02 July 2010

Stealing Our 401k's And IRA's

I warned you this administration would eventually get around to doing to us what the Government of Argentina did to their citizens...
"Nationalize" all retirement plans and give us all a U.S. Government sponsored annuity...
A sort of "Super Social Security" account.
Doesn't that sound like a great deal?!
Right now it's still in the planning stage, but believe me, eventually they're gonna do it to us. Here's the language in the "Notice of Propose Rulemaking":

"The Department of Labor and the Department of the Treasury (the “Agencies”) are currently reviewing the rules under the Employee Retirement Income Security Act (ERISA) and the plan qualification rules under the Internal Revenue Code (Code) to determine whether, and, if so, how, the Agencies could or should enhance, by regulation or otherwise, the retirement security of participants in employer-sponsored retirement plans and in individual retirement arrangements (IRAs) by facilitating access to, and use of, lifetime income or other arrangements designed to provide a lifetime stream of income after retirement. The purpose of this notice is to solicit views, suggestions and comments from plan participants, employers and other plan sponsors, plan service providers, and members of the financial community, as well as the general public, on this important issue."

For further information, details can be found here.

Be prepared people.
When they pull the trigger on this law, you'll have 60 days to withdraw your money to keep them from stealing it.


cary said...

Of course, when you withdraw it you will be hit by a 40% income tax, if you don't immediately re-incest into another IRA or 401(k) plan - so, you either loose all of it or just a big chunk.

Did I see they are taking input? Hah! They don't listen to anything else we are saying, why would they listen to us saying "KEEP YOUR FILTHY MONEY GRUBBING PAWS OFF MY RETIREMENT FUND!!"


No doubt this is headed our way. Too much money out there for the govt to ignore any longer.

The govt, with an assist from the msm, will sell this as a great deal in the long run. And, people will buy it, hook, line and sinker.

the golden horse said...

The sad thing is, you can't avoid it. You can only borrow 50% of your 401K and then they automatically start taking payments out right away.
I had heard you can get around the huge penalty on the IRA's by stating family emergency.
Either way, this is wrong and I see nothing but violence ahead. To take from people that invested for all those years, this is illegal. The investment,except for the matching, is not theirs to do with as they please.
I think I sent you some info on this.
I guess we could all take out the 50% loan, and at least get that much, then quit your job.

Rita said...

There is actually a way to start withdrawing your money from an IRA before reaching 59 1/2 without a penalty. It's a little known option of arranging scheduled withdrawals which you cannot change the schedule. The withdrawal would be combined with your normal income and you would be taxed as if you earned the withdrawal, but no penalty.

After 59 1/2, you can withdrawal without penalty, but it will also be taxed like regular income.

the golden horse said...

The unions has also been pushing for control of our retirements. This is getting to be one scary country.
First our freedoms, then our money. We are done.