Obama, Dems Seek to End 401(k) Plans

Obama, Dems Seek to End 401(k) Plans

news.aol.com

Democrats want to seize the money that workers currently invest in their 401(k) plans and replace the popular retirement savings accounts with a one-size-fits-all government sponsored retirement account. Under the scheme, Americans would be forced to transfer all of their hard earned retirement savings from their 401(k) to the government.

The government would contribute $600 a year to fund each account and would pay a rate of return of around three percent in interest. The government would also mandate that each worker contribute 5% of their yearly salary to the accounts. Under current law, workers with 401(k) plans contribute to their retirement accounts and earn interest tax free. The Democrats' plan would end those tax breaks, amounting to as much as a 15% tax hike on each American worker

(visit the link for the full news article)



[edit: title to same as source]

[edit on 24-10-2008 by 12m8keall2c]

Saw this article and I think it'll be just as popular as the bailout bill was. These people are going after everything they can.

It seems like we're in this until the bitter end, you just have to wonder how much worse it's going to get before it ever gets better, if it does.

I'm no fan of McCain but Obama is becoming more and more scary to me. People are just hung up on "He'll be the first black preseident" and not looking at what he stands for. I think I saw a quote on here that it's ironic that we have a change to realize Dr. King's dream about judging someone on their character and not their skin, but people are jusding him just on skin it seems.

I'm starting to wish I could find some piece of land in the middle of nowhere and live a simple life.

news.aol.com
(visit the link for the full news article)

Original title was supposed to be "Look out for what's left of your 401k"

What the ...

I had not heard about this. End personal and employer led 401k's!? That ROR they are quoting is ludicrous as is the proposed tax hike on these plans.

UGH! If this is true I am going to be seriously pissed ... I don't want government running my 401k!

This will only be the beginning. But hey if you make less than 30k a year who cares you probably don't have a 401k anyway and the Obama plans to send you a check so go vote for him!

Yes sounds like the new change he has in store is good old socialism,why worry your poor brain,let the government run your life for you,won't it be fun knowing no matter what you'll always be on the same playing level as the high school drop out,who's idea of fun is seeing how many 12 packs he can drink,or how many broken down cars he can collect,doesn't sound fun to me

Well, the elitist rich won't worry about it, they don't bother with 401K's

Heck I'll bet my last dollar that Obama doesn't have one either

So the rich and powerful won't feel any pain when the sheeple are sheared of their hard earned savings and the control over them

Yay!!! This proves that an Obama presidency truly is the best for the country!!! Hurray!!!! Who's with me????? All together now!!!!!!

O-B-A-M-A!!!!!! O-B-A-M-A!!!!!!!

Originally posted by sos37
End personal and employer led 401k's!?

It's a freak'n power grab! Grab the money. Get the power of the money.
Take the power away from the people to control their own lives.
Take control of the money THEY EARN.

This is BEYOND FRIGHTENING.

For the love of all things holy ... people need to WAKE THE HELL UP!

What the (#@@# is going on with these crazy people? Everything is going in the damn gutter and this is the kind of crap they want to do to us????? I've had it man. If Obama gets in we are all screwed.




Edit: Star and flagged...i urge everyone to do the same.

[edit on 24-10-2008 by David9176]

reply to post by FlyersFan


Its just a means to bring those 401(k) dollars into the government in order to help pay for social programs. Rob from the (not so) rich and give to me.

I'm hardly surprised by it. Its a power grab, intended to make you just that much more dependent upon the federal government. And if you're dependent upon the federal government, are you a citizen or are you a slave?

Indeed, America. Wake the hell up.

Wonder if this Government savings plan will get all the people on welfare and food stamps off them?

Too much money in savings (resources) can't qualify LOL

Since people eligible for EITC are the ones who benefit most from the tax plan, now they can have a savings plan too

Boy, they will have to cut down on the slaughter of cows, no food stamps? can't afford those T-bones anymore

This is not a news article. This is a blog. The man writing this blog does not have any facts to back it up. He clearly states that "Obama will likely sign on". Without proof, I just don't see where he is coming from. Has Obama stated this is his idea/intent? Don't think so.

I was under the impression that we were not allowed to use blogs as facts. Maybe I am wrong about that, who knows.

reply to post by Cowgirlstraitup7


In that blog there is a link to the NEWS Story

link

US News and World reports is a valid source, isn't it?

Where does Obama say that this is what he wants to do?

I just finished debunking this tax claim attributed to Obama and now I'm ready to take on another...

Where is the source that backs up that this is what Obama wants to do?

Your link talks about some lady who I have never heard of. Where is OBAMA'S statement on this 401K thing?

Thanks

It is a blog, the link is to a blog. This is speculative opinion, not hard news. Typical right-wing desperation in the face of a lost election.

Oh but I thought Obama was the messiah? Wow, it seems the second coming was not Jesus but Joesph Stalin.

Didn't social insecurity start off the same way? Now is has been declared a tax paid by both worker and employer. It is also insolvent and doubtful that anyone under 40 will ever see any of it. Is this how we want our 401's to end up? Will we still be responsible for social security as well as the 401? This will just be a double tax that will only help a minority of the people, not the working class. $01's where to be the answer to the insolvent social security, mow the government wants this too.

respectfully

reluctantpawn

Originally posted by redhatty
reply to post by Cowgirlstraitup7

 

In that blog there is a link to the NEWS Story

link

US News and World reports is a valid source, isn't it?

I was wondering about the source also. Funny you posted that as I was about to. The title of that article on U.S. News leads me to believe it's a editorial, because the headline is a question and the author starts the piece with the word "I".

Though if you read into the material, there is solid fact to suggest that the Democrats might just try to make this happen:

House Democrats recently invited Teresa Ghilarducci, a professor at the New School of Social Research, to testify before a subcommittee on her idea to eliminate the preferential tax treatment of the popular retirement plans. In place of 401(k) plans, she would have workers transfer their dough into government-created "guaranteed retirement accounts" for every worker. The government would deposit $600 (inflation indexed) every year into the GRAs. Each worker would also have to save 5 percent of pay into the accounts, to which the government would pay a measly 3 percent return.

The rest of the article goes into the symantecs of her suggestions, not why the House Democrats are discussing this in the first place, though at the beginning of the article it does mention this:

I hate to use the "S" word, but the American government would never do something as, well, socialist as seize private pension funds, right? This is exactly what cash-strapped Argentina just did in the name of protecting workers' retirement accounts

I do wish he gave a date for when this this subcommittee meeting happened, other than "recently". Still, that doesn't mean this is a done deal, but the mere fact that they are even discussing it disturbs me. This is exactly what most people don't want - government getting into their personal finances, yet here the Democrats are, discussing that very thing.

Originally posted by redhatty
In that blog there is a link to the NEWS Story

And that news story asks, "Would Obama, Dems Kill 401(k) Plans?" but provides NOTHING to support the idea that Obama would support killing the 401(k)s...

In fact, other than the title, Obama isn't mentioned at all...

Where's the news here? Where is Obama's plan to steal all your money?