[quote]The U.S. Treasury and Labor Departments will ask for public comment as soon as next week on ways to promote the conversion of 401(k) savings and Individual Retirement Accounts into annuities or other steady payment streams, according to Assistant Labor Secretary Phyllis C. Borzi and Deputy Assistant Treasury Secretary Mark Iwry, who are spearheading the effort.[/quote]
This scares the daylights out of me...I have a very modest IRA and 18 months before I can get at it without a tax penalty. If we are 'forced' into some federal scheme like an unsecured annuity, first the return is reduced vastly by inflation and second the increase in the fund will be at the treasury rate, way below the market....My $50K, which I was hoping to tap at $6K a year until I hit full SS age, will become some tiny amount much later not indexed for inflation.
It would be pure government theft.
I would have to pull my money early and pay taxes at an extortionist's rate.
Just what kind of a government are we creating?
I have read other articles on this scheme and discounted them as wild ravings but this is source to too many business sources to blow it off.