Thread: MYRA -OBAMA ANNOUNCED A NEW PROGRAM THAT REQUIRES NO CONGRESSIONAL APPROVAL: HERE’S W

OBAMA ANNOUNCED A NEW PROGRAM THAT REQUIRES NO CONGRESSIONAL APPROVAL: HERE’S WHAT YOU NEED TO KNOW

Jan. 31, 2014 9:37am
Becket Adams
President Barack Obama announced this week that he would establish a program to help low-income earners save for retirement.

But the new “starter” savings program — called “My Retirement Account” (myRa), for “my Individual Retirement Account” (IRA) — has left a few analysts skeptical.

“His proposal might do some good — not by helping workers, most of whom are unlikely to take advantage of it, but by spurring a discussion about how to fix a broken retirement system,” the
Bloomberg editorial board said.

Others are more apprehensive.

“It’s a trap. It will make your savings highly visible to the government, very vulnerable to future special taxes and it drives investments in the direction of financing the government with your savings, rather than the productive private sector,” the Economic Policy Journal said after the president unveiled the plan. “That’s what myRA is all about.”

The program is aimed at Americans who lack the start-up funds required for many commercial IRAs.

“Starting with as little as $25, savers are expected to invest a little each month in Treasury bonds and then convert the accounts into traditional IRAs once the savings grow,” the Associated Press reported. “The president said that he wants all workers to be automatically enrolled in IRAs unless they specifically opt out. Under one scenario, monthly paycheck deductions would be invested in bonds unless workers choose another option.”

But as the Bloomberg editorial board said, participation in the new program will probably be far below expectations — unless people are forced into it.

“Without compulsion or inducements, participation in MyRAs is likely to be small. Fewer than one in 10 workers who are eligible to contribute to existing Individual Retirement Accounts bother to do so,” the board said.
Further, it’s important to note that the White House technically does not need congressional approval to start the program. According to Bloomberg, this is both a good thing and a bad thing.

“It’s good because it means something will happen; it’s bad because without legislation, the government can’t make employers offer the plans or tell workers they’re covered unless they choose not to be,” the editorial board said.

Households earning approximately $191,000 annually can deduct money from their paychecks and put it into a retirement fund that pays roughly the same interest rate as retirement funds available to federal workers.

“Savers would contribute after-tax dollars into the accounts, starting with as little as $25. They could opt for contributions as low as $5 a paycheck,” the AP adds. “New retirement accounts being set up by the Treasury Department would target workers whose employers don’t offer retirement benefits or who haven’t started saving yet for old age.

Treasury expects to have a pilot program working by the end of the year.”

Unsurprisingly, Zero Hedge has a very dim view of the initiative: “[S]ince it offers ‘guaranteed return and no risk’ we now know where all the Fed’s bond trades will go to work once [quantitative easing] ends.”

But here’s the thing: The president was a little more careful with his words when he explained program’s “guarantees.”

“Today, most workers don’t have a pension. A Social Security check often isn’t enough on its own. And while the stock market has doubled over the last five years, that doesn’t help folks who don’t have 401ks,” the president said during his State of the Union address Tuesday.

“I will direct the Treasury to create a new way for working Americans to start their own retirement savings: myRA. It’s a new savings bond that encourages folks to build a nest egg. MyRA guarantees a decent return with no risk of losing what you put in,” he added. “Offer every American access to an automatic IRA on the job, so they can save at work just like everyone in this chamber can.”

For now, unless tweaks are made to the program, workers who want to open a MyRA account must first make sure their employers agree to participate.

The White House admitted Wednesday that no businesses have actually committed to enrolling in the program. Further, Treasury Secretary Jacob Lew was unable to say how many Americans are expected to open MyRA accounts.

“We think this fills a space that, very importantly, we can do by our own authority,” Lew said.

Still, the White House said the program will cost practically noting and remains optimistic businesses will sign on to participate.

“These new accounts will open up access to tax-advantaged retirement savings vehicles that many people do not currently have access to because of cost-prohibitive barriers,” Jamie Hopkins, a professor in the retirement income program at the American College, told The New York Times, adding that the maximum amount people can save — roughly $15,000 — is fairly limited. “This is relatively small and for most people won’t make a significant impact on their retirement preparedness all by itself.”

“[T]his will not solve the retirement income shortfall that exists in the U.S.,” he said, adding that it may still be “a step in the right direction.”
But because the program relies on paycheck deductions, businesses that don’t use automatic payroll systems will be excluded unless and until the administration develops a new system for them to participate, according to the AP. This raises obvious questions about how far the White House will go to adjust the program without congressional approval.

“I could do more with Congress, but I’m not going to not do anything without Congress,” Obama told a crowd of workers Wednesday at a steel plant in Pennsylvania.

http://www.theblaze.com/stories/2014/01/31/obama-announced-a-new-program-that-requires-no-congressional-approval-heres-what-you-need-to-know/

1. In a fiscal collapse... Obama will confiscate all 401K and IRA's ... to include MyRA

2. He armed the hell out of Federal agencies to include the Social Security Offices which leads me to believe he will either Halt or severely reduce Social Security in the Event of a Collapse

3. Either way; I see it as another scam to get as much money out of the population as possible before Barry brings it all down

Social Security is the only cash slush fund that they all "borrow" from now but the MYRA would give them another slush fund. Once the money to the account, it only numbers on paper. this is an argument for gold but it makes good points.

Obama’s MyRA Scam: Your Savings Pays for US Debt



The Government Needs A New Source for Funds



Written by Damon Geller
In one of the most shocking State of the Union Addresses in recent memory, President Obama announced he will create a new kind of retirement account – the MyRA – which usesyour retirement savings to buy U.S. Treasures and pay for U.S. debt. Obama’s announcement follows a number of startling events which demonstrate how desperate the government is becoming: with nowhere else to turn, the government is making a last-ditch effort to seize personal savings & retirement to fund the nation’s insurmountable debt. And there’s only ONE thing you can do to stop it from happening.

The U.S. debt, not including unfunded liabilities, is over $17 trillion dollars. And the U.S. Treasury estimates our debt to go over $28 trillion by 2018! In order to finance this debt, the Federal Reserve has been buying 90% of the U.S. Treasury market through money-printing stimulus, to the tune of $80 BILLION per month for the last several years. And we all know that the Fed has begun tapering its stimulus program because they can no longer afford to fund the national debt.So if the Fed is going insolvent, who do you think the government will lean on to pick up the slack? The answer is YOU. 10,000 Baby Boomers will turn 65 years-old every day until 2030. And while the government has a debt problem of $17 trillion, not so coincidentally, our country's IRAs, 401Ks and other retirement accounts amount to right around$19 Trillion. What a convenient resource for the Federal Government!So the federal government is licking its chops staring at YOUR share of the $19 trillion in retirement savings. Now, if there were only a way for them to get access to your money…

Master Plan, Stage 1: Get YOU to Finance the Debt

Obama suddenly announces in his State of the Union Address that he’s got a great “no risk” idea for Americans saving for their retirement. His exact words: “I will direct the Treasury to create a new way for working Americans to start their own retirement savings: MyRA. It’s a newsavings bond that encourages folks to build a nest egg. MyRA guarantees a decent return withno risk of losing what you put in.”In other words, YOU the American taxpayers will start buying U.S. Treasuries because the insolvent Fed can no longer do so. Whenever anyone tells you an investment is “no risk,” you know you’re being sold another Wallstreet.gov scam. No risk? Nonsense. If you buy a 10-year Treasury bill now, you’re locked in at a low interest rate – a rate that has been kept artificially low by Fed stimulus. Well, Fed stimulus is ending. And that means we’re headed into an inflationary environment where interest rates have nowhere to go but up. So in other words, your bond investments lose significant value EVERY SINGLE YEAR. Hardly no risk.And how do you feel about investing in a mountain of unsustainable debt? Most experts (and anyone with common sense) have demonstrated how our national debt levels can NEVER be paid off. And now, those same experts are predicting the imminent collapse of the U.S. dollar as the world’s reserve currency. So if the market for U.S. Treasuries is drying up and the demand for U.S. dollars implodes, does investment in America’s debt seem like a “no risk” move to you?
Master Plan Stage 2: Confiscation of Retirement Accounts

So, what happens if you’re not willing to invest in Obama’s MyRa? How does the government get the funding it needs to continue financing and growing the debt? The answer: FORCE you to make your retirement funds accessible to the government.If you do some research on US Bill “HB5337,” you will find the plan to nationalize retirement wealth. On May 6, 2012 Lauren Schmitz, a research analyst at the Bernard L Schwartz Center for Economic Analyst (SCEPA), introduced HB5337. This 401(k)/IRA de-privatization is the brainchild of Teresa Ghilarducci, whom through funding from the White House and the Ford & Rockefeller Foundations engineered a new “Regulatory & Tax Incentive.” The purpose is to force Americans to convert their Retirement Accounts into Government Managed accounts.The government will nationalize retirement accounts like IRAs, 401Ks, pensions, 403Bs, etc. so that you will be forced to use a portion of your retirement wealth to purchase U.S. government debt – debt that will ultimately default, as it is not possible to sustain our astronomical debt nor the deficits that create it.This plan to nationalize private 401K and IRA retirement accounts is being deceptively publicized as the government protecting the public against business failings or state bankruptcies. But the reality is, your cash, your retirement funds, your bank deposits and your investments are at huge risk of being confiscated by the government through some contrived reason or another.

The Only Way Out

So the government is giving you two options: fund the debt willingly, or fund the debt by force.Given those two “options,” it might seem like you have no control over your savings & retirement. But don’t be fooled – You DO have control. You can REMOVE a portion of your savings & retirement from a financial system on the brink of collapse and store your wealth instead in the ONE asset that lives outside the madness, CAN’T be harmed by the debt disaster or dollar collapse, CAN’T default, and CAN’T be confiscated with the stroke of a key on a computer:

REAL PHYSICAL GOLD AND SILVER.Gold isn’t a debt instrument and isn’t made of paper,Gold rises in value as the national debt increases.Gold rises in value as the dollar falls.Gold rises in value as inflation kicks in.Gold is out of the government’s view and private.Gold has outlasted every paper currency the world has ever known.Gold triumphs when nation’s fail.
http://www.wholesaledirectmetals.com/index.php/gold-blog/609-obamas-myra-scam-your-savings-pays-for-us-debt/?cid=LastResistanceSponsored