Posted on 02/23/2024 9:41:14 AM PST by SeekAndFind
A majority of Americans are living paycheck-to-paycheck. A majority don’t have enough money to pay for a thousand-dollar emergency. Home ownership is a rapidly dissipating aspect of the American dream. Americans’ credit card debt is at a record high because of high inflation and the cost-of-living, and they’re falling behind on debt payments. People don’t have enough money for retirement.
So what is the solution? Well for some economists, it’s time to take away the tax benefit for 401(k) plans because the government is short of revenue to pay for their exorbitant spending.
See here, from USA Today:
What if the government abolished your 401(k)? Economists say accounts aren’t worth it
The federal government should stop allowing pre-tax contributions to retirement savings, abolishing the 401(k) and Individual Retirement Account, two economists from opposing ideological camps argued in a research brief in January.
Allowing people to shelter their retirement money from taxes is a policy that largely favors the well-heeled, they said. Congress could use that money, nearly $200 billion a year in lost tax dollars….
Oh, Congress could use that money? Yeah, well so could we, and we’re the ones who earned it. And $200 billion a year? This is a pittance toward covering the $2 trillion yearly deficit the federal government is running in a supposedly great economy.
Here is a novel thought for economists, politicians, and bureaucrats. Why don’t you guys look at the spending side of the equation instead of always seeking to confiscate more money from the rest of us? Your modus operandi further destroys our purchasing power and ability to save, spend, or invest, and that inevitably slows the economy.
(Excerpt) Read more at americanthinker.com ...
The Republic did not commit suicide.
And when they roll forward with those plans, my 401(k) will go POOF! and all they’ll get is the taxes owed plus the early withdrawal penalty. They’ll have to be satisfied with only that.
easiest way to devalue the currency, run up inflation
Thanks Joe Biden
The results of this plan are unthinkable...
>> Government must be put on a Budget by Law
Government must be put on a Starvation Diet by Any Means Necessary.
> I don’t understand why voters keep putting these clowns in office. <
As we all know, incumbents have a huge money and name recognition advantage. But I think it’s more than just that. It’s also:
“Congress is full of criminals! However, my congressman is a good guy. He got us money for a senior center and a new bridge. He’s got my vote in November.”
🙁
“Screw the people.”
*************
Fleece the sheeple.
Shocked...shocked I tell you.
The corrupt government comes in and takes everything you worked for away, while they continue to fill their own pockets.
The USA is a third world lawless country.
(Then again, the Democrats have to support their tens of millions of newly imported voters, somehow. Might as well take away American's 401k's 🙄)
I have done accounting & bookkeeping for over 66 years.
When 401’s first came out, I had clients who were very eager to gt involved.
I advised against & I NEVER participated.
I told each & every one:
“WHAT THE GOVERNMENT CAN GIVE—THE GOVERNMENT CAN TAKE AWAY.”
I WAS RIGHT
Why would anybody want to pay tomorrow’s taxes on today’s income? Especially with demonrats at the helm of power?
I spose you could end up in a lower tax bracket if you weere extremely wealthy, but 401’s used to be used by the average person. I never liked them. I’ve seen too many people ripped of. Poor people who sacrificed to have a better retirement.
I think the government actually makes money off of 501’s. Bidet said from the beginning that he planned to dip into those funds. It has nothing to do with the budget.
IIRC-—OBAMA only submitted ONE budget in 8 years.
They will, at some time, take money from accounts.
obama, who has 3 mansions, once said “At some point you have to say you have enough money.”
They will, at some time, take money from accounts.
Our little experiment in self governance is exhibiting a major weakness: it’s viability is dependent on an informed and discerning populace that wants a responsible government. It doesn’t appear that we are meeting those requirements. The sheeple are easily manipulated and misled.
-PJ
“The corrupt government comes in and takes everything you worked for away, while they continue to fill their own pockets.”
*************
There’s a reason the DC area is so affluent.
It won’t stop there. Congress will go after investors in Wall Street forcing them to take a 20% haircut. No one will be immune except Congress.
If they do away with Child Tax Credits and Earned Income Tax Credits it would make a big difference.
Stop social welfare programs in the tax code.
Well, they’re only taking away the tax benefit...... for now.
Forget new revenue!!!! Immediately begin a systematic reduction of government size and expenditures. Every department, every agency, every bureaucracy should be ordered to reduce size and costs by 5% a year until the national debt is removed, and adopt a balanced budget thereafter.
That may well occur at some point, but my 401K allowed me to retire years before I’d have otherwise been able.
They’re not taking away anything, per the article , which is just a bunch of musing and speculation.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.