Uncle Sam Wants Your 401(k)

Link: http://www.ignoranceorapathy.com/main.php/2008/10/24/democrats-to-destroy-401-savings

© ignoranceorapathy.com 11/06/2008
It is not that I want to say I told you so, but, I did tell you so and you elected the socialists anyway.
In my writings of Oct. 23rd I pointed you to the article on workforce.com House Democrats Contemplate Abolishing 401(k)Tax Breaks.

Before I point you to the latest in this saga I just want to paint a very ugly picture of the future of the markets if this continues to go forward and becomes policy and law.

Follow up:

Did you think the socialist Democrats were being philosophical when during the campaign they kept referring to this economic crisis as the worst since the great depression? NO, they were predicting the future for you if you voted them into office; in effect they made you a campaign promise and now intend to delivery it.

The market crash of 1929 was nothing compared to where we will be headed with this mess. Who does not have a 401? Where is the money from your 401 invested? What would you do if the policy changes promised in my last article happen?

I can tell you what most people will do; they will remove any and all funds they currently have in 401(k)’s. That means a sudden, massive possibly catastrophic sell off in the markets in a very short period of time, i.e. a market crash that will dwarf 1929. The tax and or penalties for early withdrawal will be minimal compared to losing it all to this new “Guaranteed Government Retirement Plan”, which by the way will be run by the same people who bankrupted Social Security.

The sudden withdrawal of this massive amount of money will have two immediate effects, first a possibly catastrophic sell of in the stock market. The second effect will be the further collapse of banking and investment firms who will no longer be getting the revenue from managing the 401(k) programs.

It’s your money; well at least until January 20th.

Rush Limbaugh touched on it today on his syndicated radio show, see story #3
CNBC.com Article of Nov 5th

Rep. George Miller, a Democrat from California and chairman of the House Education and Labor Committee, has called 401(k)s, "a big failure in terms of providing an adequate retirement for middle-class Americans."
Radical Alternative
Teresa Ghilarducci, an economist at the New School for Social Research in New York, floated a radical alternative to 401(k)s at a hearing held by Miller Oct. 7.
Under her plan, workers would receive a annual $600 tax refund if they set aside 5 percent of their pay into a retirement account run by the Social Security Administration, which would then invest globally in risky assets to seek high returns.

This is simply one more attempt by the socialists in the government to remove any semblance of self-reliance, individual liberty, personal freedom and self-determination from the people. Your financial security and your personal freedom from government tyranny are directly related. If you are forced to rely on government, then you are forced to live with the tyranny that will ensue. If you have personal financial security, then you are free to remove your self from government tyranny.
Remember: Absolute power corrupts, absolutely!