Your Retirement Account Looks Delicious

Here’s one way to solve the national debt problem: re-write the rules governing private retirement plans like the 401k.

They’re thinking about it. From the Washington Times:

The $19.4 trillion sitting in personal retirement accounts like the 401K may be too tempting an apple for a government that is quite broke, both monetarily and morally. The U.S. Consumer Financial Protection Bureau director Richard Cordray recently mentioned these accounts in a recent interview, stating “That’s one of the things we’ve been exploring and are interested in, in terms of whether and what authority we have.”

This is how they’re going to proceed: with bureaucratic regulations and rule-writing. They won’t take the money, of course. They’d just regulate it for safety:

If the government takes control of retirement accounts, it will not be called “nationalization.” There will most likely be an indecipherable document that provides an opt-out option (initially), but why would you want to do that? The US government only wants to ensure the safety of your retirement funds; they did after all create a new bureaucracy for that specific purpose. And what could be a safer investment than US bonds?

It would go like this: the government is going to protect you from yourself and your bad investments by forcing you to invest your retirement money in the brokest nation in history. In return, the government will take your cash and pay down the national debt, free up some extra money for “investments” in whatever it is that Barack Obama wants to invest in (with your retirement money) and wrap it all up in guise of “protecting” the consumer from scams.

Although a bigger, more dishonest, more predatory scam than this simply cannot be imagined.