Coming today from Rush Limbaugh, I heard that House Democrat George Miller has suggested that 401K tax deductions may be on their way out because the government needs to find more revenue sources. (I’m Paraphrasing) Well isn’t that just great.
It occurs to me that Carol Shea Porter holds a seat on the House Education and Labor Committee from which Miller offers us this wisdom, a committee that brought us card-check, and the new minimum wage increases—all (I beleive) the brain child of George Miller.
This committee has apparently been collecting data and inspiration on a proposal to demolish private 401K’s and replace them with a government controlled system to be administered by the Social Security Administration.
The plan would end private retirement accounts. The government plan would require you to invest 5% of your annual income—most likely deducted from your paycheck by the government—and they would invest it in federal bonds with a guarantee of a 3% return.
In short, the government would assume control of new and existing 401K’s, removing billions of dollars of investment and growth potential from the decision making process of millions of private investors, and give it all to the Federal government. They would end your tax deduction for contributions into a retirement account. (Allowing them to tax you more). They would define how it will be invested (Governmetn Bonds), and the rate of return you would receive.
And, most importantly, the payments to retired persons—the MASSIVE 3% growth--would have to be funded entirely from the tax dollars of every working American. (No mention of how this puts even more pressure on trillions of dollars in existing unfunded entitlements we but why dicker over the particulars. This is socialism people—we’re just supposed to nod our heads and say thank you.)
The European model for this has failed miserably, as declining populations of workers, and increasing populations of those ‘on-the-dole’ are bankrupting their system. These governments will forcibly impoverish entire generations who failed to see the long term consequences of relying on a system that cannot sustain itself without an exponentially larger population in each succeeding generation to fund it.
So you might want to find out if Carol Shea-Porter, who sits on the committee that will give birth to this disaster and who has accepted some serious campaign cash from George Millers Political Action Committee this campaign season, if she supports the socialization of your retirement funds and the end of private 401k’s.
If she can’t give you a straight answer call it a yes, remembering that any kind of sustained Democrat majority, with a potential Democrat President, WILL ram through every piece of socialist garbage they can in 2009-2010. Are you prepared to give up yet another freedom to the government so they can screw you some more? Ask Carol where she stands and vote accordingly.