Skip to comments.Europe starts confiscating private pension funds
Posted on 01/03/2011 3:09:10 PM PST by Nachum
The U.S. isn't the only place that's facing a major pension fund crisis. The Christian Science Monitor has this alarming report:
Peoples retirement savings are a convenient source of revenue for governments that dont want to reduce spending or make privatizations. As most pension schemes in Europe are organised by the state, European ministers of finance have a facilitated access to the savings accumulated there, and it is only logical that they try to get a hold of this money for their own ends. In recent weeks I have noted five such attempts: Three situations concern private personal savings; two others refer to national funds.
The most striking example is Hungary, where last month the government made the citizens an offer they could not refuse. They could either remit their individual retirement savings to the state, or lose the right to the basic state pension (but still have an obligation to pay contributions for it). In this extortionate way, the government wants to gain control over $14bn of individual retirement savings.
The article goes on to detail other pension grabs in Bulgaria, Poland, France and Ireland. Obviously, this is a cautionary tale for America. If fiscal austerity becomes a real issue in the U.S. the way that it's been reaching critical mass in Europe -- don't think that U.S. lawmakers regard your either your personal wealth or money they might owe you as sacrosanct. Government has a habit of looking out for itself.
The government is taking the clear position that tax-deferred accounts do not belong to the individual account holder until the taxes are paid. So in their view, private property rights do not enter into the discussion.
They did that in Argentina a couple of years ago... my friends down there were not happy about that.
“And the Hungarian pussies haven’t started an armed revolution because???”
Because they aren’t armed. We are. They can only do this if they disarm us first, and it ain’t gonna happen.
They’ll take our wealth through taxes and devaluation, not outright confiscation, and even those indirect methods will only be tolerated so far.
Neither is or does the US of A anymore. When Bill Clinton was president he voiced the idea of the government confiscating pension funds because the government could make better use of the available cash. Instead, the Fed just started printing more currency. Under Obozo we are emulating European stile government which spells FAILURE for us also so when our gov goes broke (which it will) it to will try to confiscate pension funds from us.
started hearing talk about this now going on 3yrs.People I know say,”it won’t happen here”.I am not so sure about that.
Turn over your 401k to us or forfeit your Social Security and Medicare.
A scary prospect.
When this is attempted here, it’s time to teach these bastards that actions have consequences. It will be time to start killin’. That’s the only way the bastards will learn. It will take a few, but they’ll get the message. And, being the pussies that our washington reps are, they’ll back down. There’s nothing more important to them than their own interests.
$32billion in unclaimed bank accounts - which is probably a low estimate.
Watch for the FED to issue a new regulation that unclaimed funds will be confiscated after a time certain. Any subsequent estate claims will be subject to 95% delinquent tax!!!
Rysard Kapuscinski wrote in The Shah of Shahs: "All books about all revolutions begin with a chapter that describes the decay of tottering authority or the misery and sufferings of the people. They should begin with a psychological chapter, one that shows how a harassed, terrified man suddenly breaks his terror, stops being afraid. This unusual process, sometimes accomplished in an instant like a shock or a lustration, demands illuminating. Man gets rid of fear and feels free. Without that there would be no revolution." (Quoted in the Wall Street Journal, 7/2/2009, p. A13)
The question, then, is when do we stop being afraid to take action? And to borrow from an old children's tale, who will bell the cat?
Convert the 401K to an individual IRA.
The 401K requires the permission of the gov. By the time you find out that they are taking them it will be too late to get the money out.
Roll it to an individual IRA now before their plans get any further. They may try and get the IRA's as well but you can withdraw your IRA in a day or less (with penalty and taxes due) but at least it's mostly yours.
You can begin to withdraw penalty-free at age 59 1/2. My hubby and I are doing that....beginning gradually to get our money under our control. It gives me cold chills to think about our retirement cushion, such as it is, sitting there all fat and juicy for the politicians to confiscate.
The quicker we get it in hour hands and away from the tax man the better I'll feel.
i'm not so sure anymore
“The bottom line is that any time there is a pot of money anywhere, some politician will try to get his hands on it.”
Said politician is flirting with disaster.
If only that terrible fishing accident hadn’t happened. I hate to think of all my guns sitting at the bottom of Lake Ontario. Or maybe it was Falcon Dam. I’m pretty old so my memory is pretty bad.
Google “teresa ghilarducci”, one of Obama’s advisors on the subject. Ms. seize and redistribute herself.
Obama plan was or is to force anyone with a 401K to allocate part of that money to purchase U.S. Bonds.
Thank you, SueRae. The name of this woman who wants to grab your savings is Teresa Ghilrducci and she’s with some institution called “Schwartz Center for Economic Policy Analysis” (SCEPA) What she’s proposing is that the government take over your 401k, your PRIVATE retirement savings, by having you turn it over to the government, then the government will GUARANTEE you have a stipend in your old age, called a GRA, a Guaranteed Retirement Account.