This is socialism people. It is here already.
Just a couple of weeks ago I commented on how Argentina is going to nationalize the private pensions (i.e. IRA, 401ks) of its citizens so they can fund their bankrupt government that is spending too much money. The WSJ link I posted speculated whether this could happen in America since the government here is getting involved more into banking and even buying stakes in banks and insurance companies.
Apparently, I didn’t know our government was already plotting to steal our retirement accounts. The House Democrats want to seize the money that workers currently invest in their 401(k) plans and replace the popular retirement savings accounts with a one-size-fits-all government sponsored retirement account. Under the new scheme, Americans would be forced to transfer all of their hard earned retirement savings from their 401(k) to the government:
James Pethokoukis of U.S. News & World Report writes:
House Democrats recently invited Teresa Ghilarducci, a professor at the New School of Social Research, to testify before a subcommittee on her idea to eliminate the preferential tax treatment of the popular retirement plans. In place of 401(k) plans, she would have workers transfer their dough into government-created “guaranteed retirement accounts” for every worker. The government would deposit $600 (inflation indexed) every year into the GRAs. Each worker would also have to save 5 percent of pay into the accounts, to which the government would pay a measly 3 percent return.
Socialism is here. You asked for it people with your votes on November 4, 2008.