Heard Bob Brinker this evening rail against the discussion of US govt confiscation of all IRA/401K accounts to ostensibly be replaced by US govt guaranteed annuities. He gave example of what was done in Argentina but I missed if and when he discussed who is actually proposing this for US and where I can get more info on it. Can anyone help? I'm agin' it...

I'll cash in my 401k if they go there. No way I'm trusting Uncle with that.

You can start here with the fearmonging.

http://imkane.wordpress.com/2010/02/04/i...e-deficit/

Not to say that there isn't something to potentially fear here. Some of the language being used about some of the requests for information should definitely be concerning. But the US isn't Argentina (not yet, at least). I have a hard time seeing this as likely, given the repercussions likely. At least, not with this current administration, because it wouldn't survive an election if it attempted (or even hinted at) that.

I actually think they are going to go there because I simply don't think they are going to have a choice. I don't see any other way to make it.

We're not solving any problems, we're just pushing them into the future. Push the string along and hope for a miracle. There aren't going to be any miracles.

I've already been pulling my 401k down, started as soon as I hit 59-1/2. Would just go ahead and take the rest and buy gold.

(02-21-2010 10:20 PM)gsloth Wrote:  At least, not with this current administration, because it wouldn't survive an election if it attempted (or even hinted at) that.

So, sometime after 2012?

(02-21-2010 10:25 PM)Owl 69/70/75 Wrote:  I actually think they are going to go there because I simply don't think they are going to have a choice. I don't see any other way to make it.

We're not solving any problems, we're just pushing them into the future. Push the string along and hope for a miracle. There aren't going to be any miracles.

I've already been pulling my 401k down, started as soon as I hit 59-1/2. Would just go ahead and take the rest and buy gold.

Outside of imposing a National Sales/VAT Tax, "confiscating" 401k's is about the only way to stem massive red ink caused by federal entitlement programs paying out in the next 30 years.

The "Social Security LockBox/Trust Fund" is faker than Bernie Madoff.

(02-22-2010 01:36 AM)OptimisticOwl Wrote:  

(02-21-2010 10:20 PM)gsloth Wrote:  At least, not with this current administration, because it wouldn't survive an election if it attempted (or even hinted at) that.

So, sometime after 2012?

Probably. Actually, even if Obama were to win a second term, I have a feeling the cash/lending crunch this country will likely feel will fall late this decade or in the following decade, outside of Obama's legacy. He'll push it off, just for legacy reasons, because the follow-on action will be ugly.

The timing of these problems will be perfect. You know, around the time I have to send my kids to college - if I can still afford it.

(02-22-2010 08:09 AM)WMD Owl Wrote:  

(02-21-2010 10:25 PM)Owl 69/70/75 Wrote:  I actually think they are going to go there because I simply don't think they are going to have a choice. I don't see any other way to make it.

We're not solving any problems, we're just pushing them into the future. Push the string along and hope for a miracle. There aren't going to be any miracles.

I've already been pulling my 401k down, started as soon as I hit 59-1/2. Would just go ahead and take the rest and buy gold.

Outside of imposing a National Sales/VAT Tax, "confiscating" 401k's is about the only way to stem massive red ink caused by federal entitlement programs paying out in the next 30 years.

The "Social Security LockBox/Trust Fund" is faker than Bernie Madoff.

Agreed on all counts.

(02-22-2010 12:29 PM)gsloth Wrote:  

(02-22-2010 01:36 AM)OptimisticOwl Wrote:  

(02-21-2010 10:20 PM)gsloth Wrote:  At least, not with this current administration, because it wouldn't survive an election if it attempted (or even hinted at) that.

So, sometime after 2012?

Probably. Actually, even if Obama were to win a second term, I have a feeling the cash/lending crunch this country will likely feel will fall late this decade or in the following decade, outside of Obama's legacy. He'll push it off, just for legacy reasons, because the follow-on action will be ugly.

The timing of these problems will be perfect. You know, around the time I have to send my kids to college - if I can still afford it.

The government will do it for you - every American is entitled to at least one college degree.

My oldest grandson will soon be graduating from HS - I am sure that college is in his future. I wonder, though, if that is the best thing for him. Either a technical education or a term in the military has its attractions, too. I have always felt that a college education - any major - had intrinsic value. I just wonder if it has any monetary value anymore.

(02-22-2010 04:40 PM)OptimisticOwl Wrote:  The government will do it for you - every American is entitled to at least one college degree.
My oldest grandson will soon be graduating from HS - I am sure that college is in his future. I wonder, though, if that is the best thing for him. Either a technical education or a term in the military has its attractions, too. I have always felt that a college education - any major - had intrinsic value. I just wonder if it has any monetary value anymore.

The most recent rankings of best education systems in the world, by whatever UN agency does it, had Finland #1. One thing that the Finns do is that they have the best vocational education system I've seen anywhere. Not everybody needs to go to university when the vocational education is as good as theirs is. As an added benefit under their system, the person I go to for haircuts can actually cut hair, and the person I go to for car repairs can actually fix cars.

Didn't mean to hijack the thread. I want to get back to the 401K thing.

I had never heard of this before this thread, but it makes sense, not just from a financial POV, but from the ideological. Obama and the far left have made no pretense about their being for income redistribution. Taking from the "wealthy", whether this is defined as the top 5% or the top 50%, and spreading the wealth around fits their mindset to a T.

Not directly related to this topic, but on the sidebar about potential economic challenges coming later this decade (give or take). Robert Samuelson does a pretty good job laying out some of the coming deficit and debt levels we'll be facing over the next decade or so. He pretty blames everyone for the lack of candor on the budget topic, and that even the efforts to supposed resolve the issues really don't make a significant enough dent in the deficit. Should be required reading for everyone.

http://www.washingtonpost.com/wp-dyn/con...01785.html

And on my prediction of facing problems later this decade, I recently heard that the Chinese have apparently stopped buying US Treasuries. Lucky for us, the Japanese have stepped in as a buyer, but this is not good news for the dollar or interest rates.