Posted on 04/13/2013 11:07:25 AM PDT by yoe
As the April 15 filing deadline looms, it looks like some tax-protected retirement-savings vehicles might not be so protected after all.
President Barack Obama's budget for fiscal year 2014, released Wednesday, is loaded with an unusually large number of carrots—and sticks—for U.S. workers' retirement savings.
The idea getting the most attention among retirement-industry leaders so far is a lifetime cap on savings in individual retirement accounts and other tax-deferred retirement-savings vehicles, including 401(k) plans and corporate profit-sharing plans.
[snip] A saver's total balance across such accounts would be limited to the amount needed by a 62-year-old to buy an annuity generating an annual payment of $205,000.
[snip] The repercussions could be significant. U.S. corporations have been largely phasing out traditional pensions and replacing them with 401(k) plans, on which many higher-income workers plan to rely for retirement income. Meanwhile, two out of five U.S. households hold IRAs.
Financial advisers already are starting to warn clients they might need to rethink their savings and estate-planning
(Excerpt) Read more at online.wsj.com ...
For every dollar these pricks steal from my retirement,I will give a dolar to anyone who opposes them.They’d back off pretty quick if a majority of people would do the same.
Obama wants to use a different formula to calculate inflation that is much lower then current methods. Soc Sec retirees would get a smaller COLA, but worst it will be applied to tax tables, making many middle class workers into high income earners (for tax purposes) much faster.
This means that if you have 3 million in retirement you stop getting the additional money tax deferred. Nobody is doing the tax deferred anymore anyway. Everyone is in Roths. Who cares about this. Only an idiot is going traditional IRA now a days anyway.
I hear a lot of Generation X’ers say that they are going to work until their final breath to pay for previous generations. I say they are right!!!!!
bkmk
You had better read the small print.....
The way I understand it is he is saying the BALANCE doesn’t need to be more than 3M. That includes contributions and investment gains. The purpose of the ROTH was to have people pay taxes up front for the contributions with promises not to tax investment gains.
Of course the “$205,000 is all you need” won’t apply to unionized public employees.
By logical analogy, you are saying it’s not a big deal for the government to steal someone’s retirement, as long as that person is invested in what you consider an idiotic investment. Yes, that is absolutely a logical analysis of your previous post......do you really mean that?
I didn’t think so.....
IF the commies try to scalp these retirement funds, they better get it all because they’ll only going to get one chance. After that, nobody will put any more money into these funds anymore. They are playing with fire and fixing to get burned.
There are trillions of dollars invested in various retirement accounts and pension funds. As our government bankrupts itself and creditors refuse to bail it out, look for the Marxists in power to begin justifying outright theft of the funds in the name of “economic justice.” There’s a limit to how much wealth an individual needs or should be “allowed” to accumulate when there are so many in desperate need (don’t you know).
Pursuit of happiness? You betcha. For the central planners (traitors and thieves) and their constituents, ie, the takers.
Too late...
Private sector boomers wages have been stagnant for 15 years, millions in the private sector have had their retirements slashed, and their medical benefits eliminated or made worthless, while biggov looted Social Security, they've been downsized, jobs eliminated, lost homes etc.
All while the unionized government employee class continue to earn their tax paid extremely generous government retirement pensions, and their tax paid top shelf medical benefits...
Then they turn turn around and tell the private sector, "Don't' expect your company to give ya a retirement or pay for your medical benefits... Ya should have done that YOURSELF"
Oh yeah!
“...The way I understand it is he is saying the BALANCE doesn’t need to be more than 3M.,,,”
Who is this little communist pimp to say how much a person can or cannot earn etc.? If an individual invests smartly and wisely, it should be allowed to grow to it’s fullest potential regardless of the total might become, not to some commie bureaucrat’s definition of what is “enough”.
Oh wait, that’s right, we have a King now: King Hussein, messiah of the unwashed masses. Maybe everyone needs to withdraw all of their funds at the same time on the same day, let the market take the dump, It may be wise to just take the tax hit which will be a lot less right now, than probably what they’ve have planned in scalping and confiscation down the road. They’re drooling over it after that episode in Cyprus.
Nope. A lot of people have traditional IRAs. It is incorrect to say "no one is doing the tax-deferred anymore". That's ridiculous.
Continuing on... and the main thing that currently holds them back (the Marxists and the takers) is that we the taxpayers are armed to the teeth. That’s why the urgency to disarm us. When that last line of resistance is removed, America as a free nation will be kaput.
It’s the totalitarian way. Register the guns, confiscate them, round up the dissenters and send them to re-education centers and work camps and the useless eaters to the gas chambers.
You got that right.....
Obama and his jackbooted thugs are now in the process of building and arming a “civilian army” to carry this out. Our military forces may not go along with disarming or firing on American citizens, but Obama’s armed thugs bear no such allegiance to America. They’ll be his private army recruited to enforce HIS Marxist “economic justice” agenda. As far as that goes, he’s now in the process of destroying our military effectiveness. Unfortunately, aided and abetted by our feckless (or outright complicit) Republican representatives.
Wake up America!! It’s happening in real-time before our very eyes. And Obama has been stating his intentions all along from the very beginning. Guess people don’t believe him when he says the constitution is flawed and America needs to be “transformed” and that there is a limit to how much wealth people need or should be allowed to accumulate and that we should have a civilian army to enforce economic justice while the rest of America should be disarmed.
And it’s startling to see the progress he’s making with no effective resistance whatsoever.
Wake the hell up America!!
Agreed. If the government says it cannot pay benefits for everyone and will use death panels, you cannot rely on it for old age support. So you save privately. Now it says it will limit the amount you can have in retirement accounts so that you don’t have TOO much.
Solutions will include people switching to taxable accounts they simply earmark for retirement instead of 401Ks, hoarding precious metals, cash in the mattress and annuities.
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