Great RJ]

Gee what a deal, take what little money we have left in our 401k’s and replace it with government IOUs. With US government securities rapidly becoming about as worthless as those from Zimbabwe that would be real secure. (sarcasm)

[ncalburt]

Justin Fox is the Obama media whore.
He wrote a pack of lies about how the economy was in a recession when the job losses increased in April of 2008 !
This DNC operative is just printing the DNC press releases !

[Reflex]

How does a Government take away a mans life savings in the form of a 401k or other retirement account, leaving him with the prospect of living out the rest of his life in poverty, and not expect some sort of violent reaction?
What a crazy idea!
When people lose hope, they can end up like the Muzzie jihadist, and we know all to well where that sort of mindset leads.
Lets Hope the people in Washington DC are not this greedy and stupid.

[MrB]

How does a Government take away a mans life savings in the form of a 401k or other retirement account, leaving him with the prospect of living out the rest of his life in poverty, and not expect some sort of violent reaction?

This has already been talked about. The "sweetener" will be that they will "restore" the value of your portfolio back to August 08 valuation.

Of course, this is MEANINGLESS, because the "restored" value will just be a number in their SS system, having no real value at all.

[wbill]

if the retirement period matches the period of contribution.

When I retire (assuming that 401k's still exist) I'll have been contributing for 40 years, give or take. I hope that my retirement lasts that long, but I'm not confident. :-)

So, 401k's are not for everyone, but they're still a pretty darm good investment vehicle, IMHO.

[Travis T. OJustice]

The bridge between the two.

I’ve worked very hard and lived frugally to ensure i would have a comfortable retirement. If these ****’s come for my 401K, I am not going down without a fight.

[MrB]

Isn’t that always the case with leftoids -

if you make good, frugal decisions and accumulate enough wealth to accomplish what you want to do,

they’ll come along with the force of gov’t and steal it from you to give to those who didn’t plan or decide as well.

They are perpetual teenagers, coveting the sports car that the 50 yr old man just bought with cash, and demanding that the gov’t steal it from him - not to have themselves, but just so that he won’t have it.

[omega4179]

Soshal security=LOOTED
Unemployment ins=LOOTED
Medicaire=a insolvent mess shortly
NO THANKS Keep the change,Hussein.

[norraad]

So what's next?

I mean they're raiders, that we know, but what's left to raid?

[OKSooner]

No, they’re talking about the opposite: Taking your own assets and putting them into the Federal government’s trough.

[camle]

stealing assets is a lng cherished government practice doncha know - especially in socialist countries

[Las Vegas Ron]

The socialist/commies need to keep the peoples fed, clothed, warm in the winter, cool in the summer, and have plenty of diversions ... like TV propaganda, futbol & base-a-ball & P/C games, along with removing arms & ammo and plenty of armed forces patrolling.

Yes indeed, I think you're right. Seems as though they've accomplished all but the last two parts of your post and I have a feeling those parts might be coming soon.

Me, I've been stocking up. I may be "old fashioned" but I still live by the "better dead than red" school of thought. I may end up dead but I'll do my best to take a few with me.

God Bless America and FR

[G.Mason]

“Fiddle-dee-dee. War, war, war. This war talk's spoiling all the fun at every party this spring. I get so bored I could scream. Besides, there isn't going to be any war!" — Scarlett O'Hara in Gone With the Wind

ΜΟΛΩΝ ΛΑΒE

[Las Vegas Ron]

ΜΟΛΩΝ ΛΑΒE indeed

[nufsed]

If you do anything it's better than nothing. If you do an IUL is't much better than a 401k or IRA.

Good luck!

[rb22982]

If you get 50% match and 100% in stocks you' be down 40% this year.

150 *.6 (40% loss) = 90% of your portion. Plus if you need to withdraw it for an emergency you lose another 10% plus taxes. And stocks are probably going a lot lower.

[Libloather]

...these ignorant arrogant a$$holes have the unadulterated nerve to say we are RICH!!!!

If the time comes, consider liquidation. I'm already out. If the tax deduction is gone - what good is a 401k?