What happened to all of the doom and gloom economic threads?

[richard_daily]

Did he really just say that he cashed out his 401k for the safety of interest-bearing accounts - while also not touching his 401k?

Yes. He's talking out of both sides of his mouth...

And bullshit is dripping out of both of them.

 

[richard_daily]

Proof positive that AJ sold his 401k. Of course he never mentioned doing so until long after the market bottomed out.




But this slightly conflicts with what he just said here:

More proof.



And the reason he cashed out his 401k was because Obama was a-commin' for it!

Ouch.

His face must sting from getting slapped like that.

 

[mercury14]

Ouch.

His face must sting from getting slapped like that.

Obama is coming for your 401k. Breitbart (God rest his soul) said so, so it must be true.

The hilarious thing about AJ's cashing out his 401k to avoid the government taking his money is that he had to pay tens of thousands in needless early withdrawal fees to the government. Not to mention a ton of taxes up front.

Early 401k withdrawals are taxed at one's regular income tax rate, not the capital gains rate. This is because it was once tax-exempt and suddenly it is taxable. Additionally there's a 10% penalty. So let's say AJ cashed out $200,000 and he's a 28% tax rate person.

- That's $56,000 in taxes he had to pay
- Plus $12,000 in state taxes if he lives in a 6% tax state
- Plus $20,000 in early withdrawal penalties

So in an effort to keep government out of his pockets he gave the government $88,000.

 

[zipman]

Yes, it is. Every business has to maintain a certain profit margin.



Yeah, we moved a lot of it into fixed accounts and they beat the market.

You lied about what I said. Shut up or prove your case.

Show us that I put everything into GOLD.

That was your big lie...

It sure looks like you lied about cashing in your 401k.

 

[Dribble]

Funny thing about our right-wingers here...they inadvertantly keep providing proof that they have nothing or next to nothing. Isn't the internet great?

 

[mercury14]

Funny thing about our right-wingers here...they inadvertantly keep providing proof that they have nothing or next to nothing. Isn't the internet great?

I agree. It's obvious that AJ has next to nothing invested. Especially after he handed the government tens of thousands in taxes and early withdrawal fees for no reason.

 

[richard_daily]

Obama is coming for your 401k. Breitbart (God rest his soul) said so, so it must be true.

The hilarious thing about AJ's cashing out his 401k to avoid the government taking his money is that he had to pay tens of thousands in needless early withdrawal fees to the government. Not to mention a ton of taxes up front.

Early 401k withdrawals are taxed at one's regular income tax rate, not the capital gains rate. This is because it was once tax-exempt and suddenly it is taxable. Additionally there's a 10% penalty. So let's say AJ cashed out $200,000 and he's a 28% tax rate person.

- That's $56,000 in taxes he had to pay
- Plus $12,000 in state taxes if he lives in a 6% tax state
- Plus $20,000 in early withdrawal penalties

So in an effort to keep government out of his pockets he gave the government $88,000.

Yes, but a savvy investor like AJ surly made that 88k back many times over. He's a self-made man.

He probably invested in alpacas or race horses, or something that was a sure thing to triple his money in just 60 days.

 

[JohnnySavage]

Funny thing about our right-wingers here...they inadvertantly keep providing proof that they have nothing or next to nothing. Isn't the internet great?

What's really funny is that having a 401K just means you've wasted your life as a wage slave.

 

[mercury14]

Yes, but a savvy investor like AJ surly made that 88k back many times over. He's a self-made man.

He probably invested in alpacas or race horses, or something that was a sure thing to triple his money in just 60 days.

Nah, Obama killed the alpaca market. True conservatives invest in Angora bunnies.


http://1.bp.blogspot.com/_TahXQ2WiF0s/SWhMMvU0SYI/AAAAAAAAKoU/qujUQTAYdrs/s1600/Angora+Rabbit+06.jpg

 

[mercury14]

What's really funny is that having a 401K just means you've wasted your life as a wage slave.

I still have a pair of small 401ks from my past lives. Their rates of return are like actually quite good. Glad I didn't cash out in favor of crappy fixed-income investments.

 

[Sean Renaud]

Nah, Obama killed the alpaca market. True conservatives invest in Angora bunnies.


http://1.bp.blogspot.com/_TahXQ2WiF0s/SWhMMvU0SYI/AAAAAAAAKoU/qujUQTAYdrs/s1600/Angora+Rabbit+06.jpg

There's a bunny in there?

 

[JohnnySavage]

I still have a pair of small 401ks from my past lives. Their rates of return are like actually quite good.

*shrugs* The government tells you how much, what, when and for how long you can invest in some commercial product and if you don't follow their rules, they get a cut of the action.

I don't see the point, other than the government has convinced a generation of people this system has advantages over private investing. That's not true and only has a marginal tax advantage. Not enough of one to keep your money tied up or give the government 10% of it to get it back.

 

[unregistered]

 

[JohnnySavage]

UD, call your office:

Inflation: Not as low as you think
By Kathy Kristof


Forget the modest 3.1 percent rise in the Consumer Price Index, the government's widely used measure of inflation. Everyday prices are up some 8 percent over the past year, according to the American Institute for Economic Research.

The not-for-profit research group measures inflation without looking at the big, one-time purchases that can skew the numbers. That means they don't look at the price of houses, furniture, appliances, cars, or computers. Instead, AIER focuses on Americans' typical daily purchases, such as food, gasoline, child care, prescription drugs, phone and television service, and other household products.

The institute contends that to get a good read on inflation's "sticker shock" effect, you must look at the cost of goods that the average household buys at least once a month and factor in only the kinds of expenses that are subject to change. That, too, eliminates the cost of housing because when you finance your home with a fixed-rate mortgage, that expense remains constant until you refinance or move.

More here:

http://www.cbsnews.com/8301-505144_162-57387655/inflation-not-as-low-as-you-think/

What great news!!!! Republican first, American second.

 

[mercury14]

*shrugs* The government tells you how much, what, when and for how long you can invest in some commercial product and if you don't follow their rules, they get a cut of the action.

I don't see the point, other than the government has convinced a generation of people this system has advantages over private investing. That's not true and only has a marginal tax advantage. Not enough of one to keep your money tied up or give the government 10% of it to get it back.

That's not true since the government isn't forcing you to participate in a 401k. They're just giving extra benefits if you follow a few guidelines. If you don't like the guidelines you can just contact your broker and invest like normal.

I forgot that the job I just left had a 401k with 5% employer matching (so I actually have three former 401ks now). That came to a ton of "free" money every year so I just contributed 5%. My investments through the plan have mostly market performed due to putting a large percentage into an index fund.

Was that a bad deal?

 

[JohnnySavage]

That's not true since the government isn't forcing you to participate in a 401k. They're just giving extra benefits if you follow a few guidelines. If you don't like the guidelines you can just contact your broker and invest like normal.

I forgot that the job I just left had a 401k with 5% employer matching (so I actually have three former 401ks now). That came to a ton of "free" money every year so I just contributed 5%. My investments through the plan have mostly market performed due to putting a large percentage into an index fund.

Was that a bad deal?

I think that's what I said wrt to it being nothing but a marketing plan. You don't pay taxes now, but you pay them later... BFD with a relatively flat tax structure, that's no benefit at all. The matching from an employer is nice - but like I said, it indicates you are a wage slave.

Most people hoarding money in a 401K would be much better off paying off their mortgages. The goal should be to hit 65 100% debt free.

 

[unregistered]

 

[JohnnySavage]

Hey, your favorite source The Communist Broadcasting System thought it was important.

How do you know what, if any, is my favorite source? They thought it was important to report one of the many alternative measures of inflation. You squeal with glee at the thought America is going down the shitter. What a great American you are.

 

[mercury14]

I think that's what I said wrt to it being nothing but a marketing plan. You don't pay taxes now, but you pay them later... BFD with a relatively flat tax structure, that's no benefit at all. The matching from an employer is nice - but like I said, it indicates you are a wage slave.

Most people hoarding money in a 401K would be much better off paying off their mortgages. The goal should be to hit 65 100% debt free.

"Wage slave". By that term you're referring to people with jobs that give them paychecks and are not wealthy enough to live off investments a la Mitt Romney?

As to whether people are better off paying their mortgages than using a 401k, it depends on how old the person is, what interest rate they're looking at, what the market does, how much they owe on their property, how much their income is, etc.

 

[JohnnySavage]

"Wage slave". By that term you're referring to people with jobs that give them paychecks and are not wealthy enough to live off investments a la Mitt Romney?

As to whether people are better off paying their mortgages than using a 401k, it depends on how old the person is, what interest rate they're looking at, what the market does, how much they owe on their property, how much their income is, etc.

Here is what I was originally musing about:

Originally Posted by Dribble
Funny thing about our right-wingers here...they inadvertantly keep providing proof that they have nothing or next to nothing. Isn't the internet great?

I made the observation that people with 401K's have spent a lifetime working and scraping and kissing ass and may retire with a million dollars or so (although that's unrealistic as most 401K's are in the 10s of thousands).

The poster Dribble was making a snide comment, that in itself, to me, make him look exactly the same as the righties he is trying to deride.

Not important though and I don't want to argue about it.

 

[richard_daily]

How do you know what, if any, is my favorite source? They thought it was important to report one of the many alternative measures of inflation. You squeal with glee at the thought America is going down the shitter. What a great American you are.

He's an embarrassment to this country.

 

[unregistered]

 

[Ulaven_Demorte]

UD, call your office:

Inflation: Not as low as you think
By Kathy Kristof


Forget the modest 3.1 percent rise in the Consumer Price Index, the government's widely used measure of inflation. Everyday prices are up some 8 percent over the past year, according to the American Institute for Economic Research.

The not-for-profit research group measures inflation without looking at the big, one-time purchases that can skew the numbers. That means they don't look at the price of houses, furniture, appliances, cars, or computers. Instead, AIER focuses on Americans' typical daily purchases, such as food, gasoline, child care, prescription drugs, phone and television service, and other household products.

The institute contends that to get a good read on inflation's "sticker shock" effect, you must look at the cost of goods that the average household buys at least once a month and factor in only the kinds of expenses that are subject to change. That, too, eliminates the cost of housing because when you finance your home with a fixed-rate mortgage, that expense remains constant until you refinance or move.

More here:

http://www.cbsnews.com/8301-505144_162-57387655/inflation-not-as-low-as-you-think/

*laugh*

yes, ignore the actual inflation rate in favor of one that says what you want it to..

 

[Beco]

The Facts--Washington Post

In December, Obama sat down for an interview with Steve Kroft of “60 Minutes.”

The clip in question was never aired on CBS, but the full interview was later posted on the CBS News Web site. (See below at the 55-minute mark.)

During the interview, Kroft laid the groundwork by offering the president words of praise:

Kroft: You definitely have some impressive accomplishments.
Obama: Thank you, Steve.
Kroft: No, you do. And more than a lot of presidents who manage to get reelected. My question is, is it enough? Why do you think you deserve to be reelected?

At the end of the interview, Obama then referred back to that exchange and said this:

"As you said yourself, Steve, you know, I would put our legislative and foreign policy accomplishments in our first two years against any president — with the possible exceptions of Johnson, F.D.R. and Lincoln — just in terms of what we've gotten done in modern history".

Hmmm. Obama’s comment is puzzling on several levels. It took place at the end of the third year of his presidency, but he refers to his first two years. He talks about “modern history” but then includes Abraham Lincoln (a president 150 years ago) on the list.

 

[JohnnySavage]

I do? Show me a post squealing for the downfall of the country, you liar. I have nothing to do with America going down the shitter, that would be you, your vote, your candidate, your party.

You constantly root for Obama to fail, not caring that if he fails we all fail.

MY candidate is Romney and I refuse to be part of a party because I think for myself. I was actually a Republican for 25 years, until it became the party of big government and big spending under Bush II