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With Budget Proposal Obama Tells Us What Is A ‘Reasonable’ Amount To Have In Retirement Accounts
Lonely Conservative ^ | 4-6-2013 | Lonely Conservative

Posted on 04/06/2013 12:51:50 PM PDT by smoothsailing

With Budget Proposal Obama Tells Us What Is A ‘Reasonable’ Amount To Have In Retirement Accounts

April 6, 2013

Lonely Conservative

With his budget proposal, President Obama has told us what he believes is a “reasonable” amount to have in a retirement account. $3 million is the number he chose.

According to a White House statement, the Obama administration believes the current rules allow some wealthy individuals “to accumulate many millions of dollars in these accounts, substantially more than is needed to fund reasonable levels of retirement saving.”

“The budget would limit an individual’s total balance across tax-preferred accounts to an amount sufficient to finance an annuity of not more than $205,000 per year in retirement, or about $3 million in 2013,” the statement said. “This proposal would raise $9 billion over 10 years.”

Brian Graff, executive director and chief executive officer of the American Society of Pension Professionals and Actuaries, told Bloomberg News his group intends to “vigorously oppose” the proposal. (Read More)

Progressives have had their eyes on Americans’ retirement accounts for quite some time. I guess Obama sees this as a good place to start. Or maybe it’s just a major jab at Mitt Romney.

President Obama’s budget, to be released next week, will limit how much wealthy individuals – like Mitt Romney – can keep in IRAs and other retirement accounts. …

Romney, Obama’s 2012 opponent, had an IRA several to many times that amount, leading to questions about how the former Massachusetts governor was able to squirrel away so much money in that sort of retirement account. (Read More)



TOPICS: Constitution/Conservatism; Extended News; News/Current Events
KEYWORDS: confiscateiras; iras; obamabudget; obamairas; obamaretirement
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1 posted on 04/06/2013 12:51:50 PM PDT by smoothsailing
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To: smoothsailing

Where does that moronic imbecile have the right to tell free citizens what they can or cannot have in their retirement accounts?


2 posted on 04/06/2013 12:53:18 PM PDT by SkyDancer (Live your life in such a way that the Westboro church will want to picket your funeral.)
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To: smoothsailing
This proposal would raise $9 billion over 10 years.

Is this a comedy act?

3 posted on 04/06/2013 12:55:38 PM PDT by eclecticEel (Life, Liberty, and the Pursuit of Happiness: 7/4/1776 - 3/21/2010)
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To: smoothsailing

Money can walk — trying to finagle money out of the rich is a pointless exercise (remember the AMT?). Money can use money to figure a way around ANY and ALL attempts to take it.

The poor schmuck in the middle always gets it when progressives look to kill the Goose...


4 posted on 04/06/2013 12:56:37 PM PDT by freedumb2003 (LBJ declared war on poverty and lost. Barack Obama declared war on prosperity and won. /csmusaret)
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To: smoothsailing
F U BHO
5 posted on 04/06/2013 12:57:02 PM PDT by BenLurkin (This is not a statement of fact. It is either opinion or satire; or both)
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To: smoothsailing

Two things...
First, as to “$205,000 per year in retirement, or about $3 million in 2013,”.

Where does he get those rates of return?

and second....

the statement said. “This proposal would raise $9 billion over 10 years.”

$9B in $50T unfunded liability isn’t near enough. What’s plan B?

Since Social Security is the largest public retirement account, folks will clamor to take from the haves to give to the have nots.
All the sacrifice I’ve made to live like no one else so that I could live like no one else, is for naught? Thanks a lot, America.


6 posted on 04/06/2013 12:57:09 PM PDT by griswold3
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To: SkyDancer
There are gazillions of simple minded sycophants that don't have 3 mil in the bank nodding; "Yep, tha's righ !!" fortifying the imbecilic meanderings of the imbecile

But I'm just guessing at the answer.

7 posted on 04/06/2013 12:58:01 PM PDT by knarf (I say things that are true ... I have no proof ... but they're true)
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To: knarf

You’re right on the mark. Sounds good to the flatliners.


8 posted on 04/06/2013 12:59:38 PM PDT by SpaceBar
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To: griswold3

All the sacrifice I’ve made to live like no one else so that I could live like no one else, is for naught?

Are you Dave Ramsey??

Seriously, we have gone completely around the bend here. This is like the old Midas commercial: Pay me now or pay me later except today it would be pay me now and pay me foreever.


9 posted on 04/06/2013 1:00:11 PM PDT by Mouton (108th MI Group.....68-71)
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To: smoothsailing

Well, according to my accounts, our President does NOT have me in his sights (yet).


10 posted on 04/06/2013 1:01:08 PM PDT by Zuben Elgenubi
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To: smoothsailing

Aside from the ludicrous “savings”, I’m pretty sure there are yearly contribution limits of around $15k. What am I missing?


11 posted on 04/06/2013 1:01:28 PM PDT by andyk (I have sworn...eternal hostility against every form of tyranny over the mind of man.)
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To: SkyDancer

“Where does that moronic imbecile have the right to tell free citizens what they can or cannot have in their retirement accounts?”

He will write a RULE for the IRS to follow and it will happen. He dictates by writing RULES.


12 posted on 04/06/2013 1:02:03 PM PDT by Marcella (Prepping can save your life today. Going Galt is freedom.)
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To: knarf

and , perhaps like Obama and his brilliant economists, these low-information voters have no clue to what happens to those ‘millions and millions” sitting in some greedy, evil rich person’s account.....

IT IS INVESTED IN CAPITALISM TO CREATE JOBS YOU MORONS!


13 posted on 04/06/2013 1:02:16 PM PDT by Recovering Ex-hippie (Go Galt!)
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To: smoothsailing
“I do think at a certain point you've made enough money”
0bama said that and he means it.
He will at some point try to confiscate the "excess" and "redistribute" it to the "less fortunate".

Of course his billionaire buddies, the politicos, sports and rap stars or the Hollywood gazillionaries will not be affected.

14 posted on 04/06/2013 1:02:36 PM PDT by BitWielder1 (Corporate Profits are better than Government Waste)
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To: eclecticEel
Is this a comedy act?

It's fascism... with a laugh track.
15 posted on 04/06/2013 1:03:15 PM PDT by SpaceBar
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To: eclecticEel

Documentation File on the negative impact of the Obamanation Counterculture on America.


16 posted on 04/06/2013 1:03:23 PM PDT by Graewoulf (Traitor John Roberts' Commune-Style Obama'care' violates U.S. Constitution AND Anti-Trust Law.)
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To: griswold3

Social security is not a retirement account, it is welfare just like food stamps et al, and is subject to the whim of the DC politicians.

Many people believe that Social Security is an “earned right.” That is, they think that because they have paid Social Security taxes, they are entitled to receive Social Security benefits. The government encourages that belief by referring to Social Security taxes as “contributions,” as in the Federal Insurance Contribution Act. However, in the 1960 case of Fleming v. Nestor, the U.S. Supreme Court ruled that workers have no legally binding contractual rights to their Social Security benefits, and that those benefits can be cut or even eliminated at any time.

Nestor sued, claiming that because he had paid Social Security taxes, he had a right to Social Security benefits.

The Supreme Court disagreed, saying “To engraft upon the Social Security system a concept of ‘accrued property rights’ would deprive it of the flexibility and boldness in adjustment to ever changing conditions which it demands.” The Court went on to say, “It is apparent that the non-contractual interest of an employee covered by the [Social Security] Act cannot be soundly analogized to that of the holder of an annuity, whose right to benefits is bottomed on his contractual premium payments.”

The Court’s decision was not surprising. In an earlier case, Helvering v. Davis (1937), the Court had ruled that Social Security was not a contributory insurance program, saying, “The proceeds of both the employee and employer taxes are to be paid into the Treasury like any other internal revenue generally, and are not earmarked in any way.”

In other words, Social Security is not an insurance program at all. It is simply a payroll tax on one side and a welfare program on the other. Your Social Security benefits are always subject to the whim of 535 politicians in Washington.


17 posted on 04/06/2013 1:05:02 PM PDT by CharlesMartelsGhost
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To: smoothsailing

As with everything liberal (er, now “progressive”), the person who controls the meaning of words and phrases gets to control the outcome of the debate. In this case, just what is meant by “reasonable”?

Many public sector union retirees who are on defined benefit plans have the equivalent of savings well in excess of $3 million.

Based on how many vacations they take, and their lavish lifestyle, a $3 million retirement account would not last very long for the Obama household.

So, what is “reasonable”? The fact is that people cannot save enough or invest wisely enough especially given the level of inflation that the rampant money-printing is going to eventually trigger. This is just more expropriation of other-people’s money to fund a government that has grown way too big for its britches, and its enumerated powers.


18 posted on 04/06/2013 1:05:45 PM PDT by theBuckwheat
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To: smoothsailing

I can understand the voters falling for this ***hole’s BS once but falling for it twice was pure lunacy. I can understand why the commie libs don’t think the people living in the country can be trusted with firearms. Over half of the people living here are moronic lunatics and the DemocRATS know that. No people in their right minds would have elected this lying shyster.


19 posted on 04/06/2013 1:06:59 PM PDT by FlingWingFlyer (Dude! Where's my Bill of Rights?)
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To: SkyDancer

Well, he’s a brilliant economist.


20 posted on 04/06/2013 1:07:21 PM PDT by stanne
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To: smoothsailing

When I was a kid a million dollars meant you were set for life. Now it would be an existence. Three million after the wave of obamaflation hits will probably be below the poverty line.


21 posted on 04/06/2013 1:09:17 PM PDT by Lurkina.n.Learnin (Obama is the Chicken Little of politics)
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To: CharlesMartelsGhost

Well said sir. Well said.


22 posted on 04/06/2013 1:11:35 PM PDT by JCBreckenridge (Texas is a state of mind - Steinbeck)
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To: smoothsailing

Is not turnabout fair play. so Obama can only have $1.00 in his retirement account. It is only fair, because Obama is truly an ass.


23 posted on 04/06/2013 1:13:13 PM PDT by hondact200 (Candor dat viribos alas (sincerity gives wings to strength) and Nil desperandum (never despair))
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To: CharlesMartelsGhost

It is unfortunate that most Americans don’t/won’t understand your presented facts. SS is an entitlement program akin to Medicare/Medicaid, unemployment and so on and so forth. Besides, those SS dollars have already been spent on other Federal programs the ‘masses’ demanded but couldn’t/wouldn’t pay for.....


24 posted on 04/06/2013 1:15:05 PM PDT by yadent
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To: SpaceBar

“Is this a comedy act?””

“It’s fascism... with a laugh track”.

Every day, it’s a search for either good news or a laugh out loud.

I can now shut down and get back to my day.


25 posted on 04/06/2013 1:15:18 PM PDT by stanne
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To: CharlesMartelsGhost

“”Facts are stubborn things”, but not nearly as stubborn as a social security recipient who believes that his monthly check is an earned right.


26 posted on 04/06/2013 1:19:07 PM PDT by Skepolitic
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To: FReepers; Patriots; FRiends

He Won. It's Payback Time.


Please Support Free Republic Today!

27 posted on 04/06/2013 1:19:18 PM PDT by onyx (FREE REPUBLIC IS HERE TO STAY! DONATE MONTHLY! IF YOU WANT ON SARAH PALIN''S PING LIST, LET ME KNOW)
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To: smoothsailing

Banks in 2008 generated 26 percent of income for GDP. They over leveraged when the housing market imploded. Gov had to step in to buy the toxic assets and make the banks solvent again. This bailout was financed with money printing when T Bill sales could not cover the costs of bailout and budget deficit. Right now our current debt is 16 trillion plus another 90 trillion in unfunded liabilities. Today the US Treasury must print money to buy the sales shortfalls in the T Bill sales.
Biggest nightmare for US gov is the money printing is starting to ignite inflation and does nothing to jump start the economy. After six years the US economy limps along and the Fed Reserve is in the risk zone as money printing continues. If inflation ignites, money printing is no longer possible, and the monthly shortfalls in sales of T bills must be covered or the US is in default. That must be avoided at all cost because the US national survival is at stake. Gov will use whatever means necessary to survive. That is why our 401k/IRA are being sighted for taxation or raid because it is about 9 trillion which can be used to cover many monthly T Bill auction shortfalls. Once all the pensions are depleted, the bank savings accounts are next. Of course before that happens the powerful ones at top of the communications chain will get the impending acts first and will move a bulk of their wealth out of country before the financial repression begins. Just look what happen to Cyprus. The average guy is learning that the 1 percent of Cyprus moved their money out before the bank holiday. CEO who ran the bank had his email and the bank records on the transfers totally wiped out of his computer and bank system. Gov investigators are unable to investigate and the ones with the inside info may get away scott free.


28 posted on 04/06/2013 1:19:24 PM PDT by Fee (9/11 first shaking; 2008 finance collapse second shaking; 2015 ????)
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To: SkyDancer

Where does that moronic imbecile have the right to tell free citizens what they can or cannot have in their retirement accounts?

There are so many rules on those retirement accounts and that is even before this. I am not sure if i understand the whole thing. Is that 3 million in one account but you can have several? Most of us are not going to have 3 million in our total retirement anyway.


29 posted on 04/06/2013 1:23:48 PM PDT by napscoordinator (Santorum-Bachmann 2016 for the future of the Country!)
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To: griswold3

Plan B (really plan A) is Cyprus....


30 posted on 04/06/2013 1:25:05 PM PDT by neodad (USS Vincennes (CG-49) Freedom's Fortress)
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To: SkyDancer

Obama figures the more crap he throws at the wall, the more will stick. It's the whole Cloward-Pliven thing.

31 posted on 04/06/2013 1:25:46 PM PDT by smoothsailing
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To: smoothsailing

At what point do we become the unreasonable ones...?

Back during the campaign when he had that most teachable moment when he told American business owners, “You didn’t build that.” Inside the text of the speech were a number of other statements like....

Your little house...
Maybe take a little vacation...
http://www.whitehouse.gov/the-press-office/2012/07/13/remarks-president-campaign-event-roanoke-virginia

All this rhetoric and policy to keep the little people little, submitted to working for the man...sound familiar? Amazing to think about how liberals, democrats, and progressives don’t see they have become that which they themselves hate.


32 posted on 04/06/2013 1:26:02 PM PDT by EBH
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To: smoothsailing

And Peoria is a lot smaller than Chi-Congo.


33 posted on 04/06/2013 1:26:20 PM PDT by SkyDancer (Live your life in such a way that the Westboro church will want to picket your funeral.)
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To: smoothsailing

What amount was “reasonable” for John Corzine to steal for his retirement? Apparently, he was not over the limit because that crook is still running around free.

What amount was “reasonable” for the Clintons to get from the Chinese in grocery bags full of cash? I guess they were okay because he’s still loose and she’s going to run for president.

What amount did you and Michele sock away when both of you got into the lottery of Democrat politics in IL after your very brief fling at being lawyers? It must have been hundreds of thousands but who’s counting, since you’ve moved on up to the White House now.


34 posted on 04/06/2013 1:28:16 PM PDT by txrefugee
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Welcome to Cyprus II


35 posted on 04/06/2013 1:32:24 PM PDT by llevrok (2013: The USA is in a Cold Civil War.)
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To: SkyDancer

He is just figuring how much it cost us for his family to vacation for two weeks and that should be good enough for a lifetime of the underlings!!

I’d hate to be his dreams!!!!


36 posted on 04/06/2013 1:34:22 PM PDT by YouGoTexasGirl
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To: SkyDancer

The government wants the taxes on that money, now. They want it because they know that it is more than the a person is likely to spend in their lifetime, and they don’t want to wait until the wealthy die.

They would like to take over all the money, and pay it back as an annuity, but they know that anyone who accumulated anywhere near 3 million dollars in a retirement account isn’t about to allow the government to manage their money.


37 posted on 04/06/2013 1:34:58 PM PDT by Eva
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To: YouGoTexasGirl

Oh, I’d love to be in his dreams. He’d be screaming to wake up!!!


38 posted on 04/06/2013 1:35:23 PM PDT by SkyDancer (Live your life in such a way that the Westboro church will want to picket your funeral.)
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To: txrefugee

I guess the gov is to now make a list of what are resonable items for Americans.
Education
House
car
salary
kids
pets
Groceries in pantry
vacations
golf games?
all excluded for Gov Officials of course.
Oh and of course 0 tolerance on GUNS!


39 posted on 04/06/2013 1:36:02 PM PDT by Conserev1 ("Still Clinging to my Bible and my Weapon")
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To: Eva

Sort of like what the Hilde-beeste (Hillary) wanted when she wanted to take over people’s 401(k) plans. Give it back with just 3% interest and the government would keep the money.


40 posted on 04/06/2013 1:37:21 PM PDT by SkyDancer (Live your life in such a way that the Westboro church will want to picket your funeral.)
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To: smoothsailing

Obama figures the more crap he throws at the wall, the more will stick. It’s the whole Cloward-Pliven thing.


Exactly!


41 posted on 04/06/2013 1:39:02 PM PDT by laplata (The Answer To 1984 Is 1776)
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To: smoothsailing

...he believes is a “reasonable” amount to have in a retirement account. $3 million is the number he chose.

He can blow that much on a vacation (if the taxpayer is paying).

And the Spring Break for his kids probably cost a bundle.


42 posted on 04/06/2013 1:40:57 PM PDT by IM2MAD (IM2MAD=Individual Motivated 2 Make A Difference)
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To: smoothsailing

SHAME ON AMERICANS FOR ALLOWING THIS TYPE OF CRAP!


43 posted on 04/06/2013 1:51:02 PM PDT by stockpirate (Sen. John Kerry belonged to the terrorist group VVAW.)
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To: SkyDancer
Not to defend Obama here, but there's nothing outrageous about this proposal when you look at it objectively.

You can have as much money in your retirement account as you'd like. The proposal here is to cap the amount for tax deferral purposes.

If you think this is a ridiculous idea, just keep in mind that the U.S. tax code already puts a cap on retirement plans -- at the front end. There's an annual limit to the amount of money you can deposit in an IRA or 401(k) on a tax-deferred basis. It typically changes with inflation, but you can do a simple Google search to find out how much it is for any given year.

44 posted on 04/06/2013 1:51:51 PM PDT by Alberta's Child ("I am the master of my fate ... I am the captain of my soul.")
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To: laplata

Cloward-Piven-—Overwhelm the System.

Virtually everything he does is geared toward that goal. He has to destroy our country because it offends him.


45 posted on 04/06/2013 1:55:31 PM PDT by smoothsailing
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To: griswold3
All the sacrifice I’ve made to live like no one else so that I could live like no one else, is for naught? Thanks a lot, America.

what does Dave Ramsey suggest at this point?

46 posted on 04/06/2013 1:57:19 PM PDT by latina4dubya
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To: Alberta's Child
On the other hand, I don't think proposal is going to go anywhere. The U.S. investment banking industry is probably gearing up its lobbying machine to quash it before it ever sees the light of day in Congress.

Keep in mind, though, that this kind of sh!t is exactly why I was telling anyone who would listen that it was a bad idea to do Roth IRA conversions back in the 1990s when the Roth IRAs first came into existence. Anyone who did that had to pay taxes on the conversion from a traditional IRA to a Roth IRA in exchange for future tax exemption for withdrawals from the Roth IRA. I thought it was a bad idea because there was no way for anyone to know how the tax code might change between the time you made the conversion and the time you withdrew the money.

47 posted on 04/06/2013 1:57:46 PM PDT by Alberta's Child ("I am the master of my fate ... I am the captain of my soul.")
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To: smoothsailing

Cloward-Piven-—Overwhelm the System.

Virtually everything he does is geared toward that goal. He has to destroy our country because it offends him.


As long as the United States is strong and soverign they cannot implement the New World Order/One World Government.

0bama is an evil tool who enjoys his job.


48 posted on 04/06/2013 2:03:08 PM PDT by laplata (The Answer To 1984 Is 1776)
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To: CharlesMartelsGhost

I’m with you 100%. As a matter of fact, I just used Fleming v Nestor yesterday in response to a viral ‘Save SS’ email.
I understand completely the SS Ponzi scheme and never believed that it would be there when I retired. It is not mathematically possible.
I’ve operated a small business for the past 20+ years. I’ve always been a ‘Saver’ and lived within my means. I understand completely what ZIRP is doing to the money I’ve tried to save. And now this?
I don’t necessarily blame the 535 as much as the voters with their hands out that put them there.


49 posted on 04/06/2013 2:03:30 PM PDT by griswold3
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To: SkyDancer

Yes, that plan was actually proposed by Democrats in 2008 and has recently been revisited, with a few changes. The government wants to take over all current 401Ks and have the company matching share and the employee contribution, go directly to the government to be doled out later, with 3% interest added on. It would really hurt the stock market, not to mention the reduced rate of earnings. I guess if they pulled all the retirement savings accounts out of the stock market, you would be lucky to earn 3% on your savings.

Obama’s new plan, though, is his version of the Cyprus bank account seizures. He’s just warming up people to the idea. If he cannot get a tax increase on the wealthy, maybe he can persuade the public that the government should just force the wealthy to take their money out of the sheltered accounts and pay the taxes on them.


50 posted on 04/06/2013 2:09:00 PM PDT by Eva
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