Obama to workers: We'll help you save

Obama to workers: We'll help you save

money.cnn.com

President Obama on Saturday announced changes that the IRS plans to make to encourage workers to save more of their paychecks.

(visit the link for the full news article)

So....

To be honest, I don't want to trade in my sick days for retirement money in dollars that are steadily losing their value anyway....

Auto enrollment in retirement plans: To make it easier for smaller and medium-sized employers to automatically enroll workers into retirement plans, the administration will clear up some bureaucratic paper-work hurdles for employers to offer that option. Employees could still choose to opt out of the retirement plans.

Saving tax refunds: To make it easier for those owed tax refunds to save, the IRS will allow tax filers in 2010 to recoup their refund by issuing U.S. savings bonds.

Sick days and vacation time become 401(k) money: To make it easier for workers to rack up savings, the White House will make it easier for employers to convert (or allow workers to convert) unused vacation and sick leave pay into 401(k) contributions.

money.cnn.com
(visit the link for the full news article)

[edit on 5-9-2009 by HunkaHunka]

The US Personal Savings Rate was at its lowest in Q4 of 2001, at less than 1%. As of Q2 2009, the BEA puts it at 5%. The people are already saving more. This is just more government meddling in areas that they shouldn't be.

Encouraging retirement savings by making it easier to convert sick and vacation days to 401(k) funds? What the hell? Is the market that shaky? Because that is what this plan says to me...a desperate attempt to get more funds out of the pockets of the people and into the market. Or, into the hands of the government. If they give you the 'tax refund' in electronic EE bonds, they'll be redeemable at face value immediately, but you lose the last 3-months interest if you redeem before five years. On the other hand, if they send them to you as paper bonds, they're worth about 1/2 of face value until they mature.

Sorry, I'll pass. I prefer to slightly underpay my withholding and then send a check at the end of the year.

I think i'm missing something because I'm lost. Was there supposed to be an article attached?

reply to post by exile1981


Try clicking on the link...

Originally posted by HunkaHunka

Obama to workers: We'll help you save

money.cnn.com

President Obama on Saturday announced changes that the IRS plans to make to encourage workers to save more of their paychecks.

(visit the link for the full news article)

Obama sure is a hippocrite! He has treated the nations money supply like it was a credit card and has been like a crazy woman on a spending spree yelling "Charge it!!!" And now he wants US to save???? Is he on crack?

reply to post by rangersdad


You do realize that you really have no choice but to save, yes?

It's so they can have access to your money. The need more money to screw around and fight wars with. It sure beats calling it a 'tax'

It'll be too late though.

Originally posted by kreinhard
Encouraging retirement savings by making it easier to convert sick and vacation days to 401(k) funds? What the hell? Is the market that shaky? Because that is what this plan says to me...a desperate attempt to get more funds out of the pockets of the people and into the market. Or, into the hands of the government.

Oh yes, that's absolutely the plan. Refill the pockets of the bankers and corporations by pumping more (of your) equity into the stock market.

Saving tax refunds: To make it easier for those owed tax refunds to save, the IRS will allow tax filers in 2010 to recoup their refund by issuing U.S. savings bonds.

This is nothing more than an IOU in disguise. Big trouble brewing when the people realize the government can't pay back the money it owes them (overpaid taxes).

Sorry, I'll pass. I prefer to slightly underpay my withholding and then send a check at the end of the year.

Wisest thing I've read here in a while.

Many of these plans have become corporate slush funds.

Even though pension plans are backed by insurance through the Pension Benefit Guaranty Corporation, workers whose company enters bankruptcy may not receive the full value of their pension. ERISA protection of 401(k) assets does not extend to losses in the value of investments that participants choose. Employees investing their 401(k) in their own employer stock face the possibility of losing the value of their retirement accounts that is invested in employer stock along with their jobs if their employer goes out of business.

Just ask the workers at Enron, MCI, GM , how there retirement plans are going.

Or how much interest you get on a retirement account at a bank today.
if you are doing good it might be 1.85%. hardly covers bank fees.

Or how many people had there money in stock accounts and lost 1/2 to 2/3ed.