• Tips gratefully accepted here. Thanks!:

  • Recent Comments

    Ivory Bill Woodpecke… on And another thing…
    William on And another thing…
    William on And another thing…
    Ivory Bill Woodpecke… on The next obstacles on the…
    Ivory Bill Woodpecke… on The next obstacles on the…
    Beata on The next obstacles on the…
    Ivory Bill Woodpecke… on The next obstacles on the…
    Colorful Sisters on The next obstacles on the…
    William on The next obstacles on the…
    bellecat on So what?
    MsMass on So what?
    Ivory Bill Woodpecke… on So what?
    MsMass on So what?
    Ivory Bill Woodpecke… on So what?
    riverdaughter on So what?
  • Categories

  • Tags

    abortion Add new tag Afghanistan Al Franken Anglachel Atrios bankers Barack Obama Bernie Sanders big pharma Bill Clinton cocktails Conflucians Say Dailykos Democratic Party Democrats Digby DNC Donald Trump Donna Brazile Economy Elizabeth Warren feminism Florida Fox News General Glenn Beck Glenn Greenwald Goldman Sachs health care Health Care Reform Hillary Clinton Howard Dean John Edwards John McCain Jon Corzine Karl Rove Matt Taibbi Media medicare Michelle Obama Michigan misogyny Mitt Romney Morning Edition Morning News Links Nancy Pelosi New Jersey news NO WE WON'T Obama Obamacare OccupyWallStreet occupy wall street Open thread Paul Krugman Politics Presidential Election 2008 PUMA racism Republicans research Sarah Palin sexism Single Payer snark Social Security Supreme Court Terry Gross Texas Tim Geithner unemployment Wall Street WikiLeaks women
  • Archives

  • History

    October 2017
    S M T W T F S
  • RSS Paul Krugman: Conscience of a Liberal

  • The Confluence

    The Confluence

  • RSS Suburban Guerrilla

    • Surprise!
      Newly released data shows that properties owned by the Trump Organization and Kushner Companies profited from pandemic relief programs: In total, it was more than 25 PPP loans worth more than $3.65 million. https://t.co/O4Ltezu7lj — Kyle Griffin (@kylegriffin1) December 2, 2020
  • RSS Ian Welsh

    • Schools and Covid
      Back in August, when it became clear that schools were going to reopen in countries like the US and Britain that did not have Covid under control, and which never would control Covid until there is a vaccine, I wrote an article warning against going back to school while Covid was out of control. I’d […]
  • Top Posts

Undoing the New Deal

$1,500,000,000,000 is a lot of money. Stuff still needs to get paid for, like excessively large military budgets complete with unnecessary new nuclear weapons.

So, of course they’re gunning for your 401k. If you want to retire someday, become an entrepreneur and make a couple billion dollars. Stop slacking all you whiners.

Here’s the plan:

At the moment, Americans under 50 can put up to $18,000 a year away tax-free in a 401(k), and people over 50 can put up to $24,000. The money can be invested in stocks, bonds or other funds. Over time, the money grows, creating a nice nest egg. People only have to pay taxes when they take the money out in retirement. Reducing the threshold to $2,400 is likely to dissuade some people from saving at all or saving more than that low amount, Rutledge says.

The main reason this idea is under consideration right now is not because Republicans are focused on improving retirement savings. Instead, they need money to pay for large tax cuts. The 401(k) tax break “costs” the government $71 billion a year in lost tax revenue, according to the Tax Policy Center, a think tank. Reducing the tax break is one way for the government to get more money, potentially over $700 billion in the next decade.

Another option is to “Rothify” retirement savings in America, meaning Congress would change the rules so any money that people put away for retirement above $2,400 would be taxed up front. This is how Roth IRAs (IRA stands for “individual retirement account”) work. People can only put after-tax dollars into Roth IRAs, though they don’t pay taxes on money they withdraw later in life, as they do with regular IRAs and 401(k)s. It’s a way for the government to get revenue sooner.

“I’m strongly against it as a budget gimmick,” says Marc Goldwein, senior policy director at the Committee for a Responsible Federal Budget, says of the 401(k) proposal. “It makes it look like we are raising revenue today when, in reality, we’re just shifting tax money from tomorrow to today.”

That’s right. It’s a tax increase for about $62 million of us.

I can just see the smug Trump voters who are shrugging and saying, “And that affects me… how, exactly??”

Also included are cuts to Medicare, raising the eligibility age.


All so some insanely wealthy people can keep more of their insane wealth. They’re just going to sit on that pile like greedy dragons if there are no incentives to invest it in American workers. Have you heard anything about that? No, you have not. And you want to know why? Because there is no such plan.

Party like it’s 1929!!


Well, it’s not like we didn’t try to warn people.