Skip to comments.Obama's Re-Election Mandate: Guess Whose Money He's Targeting Next?
Posted on 12/01/2012 7:11:15 AM PST by Kaslin
Many Americans didn't bother to vote in the past presidential election, some out of apathy or a belief that the election would hardly affect them. They are in for a rude awakening now that Obama has won re-election. His Santa Claus false promises are unsustainable, so there are going to be few winners and a lot of losers as he redistributes wealth. Obama ran on a platform of making the rich pay their fair share of taxes, but raising taxes on the wealthy will only fund the federal government for eight days a year. In order to even partially keep up with federal spending and debt payments, he will have to find new ways to take money from the middle class.
Private sector 401k and IRA owners are first on the Democrats' radar and may see their plans taken away soon. House Democrats are planning on eliminating those tax breaks and converting the private plans to government-controlled retirement accounts, where they will be at risk for insolvency.
The poor and lower middle classes filing bankruptcy are the next demographic being selectively targeted by the Obama administration. Last spring, federal bankruptcy courts and trustees started aggressively going after the paltry assets and incomes of the poorest Americans filing bankruptcy, demanding portions of their low wages, and assets such as their only car, in order to bring in more money for federal coffers and declare that bankruptcies have gone down under Obama. This was implemented despite federal bankruptcy laws' promise of a fresh start for the poor filing bankruptcy. Last year, bankruptcy courts targeting the poor like this was unheard of. Now, millions of Americans in the real estate industry who lost their jobs are finding out there is little relief for them in bankruptcy, as they are forced to pay bankruptcy attorneys to defend them in additional proceedings that can drag out for months.
Certain industries, anticipating worse economic times with Obama's re-election, have begun laying off thousands of workers. Some CEOs boldly announced the layoffs the day after the election, blaming them on Obama. The main industries laying off employees include technology, wireless, retail, grocery and healthcare, where the lowest-level employees have been hardest hit. Restaurant chains like Papa Johns are slashing employees' hours to less than 40 hours a week in order to avoid the expense of Obamacare and are raising prices.
Many middle class Americans will see their pensions eliminated or slashed, financially devastating for those under 55 years old who are aware that Social Security will be insolvent by the time they retire. The percentage of workers in America covered by a traditional pension plan fell from 62 percent in 1983 to 17 percent in 2007.
Government employees, represented by Obama-supporting public unions, fought tooth and nail to ensure that Obama won re-election, but Obama is not saving all their jobs and pensions. Older Americans falsely believed that if they paid into a government pension and relied upon it, it would be there for them when they retired. This is not true; it is no longer just newly hired employees who need to worry about losing their pensions. One retired firefighter in Rhode Island had his pension cut by $1,100/mth, and other firefighters saw their pensions cut by more than half. Several states have cut cost of living increases for existing pensioners. Many state and local governments are laying off employees. This is a pattern that is increasing, not decreasing around the country.
Non-union members are losing their pensions at an even higher rate than union employees. 20,000 auto employees lost most of their pensions when the U.S. Treasury Department decided to bail out General Motors. At the same time, those GM employees who were part of the United Auto Workers Union saw their pensions topped off and preserved. Pensions in the private sector are increasingly underfunded. Verizon's private pension plan is underfunded by $3.4 billion. If economic conditions continue to deteriorate, bankruptcy may not protect them. When corporations file bankruptcy, the courts tend to let them out of pension obligations to employees and retired employees.
Americans living in states where private sector employees are outnumbered by those dependent on government will be affected the worst. Known as death spiral states, these 11 states are considered high risk for economic default, shunned by investors. Americans in the real estate, investment, hospitality and tourism industries especially will face tougher times in these states over the next few years as those industries shrivel up and lay off workers, and municipal bankruptcies increase. Financial affairs in Stockton, California, have gotten so bad that police will only respond to calls for assistance if there is blood involved. Since 2009, the city has cut 25 percent of its police officers, 30 percent of its Fire Department and over 40 percent of all other city employees.
Everyone is familiar with troubled Hollywood star Lindsay Lohan's multiple prosecutions for theft, drunk driving incidents, traffic accidents and drug use. Yet no matter how many times she is arrested, she never serves more than a few days in jail because Los Angeles County cannot afford to lock up anyone but the most serious felons.
These are a just a few of the many ways Obama is stealthily taking away more money from the middle class. He brazenly targets certain types of Americans for austere fiscal measures, while giving others a free pass. He bails out Government Motors and its union employees with taxpayers' money, while Americans in the real estate industry who did nothing wrong are hassled for months as they try to file bankruptcy, with some of their bankruptcies ultimately thrown out. The liberal-dominated media has helped Obama accomplish this by failing to write about the selective targeting. Instead, the media hypes up stories of Obama playing Santa Claus. Obama does not care about the middle class, he cares about which special interests, such as unions, can contribute the most to Democrats' elections.
If Mitt Romney had been elected president, he would have pulled government out of the business of choosing winners and losers, allowing the private sector to create jobs and wealth again. Instead, the U.S. has turned into a feeding frenzy, with Americans fighting and clawing for whatever they can get at the expense of their neighbors.
The REVENGE Administration only has one fanatical objective and that is to REDISTRIBUTE as much of this country’s wealth as possible.
Do you know if zer0 can take total control of my savings plan (401K) with out the approval of congress? and will I have any say in this?
- Inflation: between 10-30% the first year, with another 10-30% increase in 2014 and 2015
- Taxes will skyrocket, first on the wealthy, but that won't be enough, so Obama will go after the middle class (he considers this "whitey money" anyway)
- Housing prices will fall even further as interest rates go up
- Companies will have to spend more money on lending money due to higher interest rates, which will cut their profits and force massive layoffs.
- Many business will close due to Obamacare, and those that remain open will cut back many employees to less than 30 hours per week - Those who rely on investment income will have a very hard time
- Bonds will become a very bad investment, and the stock market will lose anywhere between 20% and 90% of its value very quickly
If you don't have a fixed rate mortgage, refinance to one now! Don't pay off your mortgage early - that is madness with the coming inflation. If you still have an ARM, you are a fool to not convert to a fixed.....today!
Pay off other debt such as credit card debt or car loans.
Don't rely on whole life insurance (it is tied too much to stocks and bonds, which are going to get buried). Get term instead.
Gold will continue to be a safe investment, as well as some foreign currency and commodities (stay OUT of long term US govt bonds)
Now the Rat Party wants 100 percent.
The Establishment's New Normal
If you read Daniel, Ezekiel and Revelation, you will see that God had something quite different in mind.
Last I checked, House Democrats don't call the shots in that chamber.
What can we do? Yes, we have lots of money saved, take it out, suffer the penalties? IF it gets that bad, then we’re all screwed. I can’t go crazy thinking about this stuff. I drove myself crazy in Fall of 2008 with the market and decided whatever happens, happens. It was enough to drive me to drinking, lots of wine, back then.
Thanks, I’ll listen to that. I enjoy listening to Mark Levin, don’t get to listen to him as often as I use to, not in the car that time of day as much since I don’t drive daughter to dance several days a week anymore. Love listening to him and both his books.
I was unaware that Skeletor married. Now I know.
Plus, the next congressional redistricting will be based on the 2020 Census and take effect for the 2022 election. Western economies should have crashed, burned and come back to life again by 2022.
The US gov't can print all the money it wants. (This is exactly what they are doing to pay for Zero's profligate spending. So why would they bother? IRA and Koeoh accounts are "small change" compared to Zero's far larger deficits that extend "as far as the eye can see".) This idea is the drug-induced dream of about a half-dozen moonbat 'rats.
They think they do, but they sure don’t
>>>The real threat of conversion or confiscation would result in panic withdrawals from these accounts. <<<
Interesting point... considering that was exactly what I was thinking about, which makes me think that whatever confiscation happens will done in a far more insidious manner.
Evidently, all they need to do is get looney college professor to seed the notion of confiscation and some people will cash in their retirement accounts loosing a major portion of it to taxes and penalties.
Defund all pensions. No sense in paying retirees NOT to work when hard working Americans’ retirement SAVINGS are going to be stolen to pay for the welfare state.
>>>Evidently, all they need to do is get looney college professor to seed the notion of confiscation and some people will cash in their retirement accounts loosing a major portion of it to taxes and penalties.<<<
Appreciate you making my point about the “insidious” part. As agitprop goes, this would work well, along with further degrading the middle class and increased dependence on the state. It’s like a nonstop cluster. And I don’t mean peanut brittle.
It’s astonishing how the thinking of Democrats differs from Republicans.
“Get out of the IRA & 401K plans NOW. Take the tax penalty hit and convert to cash while there is still time...”
I’m in my early sixties so I won’t get hit hith a penalty. Taxes, yes; penalty, no.
“Get out of the IRA & 401K plans NOW. Take the tax penalty hit and convert to cash while there is still time...”
I’m in my early sixties so I won’t get hit with a penalty. Taxes, yes; penalty, no.
Private sector 401k and IRA owners are first on the Democrats' radar and may see their plans taken away soon. House Democrats are planning on eliminating those tax breaks and converting the private plans to government-controlled retirement accounts.....
The link supporting this statement leads to an old 2008 James Pethokoukis story, which does not reflect, of course, the political outcomes of the 2010 and 2012 elections that gave the House to the GOP.
The Democrats can lust after seizing 401(k)'s, Keough accounts, IRA's and the rest all they want, but the only way they'll get them is by some unimaginable Boehner treason, or blackmail, or by rolling tanks in the street and declaring government by decree.