Posted on 10/30/2017 1:35:22 AM PDT by Oshkalaboomboom
It’s time to start paying attention, America.
Once again, there is a big problem brewing on Capitol Hill, where some politicians still don’t have their priorities straight.
The pols are under the disconcerting delusion that raiding workers’ 401(k) plans is a way for them to “pay” for the tax cuts they will grudgingly give us.
They would rather reach into your pocket and jeopardize your retirement than make common-sense adjustments elsewhere.
They want to change the only well-functioning retirement self-savings plans, which would be a disaster for the American family, the economy and the stock market.
Let’s start with the basics. Saving for retirement is just about the only way to make sure you don’t spend your golden years living in squalor. After the stagnant wage and unemployment picture of the last decade, we need to encourage more people to save more, not less.
Ask a retired person how they would fare on just $1,369 per month from Social Security.
Due entirely to Washington’s mismanagement of the trillions they’ve collected, Social Security is expected to run out of money in just over 15 years, anyway.
Every working American pays 6.2 percent of his or her paycheck, and employer’s match an additional 6.2 percent, to Uncle Sam for their entire working life. And they are still going broke.
What pols should do is expand 401(k) deductions in order to bail out Social Security.
I cannot comprehend why the Washington half-wits can’t just do a simple tax cut and walk away.
Just cut every tax rate by 5 percent, and let the paychecks rise, let businesses find America a more appealing place to do business, and bask in the glory of growth.
(Excerpt) Read more at nypost.com ...
After many years of no employer retirement plan & no means of saving on my own,I finally was able to get into a 401K plan & be fully vested. Well,I still had nothing to put into it & then found out that company involvement was only going to be about 2 cents on the dollar, so it was then I decided that was no good. So,later on I waited several years later than necessary to retire on S.S. plus what little I could save. Now,I find out that the government has their eyes on the 401K money. I could have potentially lost even what that little scrap would have been. They say S.S. is on the edge of going broke,so future retirees could have saved all their lives & end up with(potentially) nothing at all. What a future all thanks to government negligence!
Democrats have already laid the groundwork for raiding 401(k) plans. It’s called “Guaranteed Income Annuities” and the idea was to carve out 20% or so of each 401(k). Of course the government would handle the annuity payout. It was part of the DOL changes to 401(k) plans several years back, and the DOL expansion into IRA’s that is happening right now.
“After many years of no employer retirement plan & no means of saving on my own,I finally was able to get into a 401K plan & be fully vested. Well,I still had nothing to put into it & then found out that company involvement was only going to be about 2 cents on the dollar, so it was then I decided that was no good. So,later on I waited several years later than necessary to retire on S.S. plus what little I could save. Now,I find out that the government has their eyes on the 401K money. I could have potentially lost even what that little scrap would have been. They say S.S. is on the edge of going broke,so future retirees could have saved all their lives & end up with(potentially) nothing at all. What a future all thanks to government negligence”
Yeh, you’ve apparently got yourself in a pickle. I seriously doubt that SS will be allowed to go under as too many folks depend on it. The problem with SS is that it benefits coverage has been continuously expanded to people who have never paid a cent into it. I believe the term is “chain immigrantion. Btw, not doubting your word but never heard of a company plan that only paid two cents on the dollar. Heard of zero, 50 cents, dollar for dollar. Well, things turn out ok for you though. Good luck!
GE (Greedy Executives) forced employees to invest in 401(k) plans which IT administered: picking up management fees while underperforming.
And "fiduciary duty" means the companies have to monitor underperforming funds and winnow the poor ones, rather than choose the fund based on which funds salespeople provide the hottest $1,000/hr callgirls to the executives making the decision /snark>
Lawsuit alleging General Electric ripped off its workers shows the pitfalls of 401(k) plans
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