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IRA Confiscation: It's Happening
Zerohedge ^ | 1/29/14 | Simon Black

Posted on 01/29/2014 1:04:11 PM PST by Kartographer

I have an old acquaintance named Sam who has a hell of a deal for you.

Sam is actually a pretty famous guy with a big reputation. Unfortunately he has been a bit down and out on his luck lately… but he’s trying to make a comeback. And Sam is prepared to float you a really great investment opportunity.

Here’s the deal he’s offering: you give Sam your hard-earned retirement savings. Sam will invest your funds, and pay you a rate of return.

Granted, the rate of return he’s promising doesn’t quite keep up with inflation. So you will be losing some money. But don’t dwell on that too much.

And, rather than invest your funds in productive assets, Sam is going to blow it all on new cars and flat screen TVs. So when it comes time to make interest payments, Sam won’t have any money left.

(Excerpt) Read more at zerohedge.com ...


TOPICS: Business/Economy
KEYWORDS: ira; iraconfiscation; myra; obamasotu

1 posted on 01/29/2014 1:04:11 PM PST by Kartographer
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To: Kartographer

The Royal Scam

http://www.youtube.com/watch?v=F9D6TkKZW7Q


2 posted on 01/29/2014 1:06:48 PM PST by Nachum (Obamacare: It's. The. Flaw.)
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To: Kartographer

~~~ So when it comes time to make interest payments, Sam won’t have any money left.~~~

So, Sam will have made off with the money? /oh, you can bet it was intended


3 posted on 01/29/2014 1:06:59 PM PST by F15Eagle (1Jn4:15;5:4-5,11-13;Mt27:50-54;Mk15:33-34;Jn3:17-18,6:69,11:25,14:6,20:31;Ro10:8-11;1Tm2:5-6;Ti3:4-7)
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To: Kartographer

401K is a federal regulation.

You don’t own your retirement fund.


4 posted on 01/29/2014 1:07:48 PM PST by Cletus.D.Yokel (Catastrophic Anthropogenic Climate Alterations: The acronym defines the science.)
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To: Kartographer

MyRA isn’t confiscation (yet), it is just a scam.
But look for it to become mandatory, soon.


5 posted on 01/29/2014 1:08:00 PM PST by Little Ray (How did I end up in this hand-basket, and why is it getting so hot?)
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To: Cletus.D.Yokel

Like those people at Enron?


6 posted on 01/29/2014 1:09:34 PM PST by SkyDancer (Live your life in such a way that the Westboro church will want to picket your funeral)
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To: Kartographer

"But, hurry! This offer won't last long!"

7 posted on 01/29/2014 1:09:50 PM PST by Jane Long (While Marxists continue the fundamental transformation of the USA, progressive RINOs assist!)
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To: Kartographer
It is pretty disgusting really. Its also hilarious. The very idea of loaning money to the most indebted entity in the history of the world as an investment strategy is beyond stupid. And to top it off, the interest you are paid is pitifully low and well below real inflation. And yet most people don't understand that's what you're doing buying these bonds. guaranteed return and no risk by loaning your hard earned money to a bankrupt govt.

Over at Zero Hedge (I'm beginning to like that site), they are calling him Barry Bonds.

8 posted on 01/29/2014 1:10:14 PM PST by Zuben Elgenubi (NOPe to GOPe)
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To: Kartographer
"if you like your money you can keep it, period".
9 posted on 01/29/2014 1:10:52 PM PST by Doogle (USAF.68-73..8th TFW Ubon Thailand..never store a threat you should have eliminated))
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To: Kartographer

CWII?
or
RII?

oh...

Tea Party!!!


10 posted on 01/29/2014 1:13:50 PM PST by G Larry
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To: SkyDancer

Quite parallel.

Uncle SAM will convert all funds to federal bonds at 3% guaranteed. Risk will be negated so, my fund that has been averaging 8%/Y (according to my risk choices) will be....

wait for it...

just as safe as Social Security.


11 posted on 01/29/2014 1:14:36 PM PST by Cletus.D.Yokel (Catastrophic Anthropogenic Climate Alterations: The acronym defines the science.)
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To: Doogle

If you like your IRA, you can keep your IRA. With us.


12 posted on 01/29/2014 1:15:43 PM PST by Zuben Elgenubi (NOPe to GOPe)
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To: Cletus.D.Yokel
401K is a federal regulation.

You don’t own your retirement fund.

401(k) is a section of the Internal Revenue Code (it's a statute, not a regulation), which allows for tax-deferred retirement funds. The fact hhat the funds must comply with the provisions of section 401(k) does not mean that you don't own the fund.

13 posted on 01/29/2014 1:16:09 PM PST by Conscience of a Conservative
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To: Kartographer

I just received an audit on my tax return for 2012 back from the IRS.

It puzzles me.

They are questioning how many dependents I claimed. I guess it was because of my response to the question: “List all dependents?”

I replied:

- 12 million illegal immigrants; 3 million crack heads;

- 42 million unemployed people on food stamps;

- 2 million people in over 243 prisons;

- Half of Mexico; and,

- 535 persons in the U.S. House and Senate; and,

- 1 useless President.

Evidently, this was NOT an acceptable answer.

I keep asking myself, “WHO DID I MISS?”


14 posted on 01/29/2014 1:16:11 PM PST by Obadiah (I Like Ted.)
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To: Cletus.D.Yokel

As that guy told my buddy on his first day at the REPO job: put your hands on my car and that is where they are going to stay.


15 posted on 01/29/2014 1:16:50 PM PST by Mouton (The insurrection laws perpetuate what we have for a government now.)
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To: Zuben Elgenubi
Over at Zero Hedge (I'm beginning to like that site), they are calling him Barry Bonds.

It fits, an arrogant self-serving phony.

16 posted on 01/29/2014 1:17:40 PM PST by smoothsailing
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To: Kartographer

It’s okay: Sam will just pass a law REQUIRING you to do it. :)


17 posted on 01/29/2014 1:18:19 PM PST by Tzimisce
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To: Obadiah

Oh I LOVE that! Funny but disgustingly true.


18 posted on 01/29/2014 1:20:22 PM PST by Aria ( 2008 & 2012 weren't elections - they were coup d'etats.)
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To: F15Eagle

The government has on at least two occasions borrowed money from federal retirement funds to pay its bills. The most recent occurrence was only one year ago. Not many people noticed this since only the retirement money of federal employees was involved. Its a disturbing precedent to say the least.

http://www.fedsmith.com/2013/01/15/government-will-borrow-from-federal-employee-pension-fund-to-avoid-passing-debt-limit/


19 posted on 01/29/2014 1:20:52 PM PST by Starboard
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To: All

Argentiusa


20 posted on 01/29/2014 1:21:11 PM PST by elpinta (Jer. 10:23 - It really holds true!)
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To: Obadiah

U got balls


21 posted on 01/29/2014 1:21:45 PM PST by lavaroise (A well regulated gun being necessary to the state, the rights of the militia shall not be infringed)
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To: Kartographer

The comments are great.


22 posted on 01/29/2014 1:27:32 PM PST by cuban leaf
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To: Conscience of a Conservative

Yeah...keep telling yourself that.


23 posted on 01/29/2014 1:27:45 PM PST by Cletus.D.Yokel (Catastrophic Anthropogenic Climate Alterations: The acronym defines the science.)
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To: Little Ray

I don’t understand what it will offer that anyone cannot already get. You can put money into IRAs in CDs or fixed income accounts. What is the issue that IRAs are not available to lower income people - and/or - that the tax deductions for IRA contributions are not available to lower income earners? Or is this some deal where some percent of everyone else’s IRA contributions will be siphoned off to help the MyRA holders, to be sure that they get some guaranteed returns, and all the fund expenses are fully covered? (subsidized IRAs?)

I consider myself to be somewhat knowledgable about IRAs, but don’t understand how this MyRA will be anything other than an excuse to have more government employees and interference.

The feds knocked banks and lending institutions out of the student loans market a few years back. Is this MyRA deal going to just put another sector of the economy under government control?

(Sincere questions, BTW.)


24 posted on 01/29/2014 1:29:04 PM PST by NEMDF
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To: Obadiah
WHO DID I MISS?

You left out the Court Systems and millions of Regime and State "Workers."

25 posted on 01/29/2014 1:30:06 PM PST by YHAOS
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To: Cletus.D.Yokel
Yeah...keep telling yourself that.

Why don't you tell me why I'm wrong?

26 posted on 01/29/2014 1:33:48 PM PST by Conscience of a Conservative
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To: Little Ray

Just another tax listed on your pay stub.


27 posted on 01/29/2014 1:34:08 PM PST by LadyBuck (....and we're off to the rodeo......)
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To: Conscience of a Conservative

Oh, right now, you aren’t wrong.

It isn’t a matter of “if”...simply “when”.


28 posted on 01/29/2014 1:36:28 PM PST by Cletus.D.Yokel (Catastrophic Anthropogenic Climate Alterations: The acronym defines the science.)
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To: Starboard

Pastor David Jeremiah did a show on John Ankerberg about how the total unfunded liabilities with the national debt is somewhere in the neighborhood of $125 trillion dollars.

These are short excerpts but I had to try several times to get the first one to play:

http://www.youtube.com/watch?v=Ih3Y9WhJD-4

This one starts off on America’s debt:

http://www.youtube.com/watch?v=7M3GUBV28AE


29 posted on 01/29/2014 1:37:08 PM PST by F15Eagle (1Jn4:15;5:4-5,11-13;Mt27:50-54;Mk15:33-34;Jn3:17-18,6:69,11:25,14:6,20:31;Ro10:8-11;1Tm2:5-6;Ti3:4-7)
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To: F15Eagle

Its actually higher than $125 T. You have to add unfunded liabilities (see last row in the link) to the national debt (top row) which gives you about $145 trillion (give or take a trillon or two).

Note that the unfunded liability PER TAXPAYER is a staggering $1.1 million each. Simply unpayable.

http://www.usdebtclock.org/

The country is broke in more ways than one.


30 posted on 01/29/2014 1:46:04 PM PST by Starboard
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To: Kartographer

Still seems like a much better deal than SocSec.
Any chance I can switch retroactively?


31 posted on 01/29/2014 1:48:30 PM PST by nascarnation (I'm hiring Jack Palladino to investigate Baraq's golf scores.)
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To: berdie

later


32 posted on 01/29/2014 1:49:14 PM PST by berdie
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To: Kartographer

So MyRA will

(1) ‘create’ a non-functioning (most of the time) website for people to sign up,

(2) asking people to give out all of their personal information,

and (3) the gubmint can’t confirm if ANY enrollee pay into the system “for their retirement”,

and (4) squeeze out legitimate financial planning.

What else do I miss?

“Oh, you’ll all gonna like it when you see it.”


33 posted on 01/29/2014 2:02:03 PM PST by Sir Napsalot (Pravda + Useful Idiots = CCCP; JournOList + Useful Idiots = DopeyChangey!)
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To: Obadiah

Good one!


34 posted on 01/29/2014 3:06:23 PM PST by Bigg Red (O LORD, our Lord, how majestic is your name in all the earth! Ps 8)
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To: Kartographer

All of the financial and political experts say daily, that U.S. bonds and the U.S. dollar are the least risky, so have fun. Enjoy the slide.


35 posted on 01/29/2014 3:06:25 PM PST by familyop (We Baby Boomers are croaking in an avalanche of corruption smelled around the planet.)
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To: Cletus.D.Yokel

Of course they will means test it before you can get a distribution to see if you really need it.


36 posted on 01/29/2014 5:18:16 PM PST by Rusty0604
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To: Starboard

I knew they did it and told any liberal (especially public employee) that I knew. Some of them didn’t believe me.


37 posted on 01/29/2014 5:20:47 PM PST by Rusty0604
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To: NEMDF

Also it will cost small business owners more money than what will most likely be saved in setup and administration fees. They have been fighting this for the last few years.


38 posted on 01/29/2014 5:23:18 PM PST by Rusty0604
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To: Kartographer

This whole cluster-you-know-what is all about getting at those IRAs and 401(k)s, No other reason.


39 posted on 01/29/2014 5:24:47 PM PST by dfwgator
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To: Zuben Elgenubi

Wasn’t Barry Bonds accused of something like doping? LOL


40 posted on 01/29/2014 5:25:23 PM PST by dforest
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To: NEMDF

It’s exactly the same as buying Savings Bonds through a payroll deduction. They’ll be administered by expanding the Department of Redundency Department...

Crazy. The Dems took us from Victory Bonds to Welfare Bonds in 75 years.


41 posted on 01/29/2014 5:47:05 PM PST by mrsmith (Dumb sluts: Lifeblood of the Media, Backbone of the Democrat Party!)
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To: Cletus.D.Yokel

And Bush got hammered because he dared to propose where you could put 10% of your FICA in an approved gov’t investment account??


42 posted on 01/29/2014 6:08:32 PM PST by SkyDancer (Live your life in such a way that the Westboro church will want to picket your funeral)
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To: Kartographer

If its an option that’s hardly confiscation. I went to the link and read it.

That would be like saying selling US treasuries are confiscation.

US treasuries have been booming the last few years because Uncle Sam can create $$$ to return the principle after a crash, hedge funds wont do that. They say ‘sorry your life savings are gone again, better luck next time. No one could have predicted this’


43 posted on 01/29/2014 11:47:52 PM PST by sickoflibs (Obama : 'Any path to US citizenship for illegals HERE is a special path to it ')
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To: Kartographer

If its an option that’s hardly confiscation. I went to the link and read it.

That would be like saying selling US treasuries are confiscation.

US treasuries have been booming the last few years because Uncle Sam can create $$$ to return the principle after a crash, hedge funds wont do that. They say ‘sorry your life savings are gone again, better luck next time. No one could have predicted this’


44 posted on 01/29/2014 11:47:52 PM PST by sickoflibs (Obama : 'Any path to US citizenship for illegals HERE is a special path to it ')
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To: Kartographer

But if Obama is doing it outside a law passed, there is a question as to if the worker/saver is legally entitled to their $$$ back.

Be skeptical of putting trust in exec actions.


45 posted on 01/30/2014 12:34:30 AM PST by sickoflibs (Obama : 'Any path to US citizenship for illegals HERE is a special path to it ')
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To: NEMDF
I consider myself to be somewhat knowledgable about IRAs, but don’t understand how this MyRA will be anything other than an excuse to have more government employees and interference.

MyIRA is just a defective version of the self-directed IRA that is already available to all who bother to open one. MyIra is defective because it mandates putting assets in a lousy investment — the USG. A self-directed IRA can invest in stocks, bonds, gold, etc., including foreign assets. Of course, if an IRA investor is a true believer, there is nothing (except his natural acquisitiveness) to stop him from using his IRA to emulate a MyIRA. But that would impoverish the investor and deprive the Won of a talking point.

IOW, Zero needed an extra bullet point for his 2014 SOTU, and MyIRA was it.

IRAs and 401Ks and their ilk should not exist. The tax rate should be such that they are not necessary.

46 posted on 01/30/2014 12:56:46 AM PST by cynwoody
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bkmk


47 posted on 01/31/2014 5:17:16 PM PST by AllAmericanGirl44
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