You wanna know how it works?

OK, here's how it works.  
You are probably at stage two or three right now:

  1. You read or hear from a friend about some particular thing, and you think to yourself, "That will never happen here."
  2. Time goes by, and you hear about the same thing again.  You try to remember when and where you heard it before, and the thing you thought could never happen here, changes to something that has a remote possibility of happening here. 
  3. More time passes, and you start hearing about the particular thing with increasing frequency.  You start consider that the thing that you thought would never happen here, now has a definite possibility of happening here.
  4. The Republicans, do a really lame job of trying to prevent/stop such a thing from happening.
  5. The thing you once thought could never happen here, becomes reality.
You've seen it happen over and over again, during the past seven years.  Watch it happen with this: 

source: Zerohedge

Here's Why (And How) The Government Will "Borrow" Your Retirement Savings


1) Borrowing retirement funds is becoming a popular tactic.

Forced loans have been a common tactic of bankrupt governments throughout history.

Plus there’s recent precedent all over the world; Hungary, France, Ireland, and Poland are among many governments that have resorted to ‘borrowing’ public and private pension funds.

2) The US government has already done this with federal pension funds.

During the multiple debt ceiling fiascos since 2011, the Treasury Department resorted to “extraordinary measures” at least twice in order to continue funding the government.

What exactly were these extraordinary measures?

They dipped into federal retirement funds and borrowed what they needed to tide them over.

In fact, the debt ceiling debacles were only resolved because the Treasury Department had fully depleted available retirement funds.

3) They’ve been paving the way to borrow your retirement savings for a long time.

Two years ago the government launched a new initiative to ‘help Americans save for retirement.’

It’s called MyRA. And the idea is for people to invest retirement savings ‘in the safety and security of US government bonds’.

Since then they’ve gone on a marketing offensive involving the President, Treasury Secretary, and other prominent politicians.

(Most recently Nancy Pelosi published an Op-Ed in the San Francisco Chronicle a few days ago promoting the program.)

They’ve also proposed a number of legislative reforms to ‘encourage’ American businesses to sign their employees up for MyRA.

Just last week, Congress introduced the “Making Your Retirement Accessible”, or MyRA Act, which would charge a penalty to employers whose workers don’t have a retirement account.

The proposed penalty is $100. Per worker. Per day.

Imagine a small business with, say, 10 employees who don’t have retirement accounts. The penalty to Uncle Sam would be a whopping $30,000 PER MONTH.



3 comments:

  1. That's the route I think they'll take. Ending cash, financial haircuts...if you push that too hard eventually politicians will end up hanging from lamp posts.

    But a mandatory RRSP? Why - it's for your own good, dontchya know!!!! Think of all that money you will have when ya go for retirement!!!! And of course, that money will disappear before you can collect. I ended all RRSP contributions over a year ago and started buying silver and hoarding cash and supplies. I don't know what else to do...

    ReplyDelete
    Replies
    1. Hit the comment button instead of reply button again. See my reply below.

      Delete
  2. You are a smart man. In the near future, many people will regret not taking the same course of action.

    ReplyDelete