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US Departments of Labor and Treasury Schedule Hearing on Confiscation of Private Retirement Accounts
http://news.coinupdate.com/us-departments-of-labor-and-treasury-schedule-hearing-on-confiscation-of-private-retirement-accounts-0431/ ^

Posted on 09/01/2010 5:56:28 PM PDT by Orange1998

On August 26, the US Department of Labor issued a news release It lists the agenda for the joint hearings being held with the Department of Treasury September 14-15, 2010 on what is euphemistically called “lifetime income options for retirement plans.” The hearings are being conducted by the Labor Department’s Employee Benefits Security Administration.

I don’t like speaking in tabloid-style terms, but the unstated agenda of these hearings, as I understand it, is to push for the US government to eventually nationalize (confiscate) all assets in private Individual Retirement Accounts (IRAs) and 401K plans!

The US government is desperate to get its hands on private assets to help cover soaring budget deficits and debts, and this is simply the largest and easiest piggy bank that could be seized. The Investment Company Institute estimates that at the end of 2008 that there were $3.613 trillion of assets in IRAs and $2.350 trillion of assets in 401K plans.

For more than the past ten years, I have warned readers that the US government was eventually going to go after private retirement accounts. I considered that as the most important reason to avoid establishing precious metals IRAs. Very few other writers (Ron Holland being one) have picked up on this issue as early as I did. In fact, the mainstream media pretty much ignored the subject even after a House Committee held hearings on the issue in October 2008.

Obviously, an outright seizure of assets would meet stiff resistance from the public. So the confiscation will never be described as such by government officials. Expect to see terms such as “retirement income protection” thrown around. It is highly likely that such a program would be implemented in steps to help overcome public opposition.

The US government plan is to eventually take ownership of all assets in IRAs and 401K accounts and replace them with US government “Treasury Retirement Bonds.” In the October 2008 hearings, it was proposed that these bonds pay a 3% interest rate. Another major change is that, upon retirement, the individual’s retirement account would be converted into an annuity. Once the individual is deceased, the individual’s heirs would not inherit anything (similar to what happens now with Social Security “accounts”).

EXCERPT

http://news.coinupdate.com/us-departments-of-labor-and-treasury-schedule-hearing-on-confiscation-of-private-retirement-accounts-0431/


TOPICS: Business/Economy; Government; News/Current Events
KEYWORDS: 401k; pensions; retirement; savings
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Once the individual is deceased, the individual’s heirs would not inherit anything (similar to what happens now with Social Security “accounts”).

WTF

1 posted on 09/01/2010 5:56:30 PM PDT by Orange1998
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To: Orange1998

This may wake a few people up!


2 posted on 09/01/2010 5:57:58 PM PDT by Conservative9
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To: Orange1998

I cannot think of a policy that will more quickly induce people to quit investing in IRA’s and other retirement accounts.


3 posted on 09/01/2010 5:59:04 PM PDT by OldPossum
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Comment #4 Removed by Moderator

Comment #5 Removed by Moderator

To: Conservative9

They try that crap and I fear a lot of people are going to get killed!


6 posted on 09/01/2010 5:59:42 PM PDT by WellyP
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To: Conservative9

If the dumbass in the White House was looking for a way to start CWII, he’s found it.


7 posted on 09/01/2010 6:00:45 PM PDT by Czar (NRA Life Member)
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To: mastervisa
too bad they lost power.

What makes you think they've lost power?

8 posted on 09/01/2010 6:00:53 PM PDT by Lurker (The avalanche has begun. The pebbles no longer have a vote.)
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To: Orange1998; All
Photobucket
9 posted on 09/01/2010 6:01:40 PM PDT by musicman (Until I see the REAL Long Form Vault BC, he's just "PRES__ENT" Obama = Without "ID")
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To: Orange1998

I hate this administration with a passion, they are pushing people over the edge.


10 posted on 09/01/2010 6:03:02 PM PDT by ladyvet (WOLVERINES!!!!!)
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To: Orange1998
The US government plan is to eventually take ownership of all assets in IRAs and 401K accounts and replace them with US government “Treasury Retirement Bonds.” In the October 2008 hearings, it was proposed that these bonds pay a 3% interest rate. Another major change is that, upon retirement, the individual’s retirement account would be converted into an annuity. Once the individual is deceased, the individual’s heirs would not inherit anything (similar to what happens now with Social Security “accounts”).

The machinations of collectivist/totalitarians. The author didn't even mention wealth-draining, asset-robbing Socialist Health Care.

11 posted on 09/01/2010 6:03:34 PM PDT by PGalt
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To: Orange1998

I’ve had a hunch this would happen for years.

They’ll claim that it is “just too expensive.”


12 posted on 09/01/2010 6:03:41 PM PDT by Steely Tom (Obama goes on long after the thrill of Obama is gone)
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To: mastervisa

20%, I’d cut it by 50%, to start.


13 posted on 09/01/2010 6:03:43 PM PDT by Truthsearcher
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To: WellyP
They try that crap and I fear a lot of people are going to get killed!

Happens every time millions of people have nothing left to lose. It's just History.

14 posted on 09/01/2010 6:04:44 PM PDT by Gorzaloon (CNN:AP:etc:Today, President Obama's stool was firm and well-formed. One end was slightly pointed. ")
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To: Orange1998
Oh, for crying out loud. Not again.

The government is not proposing to confiscate your IRA/401(k).

This proposal is about providing the account holder the OPTION to convert it into a lifetime annuity. Some 401(k) administrators already offer this option, but it is not required.

There is also a proposal to include an estimate of the lifetime monthly income that your current account balance would provide, if you were to retire at that moment and in the future at the normal retirement age. This is intended to give people the ability to figure out where they stand, and whether they need to save more/less.

There are many annuity options, including a fixed term, lifetime, and even lifetime with a guaranteed term. The last one might be something like: lifetime, but guaranteed for 20 years to your heirs if you die within 20 years.

Would everyone please stop hyperventilating over this? This is nothing but a blogger trying to get you stirred up and send more people to view his blog.

15 posted on 09/01/2010 6:05:20 PM PDT by justlurking (The only remedy for a bad guy with a gun is a good WOMAN (Sgt. Kimberly Munley) with a gun)
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To: Orange1998

Well, is about two years since I stopped this ‘easy candy’ for the scum bags.
Remember Argentina circa 2000:
http://ferfal.blogspot.com/


16 posted on 09/01/2010 6:06:18 PM PDT by elpinta (Jer. 10:23)
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To: Conservative9

I seriously doubt it will add very many to the number who are aware and alarmed about what is happening. Most don’t have anywhere close to enough to get them by and think this would be a bailout.

If you’ve spend decades saving and planning for a “comfortable” retirement and do not have it invested in cash flow producing assets or maybe precious metals... kiss your retirement good-by... no way to compensate for the inflation that is coming.

BOHICA almost all of us are screwed with no way to recover.


17 posted on 09/01/2010 6:07:12 PM PDT by Sequoyah101 (Half of the population is below average)
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To: Orange1998

I wonder what happened to the Fourth Amendment. I know since Kelo things have gone a bit haywire, but to actually allow the govt. to seize private property for their own use, that is going a bit far. I think if they are allowed to do this, we need to scrub the filth out of every piece of the govt because the founding Fathers would never recognize this country if they were able to see it again.


18 posted on 09/01/2010 6:07:16 PM PDT by Waryone
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To: Truthsearcher

Sounds about right.


19 posted on 09/01/2010 6:07:39 PM PDT by Conservative9
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To: WellyP

That was my first thought.


20 posted on 09/01/2010 6:08:18 PM PDT by Conservative9
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To: Conservative9

The Beast will do whatever it takes to save itself.


21 posted on 09/01/2010 6:08:28 PM PDT by Orange1998
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To: Orange1998

Saw this coming a while back.

Sucks for uncle sham that I’m just a dirt poor nobody with nothing for him to steal.


22 posted on 09/01/2010 6:10:55 PM PDT by Dr.Zoidberg (Warning: Sarcasm/humor is always engaged. Failure to recognize this may lead to misunderstandings.)
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To: Orange1998

The Author of the Article is Patrick A. Heller the owner of Liberty Coin Service.

What possible ulterior motive could such a person have in perpetuating Fear concerning IRA’s and 401k’s?

People may be motivated to Closeout their accounts and take the Tax hit as well as pay the penalty in order to convert their Funds into Hard Assets. (Gold or Silver)

This is not to say that confiscation could not occur.
Argentina has done it.

There are other and less painful means to resolve the US Debt.

Cut Spending. Zero out the Budgets of the Alphabet Agencies.
Repeal Obamacare. Reform Entitlement spending.


23 posted on 09/01/2010 6:10:58 PM PDT by SwedeBoy2
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To: Orange1998

This has been coming for while. You didn’t really think they were going to let all that money just sit there, did you?


24 posted on 09/01/2010 6:12:45 PM PDT by Lurker (The avalanche has begun. The pebbles no longer have a vote.)
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To: Orange1998

>> WTF

And it’s not like they plan to provide better investment strategies. They plan to burn through that cash.


25 posted on 09/01/2010 6:13:43 PM PDT by Gene Eric (Your Hope has been redistributed. Here's your Change.)
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To: ladyvet

>> I hate this administration with a passion, they are pushing people over the edge.

Move the edge.


26 posted on 09/01/2010 6:14:33 PM PDT by Gene Eric (Your Hope has been redistributed. Here's your Change.)
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To: OldPossum

There are a few bloggers and a Federal Register entry that show GRAs are indeed what is planned. Worked in Argentina....

http://ppjg.wordpress.com/2010/08/30/are-guaranteed-requirement-accounts-in-your-best-interest/

“Currently the concept is proposed as an Automatic IRA, (aka GRAs) we hide the “Opt Out” part in pages and pages of legislation forcing Congress to pass the bill to find out what is in it, and then give the option of investing in “R” Bonds which of course some blue ribbon panel/commission/oversight committee could appropriately administer after they have been created, I just betcha’ it could be pulled off. In fact, if we offer employers no fiduciary liability if:

they use a provider that is on a list of approved providers or uses R-Bonds.”


27 posted on 09/01/2010 6:15:54 PM PDT by NoNAIS (Yet another Government program not needed.)
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To: Lurker

This is a lock and load issue for me. If they want to know if Grandpa Vet can still fight..then just try and touch my 401k.
We should be going just the opposite way. We should be replacing Social Security with individually owned and controlled accounts so that no politician can steal them.
Every citizen should have their own account..and taxes should be used to support who are truly in need. I have lived in countries with this system and it works. Even working people can end up with their own good retirement accounts. Now, all many people have is IOU’s from the Govt.


28 posted on 09/01/2010 6:17:28 PM PDT by Oldexpat
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To: justlurking
"This proposal is about providing the account holder the OPTION to convert it into a lifetime annuity"

LOLYou don't really BELIEVE that this "option" will soon then become "mandatory", do you?

Sorta like the Social Security Trust Fund that became the pile of IOU's....

29 posted on 09/01/2010 6:17:32 PM PDT by traditional1 ("Don't gotsta worry 'bout no mo'gage, don't gotsta worry 'bout no gas; Obama gonna take care o' me!)
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To: Orange1998

Stopped reading after I read this: “...Confiscation of Private Retirement Accounts”... =.=


30 posted on 09/01/2010 6:18:19 PM PDT by cranked
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To: justlurking

I don’t want a annuity..I want to invest my own money...win loose or draw.


31 posted on 09/01/2010 6:19:39 PM PDT by Oldexpat
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To: justlurking
The government is not proposing to confiscate your IRA/401(k). No Yet.

So they start out with the option and then later change the law to make 104K contributions taxable unless you join the new program. Look at how Social Security evolved.

32 posted on 09/01/2010 6:21:19 PM PDT by Orange1998
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Comment #33 Removed by Moderator

To: justlurking
This proposal is about providing the account holder the OPTION to convert it into a lifetime annuity. Some 401(k) administrators already offer this option, but it is not required.

Nothing the government does is for the producers. It is following the old Roman model of bread & circuses... until the bread runs out. The government would never outright confiscate funds. That would be too blatant... but they need that money to buy the next election. Pay off this or that special interest group. So, what could be better than to offer an option.. at first. Skim a little here. Chisel a little there. Next thing you now you've got another FreddieMac or FannieMae. The government only knows how to turn gold into lead.

34 posted on 09/01/2010 6:22:07 PM PDT by 6SJ7 (atlasShruggedInd = TRUE)
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To: traditional1
LOLYou don't really BELIEVE that this "option" will soon then become "mandatory", do you?

When that happens, you can scream all you want.

Right now, the government is not proposing to do anything more than make it easier for you to buy an annuity with your 401(k) or IRA balance.

You can do it right now, with only a bit of effort. But, only a small percentage of 401(k) and IRA investors are aware of that option.

35 posted on 09/01/2010 6:22:21 PM PDT by justlurking (The only remedy for a bad guy with a gun is a good WOMAN (Sgt. Kimberly Munley) with a gun)
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To: traditional1

Sure it will be voluntary, the same way when Social Security was passed. The people were told it was voluntary.


36 posted on 09/01/2010 6:23:36 PM PDT by Daisyjane69 (Michael Reagan: "Welcome back, Dad, even if you're wearing a dress and bearing children this time)
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To: Oldexpat
I don’t want a annuity..I want to invest my own money...win loose or draw.

Then, you can continue exactly as you planned. What the government is proposing that 401(k) administrators offer the option as an alternative to cashing out or rolling over to an IRA.

37 posted on 09/01/2010 6:24:21 PM PDT by justlurking (The only remedy for a bad guy with a gun is a good WOMAN (Sgt. Kimberly Munley) with a gun)
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To: Orange1998; Jet Jaguar; NorwegianViking; ExTexasRedhead; HollyB; FromLori; ...

The list, ping

Let me know if you would like to be on or off the ping list

http://www.nachumlist.com/


38 posted on 09/01/2010 6:24:57 PM PDT by Nachum (The complete Obama list at www.nachumlist.com)
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To: justlurking
You can do it right now, with only a bit of effort.

How, and through whom?

39 posted on 09/01/2010 6:25:44 PM PDT by meyer (Our own government has become our enemy,...)
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To: FerFAL308

Ping.


40 posted on 09/01/2010 6:26:29 PM PDT by DuncanWaring (The Lord uses the good ones; the bad ones use the Lord.)
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To: justlurking
"when it happens you can scream all you want"

Right....

Just like we should have waited to let OBAMACARE pass, and NOW we can scream about it? A little late, and will never be repealed.

I'm sorry; closing the barn door AFTER the horses are gone is not the way to operate.

41 posted on 09/01/2010 6:26:38 PM PDT by traditional1 ("Don't gotsta worry 'bout no mo'gage, don't gotsta worry 'bout no gas; Obama gonna take care o' me!)
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To: justlurking
The government is not proposing to confiscate your IRA/401(k).

Yet...

Give 'em time. They want and need the money.

42 posted on 09/01/2010 6:28:00 PM PDT by meyer (Our own government has become our enemy,...)
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To: SwedeBoy2

The political class would certainly find pedaling this kind of crap a LOT easier and less painful that making the cuts that you mention (and I favor, btw). But politicians are incapable of cutting anything. We’re still stuck with the Dept of Ed, Energy, and the TVA, for cryin’ out loud.

They figure the American people are going to go along with this because they won’t understand it, but it “sounds” good.

All I know, is the fact that your heirs would get nothing under their system is the thing that MAKES it a confiscation scheme. Can you imagine having a half million or so in an IRA, and have them convert it to these piss poor gov’t bonds and you die a month later? Your kids get nothing?


43 posted on 09/01/2010 6:29:50 PM PDT by Daisyjane69 (Michael Reagan: "Welcome back, Dad, even if you're wearing a dress and bearing children this time)
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To: Orange1998
So they start out with the option and then later change the law to make 104K contributions taxable unless you join the new program.

It's already an option, for individual account holders. Do a Google search for "convert ira into annuity" or "convert 401(k) into annuity" and you'll see lots of articles about it. You can do it right now -- and it's been that way for decades.

This proposal is that 401(k) administrators should be required to provide the option to you. There is also a proposal to estimate the value of a 401(k) account in a form that people can understand: the potential monthly lifetime income.

44 posted on 09/01/2010 6:30:36 PM PDT by justlurking (The only remedy for a bad guy with a gun is a good WOMAN (Sgt. Kimberly Munley) with a gun)
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To: justlurking
The government is not proposing to confiscate your IRA/401(k).

This proposal is about providing the account holder the OPTION to convert it into a lifetime annuity.


Yeah an annuity at 3% and quantitative easing! What a deal! A little panic is a good thing now and then.
45 posted on 09/01/2010 6:31:08 PM PDT by PA Engineer (Liberate America from the occupation media. There are Wars and Rumors of War.)
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To: justlurking

The government has done a wonderful job with Social Security. Every dime collected is secure in a lock box. SARC


46 posted on 09/01/2010 6:31:08 PM PDT by Orange1998
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To: Steely Tom

I quit contributing to my 401k January 2009, which was the first chance I had under the rules my 401k operates under. And it was EXACTLY because of this. I remember the whispers from these statements in 2008.

I figured they would eventually do this, and I’d be damned if I would put one more cent in there for them to take.

I can’t get anything out of it now, and it’s worth so little with all that has been/is going on.

I can’t believe that this wouldn’t crush the markets. But I suspect that is part of the intent.


47 posted on 09/01/2010 6:31:33 PM PDT by kevslisababy (It's very hard to earn my trust again)
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To: meyer
How, and through whom?

Do a Google search for something like "convert 401(k) into an annuity".

Here's one of the results:

http://www.immediateannuities.com/ira/rollover.html

Note: this isn't an endorsement. I've used this site to see what current annuities were yielding, but have never bought anything from them, and I'm not selling anything.

48 posted on 09/01/2010 6:32:34 PM PDT by justlurking (The only remedy for a bad guy with a gun is a good WOMAN (Sgt. Kimberly Munley) with a gun)
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To: Conservative9
This may wake a few people up!

When President Obama doesn't renew the dish network sports package contract in 2019 for the forced labor camps, Americans will finally have had enough.
49 posted on 09/01/2010 6:34:22 PM PDT by SpaceBar
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To: WellyP

Line ___________ Sand. They had best not cross it.


50 posted on 09/01/2010 6:34:26 PM PDT by rickb308 (Muslims need to check with Native Americans & ask how that whole cowboys & indians thing worked out.)
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