The Democrat Majority is beginning the preparations for an Obama presidency. We are seeing Congress talking about taking over America literally. They are talking about bailing out the banking industry, the mortgage market, the insurance company, and now, they want to take over your pension.
I want to talk to all of you who have a pension or retirement vehicle like a 401(k)s, IRA, or SEP/Keogh plans. The first thing I want to do is share with you something that Joe Biden said on the campaign trail in Colorado. Biden vowed that an Obama presidency will target executives of failing companies who draw big salaries. Biden said, "Their pensions go first." Now, I want you to stop for a moment and consider what Joe Biden said.
Biden is talking about something the Democrats in Congress are willing to tinker and that is toying with your 401k plan.
The greed that Liberals have for your tax dollars, as evidenced by Obama, who cannot wait to get his paws on your money, is striking. If you allow the Democrats to take away CEO pensions, then don't be surprise they take away yours too.
Guess what. They are doing it in Argentina. They are nationalizing everybody's pensions. Did you know that because of Argentina nationalizing the peoples pensions, they lost 26% of the value of their stock market? And that was only in one week. If you don't believe me, then look it up.
The failures in the private sector are minuscule compared to the continued massive failures of Big Government. Everything the government touches have unintended consequences. When things goes wrong, they get to act like innocent bystander and point fingers at everybody else. Can you say Fannie Mae/Freddie Mac?
I want to remind you, two weeks ago a long time Democrat Congressman George Miller from California, who chairs some congressional committee, said, "We're going to have to do something about the tax deductibility of contributions to people's 401(k)s because government's losing money. We're losing money on this." So, this idiot is proposing to eliminate the deductibility of whatever you contribute to your 401(k) or any form of retirement.
Now, we don't know if Obama would go along with this, but the odds are pretty good that he will. So you can talk about all of this private sector greed and so forth, and government going out and take some CEO's pension, but understand what the Democrats are planning to do. Your 401(k) is no longer deductible.
If you are weary of my statements, read the piece from James Taranto at the Wall Street Journal titled "Are 401(k)s Safe from Congressional Democrats?"
I know you're scared to look at your 401(k) statements when they come in, but are your 401(k)s safe from congressional Democrats? NO!! They're not safe from Democrats right now because Democrats are the cause what we're all experiencing. Now, they want to radically change how we invest. The market turmoil has some politicians on Capitol Hill eyeing the end of the 401(k) as we know it.
There is a plan that the Democrats are considering to convert your 401(k) and administered them by the Social Security Administration. Your private retirement plan becomes owned by the government. From my understanding, the money in turn would be invested in a special government bonds that would pay 3 percent a year, adjusted for inflation.
Now, the Democrats thinks we would go for this because we cannot stomach the wild market swings, and seeing our 401(k) plunge. I want to say, "it is a scam." We weathered the stock market crash in 1987 and 9/11. What makes you think a bankrupt system like Social Security will save us? Would you like a guaranteed 3% a year return on your 401k plan by the Social Security Administration for giving up the tax breaks on your 401(k) contributions and earnings?
This is one of many ways how the Democrats will screw the American people to fund Obamas new spending spree. This is one area in my life that I detest any government to manipulate my retirement plan. This infringement is unconstitutional to my right to life, liberty, and the pursuit toward happiness and this idiotic scam needs to stop! The government has no right to be in total charge of my retirement. Hell, I rather take my chances and forego the 401k contribution and let a broker make my money grow. If there is no benefit to a 401k or any other retirement vehicle, why put money in it?
Don't you see what the Democrats want? They want to eliminate any form of tax deduction in our retirement account. They will take that deduction, which should be ours, and spend it! While the Democrats spend it, we will have one less vehicle to lower our adjustable gross income and guess what? Our tax rate's going to go up because our adjusted gross income is not going to have our retirement deduction, and guess what this is going to do? It's going to push more people into Obama's new tax increase bracket. It's going to push more people over the $250,000-a-year magic number. Right now this is not an Obama proposal. I want to make sure that you understand, this is a Democrat Party proposal, but either way, we are still screwed.
If you don't believe me, ask an Argentinian if they are satisfied with their retirement portfolio. You are not going to get many happy faces.