What to do with already-existing IRAs?
I’d started saving for a “guaranteed tuition” program but then I thought, to hell with this, the gov’t is always making great promises then reneging later. When I tried to get the money back OUT, what an ordeal they put me through. They didn’t want to release it.
In fact, when I needed several grand for something at the bank, they treated it as a big ordeal even though it’s MY money, asked me why I needed it (I was buying a vehicle).
The long story short is these establishments will TAKE your money, you ever getting it back out easily is another story altogether.
What about real estate purchases in IRAs? I think the solution is to take out as much IRA as you can and pay your 10% penalty, seems a lot better than a “government promise”!
Anyone who has $200,000 or more in their IRA’s should start researching alternatives. The government needs money, and the IRA’s are a large pool of money.
401K’s and IRA’s are, if you think about it, nothing more than IOU’s issued by banks and insurance companies. You will just be getting cheated by a different set of con artists...
It already started when Zero slapped another trillion on the deficit.
This was proposed by a Harvard friend of Obama’s before the election and was a hot topic then.
Given the circumstances, I am not surprised to see this proposed in reality.
The gov’t will “reset” the value of your 401K back to pre-Oct 2008 levels as the hook.
JD, it would have been nice to give us the BusinessWeek link.
The only comfort in all of this is that the Liberals will get clocked as well! Zero’s numbers are falling be cause the moonbats are beginning to realize that big brother is coming for them too!!
You mean they didn’t do that with TARP and the Porkulus and all the other spending?
Seriously though, I don’t know how they think they could confiscate property without due process beyond the power to tax. That is the only way for the Feds to directly take our property without a court order besides inflating away its value with monetary policy.
I get the impression that this idea of seizing people’s retirement money has been floating around leftist think tanks for awhile. Now that Barry is in office, they are coming out with the proposal.
I think it’s a given that this is going to happen. They are just waiting for the appropriate time to crash the stock market (causing a flight to the “safety” of bonds), and most of the sheep won’t even bat an eye when the .GOV generously offers to “save” their retirement nest egg by converting it to government annuities.
I’m quite pleased that I called this months ago and cashed-out my 401k after getting laid off. I stuck it in a 1.5%, 7-month CD at my local bank for now; will cross the next bridge when I get to it.
later
If he does I will treat him like John Dillinger. No different than robbing a bank.
This plan...
http://online.wsj.com/article/SB10001424052748704625004575089150388237876.html?mod=googlenews_wsj
...to be announced by Plugs today will require intense scrutiny as it wends its way through the Halls of Congress.
That’s not the worst of it, IIRC.
While under current rules, any remaining 401k or IRA funds go to your heirs, under the proposal they are considering your heirs would get 50%.
With gov’t taking the rest.
Armed rebellion is coming if this happens......