Thread: House Democrats Contemplate Abolishing 401(k) Tax Breaks

I wish the news would broadcast this. Why isn't McCain talking about this?

If the anecdotal evidence collected in polls, documented on this site, about democrats, McCain will win in a landslide. A LOT of democrats are voting McCain.

http://hillbuzz.wordpress.com/2008/10/2 ... er-report/

This is very interesting. I own a small business in suburban Pittsburgh, and just this morning I was talking to our food delivery truck driver. He is very working class/blue collar, as are all of his co-workers. He was going on and on this morning about how everybody he works with and talks to, is voting for McCain.

If this plan picks up even a little bit of traction, the current volatility of the stock market will seem like a distant dream. Millions of Americans will think twice about contributing to their 401K's and mutual fund managers will be jumping out of the nearest windows. The dems/socialists wants to destroy what's left of our system of regulated capitalism so they can be there to pick up the pieces and turn the U.S. into the People's Republic of North America.

This plan is a royal screw job to American workers on several levels:
1. My 401K earned a hell of alot more than 3%, especially when taking into account employer matching funds and the tax break. Workers get No tax break on this deal, and probably will also lose matching funds because employers will get no tax break incentives for them.

2. Most 401K funds are invested in the stock market, which in turn provides capital for economic development. Yes, the market is atrociously down now (because of other Democrat party grand ideas such as Fannie Mae and Freddie Mac and Affordable Housing). However, the market was worse after 9/11. I kept my 401K after 9/11 and within 3 years I was ahead of where I was on 9/10. This market will rise too. Look at the overall market performance since 1929. Lots of down turns, but overall higher during almost any 10 year span. By taking private capital (how many trillion?) out of the market, we are setting the stage for more "government investment", e.g., socialism (or communism, depending on the level).

3. This plan is being pushed by the same idiots that set up the current financial crisis (see above).

4. This new account will not be a private account with your name on it, any more than Social Security taxes are in a "lock box" separate from the general funds. When Social Security finally goes belly-up in the next 20-30 years, and it will, any funds in this "transformed 401K plan" will be gone too.

5. This is just another way to raise the Social Security tax another 5%, and provide immediate cash flow to off-set the 7.5 ++++ billion dollar bail out.

6. This is how Obama and the Democrats intend to fund his two trillion dollar spending spree

7. This is also how Obama and the Democrats intend to soak the "rich", i.e. all businesses small, medium and large. How long do you think it will be before the employers have to match the employee 5% under the same rules used to force them to match the 7.5% paid by the employee. That will raise the total payment into the treasury at 25% of the employees salary. Imagine what impact this will have on smaller businesses and employment. It is a guaranteed economy buster.

I meant to say also that investment of our 401Ks in "special governemt bonds" means that the government is borrowing against it. The very day such a transfer takes place, the full value of those 401Ks becomes available for government spending.

4thhorseman you got it exactly right.

This article needs to be sent to every media person such has hannity, rush, glenn beck, o'reilly etc. Send this article to everyone in your email address. print it out and take it to work so your co-workers get a good idea.

My husband works part-time at HD. Lots of young kids there that are what we call "sound bite voters." They were blaming the Repubs for the financial crisis. So he asked them, "how did they do it?." Of course they couldn't answer. So he filled them in on the 2004 House banking committee and who actually caused this problem and gave them names. They sat there not knowing what to say. Then he said what to do you think of a candidate going to a foreign country to campaign. People who can't vote? This guy will turn the country over to a global currency and to a global government. Their eyes widened and they said, "I don't like that. I don't like that at all." Then give them the FACTS that China and France two weeks ago called for a ONE WORLD CURRENCY AND A ONE WORLD GOVERNMENT. Obama would go for it.

I would suggest you give FACTS. The sound bite voters don't know what to do with facts. Have the YouTube link to give them of the House Committee hearing with the Dems undermining regulation on Freddie Mac and Fannie Mae. Give them Franklin Raines $90 million in his pocket and advising Obama. Give them facts.

IN FACT. I would print out 4thhorseman's comments to and attach it to the above article. Let's get this out. We can do it.