Comments on: America is Saving Too Much

By: DL

DL — Sat, 25 Oct 2008 20:51:41 +0000

The grand design is for the almighty government to capture private 401k monies (Trillions?)and help bail out the soc security system -if we're lucky. If we're unlucky, they'll call it "lock box two" and spend it on social vote buying programs and few will be wise to their conviscation scheme. Anyone who can withdraw their funds, probably ought to before Obama stokes it away with a pen - replicas of which will be sent to friends in the Kremlin.

By: just me

just me — Sat, 25 Oct 2008 12:38:44 +0000

Seems to me it is time to start running against congress-if Obama is going to win, then the best tack to take is don't give him a congress full of idiots like Frank.

And raising or changing the tax structure of savings accounts would have to be one of the dumbest ideas ever.

By: reasonablecitizen

reasonablecitizen — Sat, 25 Oct 2008 11:58:09 +0000

What a quaint notion I have to think that saving money means 'saving money'. At one time, investing meant 'investing'. Now in today's society 'investing in one's retirement' means 'saving'. I just can't keep up with the newspeak. I think civilizations fall because the language gets so corrupted that no one knows what words mean anymore. Perhaps a corruption of the language reflects a corruption of the society. Thanks for reading my lament.

By: davod

davod — Sat, 25 Oct 2008 09:33:20 +0000

I thought the benefit of the 401(k) was the tax deferment, because it allowed you to keep more money in the account accruing interest.

PS: It seems clear that the Dems feel they are going to win big, what with Frank coming out with his tax and spend proposals and now this.

Of course, in the tenor of all those famous Conservatives voting for Obama, we can only hope he has the common sense to veto something that looks like it would be part of his policy, if only he had thought of it first.

By: Little Miss Attila

Little Miss Attila — Sat, 25 Oct 2008 04:03:30 +0000

"Americans Are Saving Too Much."... So if the government takes our money and saves it for us, we'll be better off . . . right?......

By: Steve Verdon

Steve Verdon — Sat, 25 Oct 2008 03:34:16 +0000

A subsidy is a distortion whether it is delivered in the form of special tax treatment or an actual cash payment.

Technically the tax is deferred, so really no subsidy save towards early savings which is usually seen as a good thing. As any politician if the U.S. savings rate is too low and most would say yes...then they advocate a policy like this.

By: John Burgess

John Burgess — Sat, 25 Oct 2008 02:45:23 +0000

Would I have to worry about the Secret Service visiting my home if I stated I'd like to see a meteorite take out the entire Congress in one fell swoop?

If so, then I'm not going to say it out loud, just into a paper bag.

By: Ugh

Ugh — Sat, 25 Oct 2008 01:54:49 +0000

What a wonderfully perverse world view. Because something is not taxed it is being subsidized.

If 95% percent of income is taxed and 5% iss untaxed, the 5% that is untaxed has received a subsidy just as much as it would have if 95% of income was untaxed and 5% was subsidized. A subsidy is a distortion whether it is delivered in the form of special tax treatment or an actual cash payment.

By: charles austin

charles austin — Sat, 25 Oct 2008 01:33:53 +0000

Correct.

By: Michael

Michael — Sat, 25 Oct 2008 01:06:26 +0000

IIRC contributions to those are with after-tax dollars so I don't think they'd be impacted, but you'd better check that.

But interest on a Roth IRA is taxed at a lower rate than a traditional IRA. Charles was probably wondering if the Congressmen are looking to do away with that as well.

By: Steve Verdon

Steve Verdon — Sat, 25 Oct 2008 00:20:21 +0000

IIRC contributions to those are with after-tax dollars so I don't think they'd be impacted, but you'd better check that.

By: charles austin

charles austin — Sat, 25 Oct 2008 00:16:19 +0000

I wonder how they feel about Roth IRAs?

By: Jeffrey W. Baker

Jeffrey W. Baker — Fri, 24 Oct 2008 23:49:12 +0000

Looks like you've got plenty of time on your hands, but not enough to retract your B.S. headline from yesterday.

I've already changed it. If you insist on making further off topic posts in the comments to this post I will delete them.--SJV