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Obama wants your 401(k)

There are intiatives floating around that will explore how the government can tinker with your 401(k), like a great white shark circling, bumping, testing ever so quietly.  One initiative to suck more money from you is a requirement to convert some portion of your 401(k) to an annuity at some point (like annuities sold by AIG and to prop up the treasury market). 

There is “a tremendous amount of interest in the White House” in retirement-security initiatives, Borzi, who heads the Labor Department’s Employee Benefits Security Administration, said in an interview.   BusinessWeek

Gee, “tremendous interest”.  We will witness the largest most creative (deceptive) attempt to wrangle more and more money out of our pockets for this money hungry spendaholic government beast in so many different ways by so many different agencies.   They will leave no stone or wallet unturned, no 401(k) untouched.

Mr. Stevens, speaking at a press conference in Washington on Friday, also opposed a plan being considered by the Treasury and Labor departments to require that a portion of 401(k) balances be converted to annuities to guarantee lifetime income for retiring workers. About 96% of the respondents in the ICI survey said retirees should make their own decisions about managing retirement assets and income, while more than 70% disagreed that the government should require retirees to trade a portion of their retirement plan accounts for a contract that promises to pay them income for life.

Ha! Who cares that most people are against it(like health care).  They elected us elites here in DC to think for them, those dumb peasants.  I think we’ll see more and more trial balloons being floated about in this area by Obama surrogates.  Why?  Hey, we have too much money.  If you have a nice nest egg you’ll be less likely to depend on government.

The Labor Department has also issued a request for information on what the agency can do “to make sure people don’t outlive their retirement savings,” said Joseph De Wolk, spokesman for the agency. http://www.investmentnews.com/apps/pbcs.dll/article?AID=/20100108/FREE/100109875/1029/INSURANCE

What scary wording by the labor dept.  “Don’t outlive?”  Hey, I know, how bout socialized medicine, rationing and death panels?  That ought to make sure you don’t outlive your retirement funds. 

Look at how far socialized medicine initiative has come from “noble” beginnings.  Hey we just want to help America.  Watch this area closely as we all know too well, well intentioned (deceptive) ideas quickly morph and sprout into less choice and more government control behind closed doors like a bad weed if you miss it with the mower or roundup.  

Mr. Iwry, senior adviser to Treasury Secretary Timothy Geithner and deputy assistant Treasury secretary for retirement and health policy, has a legislative wish list for next year that includes expanding the existing saver’s credit program to provide a 50% match on the first $1,000 of retirement savings made by families earning less than $65,000 a year.

Mr. Iwry, senior adviser to Treasury Secretary Timothy Geithner and deputy assistant Treasury secretary for retirement and health policy, has a legislative wish list for next year that includes expanding the existing saver’s credit program to provide a 50% match on the first $1,000 of retirement savings made by families earning less than $65,000 a year.

First, though, Mr. Iwry’s going to put the clout he has on both sides of the aisle behind a bill that would require employers not offering retirement plans to deposit part of each worker’s paycheck in an automatic individual retirement account.

President Barack Obama’s fiscal-2010 budget includes the auto-IRA proposal and seeks as much as $1 billion to establish a federal organization to oversee these plans.

The agency would cost $200 million to start up and would require up to $1 billion in federal support over time, according to the budget.     Jessica Toonkel Marqez InvestmentNews

Gee, forced auto IRA, sounds familiar?  Like mandatory health insurance?  So the McDonalds french fry cook will take a pay cut to offset a forced auto IRA at 16?  So Barry the magic man wants workers to pay more taxes, get new jobs, pay for health care, and save more in some AUTO program that would need $1BILLION in fed funding to administer.  What part of auto saving costs $1 BILLION?  I know new federal employees new czars are expensive but $1Billion to administer this? 

Hmmm  forcing people to put their own money into annuities sold by the likes of AIG, and annuities that may just invest in lets say, treasuries for some fixed income?    nahhhhh, just a coinky dink.

All these deceptions schemed up to keep power in DC.  Health care is nothing really about improving health care as it is generating billions of $$ up front to feed the spending habit.  If they intend to take your money for the next 4 years for your future health care why haven’t they created a “lock box” for all the money collected?  I wish someone would ask that question to the elected elites in DC.   When they run out of these schemes they’ll just outright take it from your 401(k) while telling you its good for you.

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