Thread: Steveg's Account Talk

Originally Posted by steveg

Anyone on here want to chime in with their values?

I'll go out on a limb and say you've seen the highs for the year and 520 for the low.

OK -- the numbers are in.

17 of our "co-horts" here from our office chimed in, and here are the averages...

914 -- S&P high for the year, going forward...(lowest, 825; highest, 1005)

641 -- S&P low for the year, going forward...(lowest, 480; highest, 735)

793 -- S&P close, Dec. 31, 2009...(lowest, 600; highest, 930)

Thanks for your input, justbizness45. Anyone else want to weigh in?

Steve

P.S. I'm watching for CP's forecasted short-term rally into the low 800s. I'm still 33% in C, bought in at 789. If we close at or above 820, and are up the next day prior to the trade deadline, I'm selling that 33% and going all G again. I think it's a lock that we go below 700 before long...

Well, looks like my hope for a rally to 820 or so is gone -- in fact, I agree completely with CP's latest chart. The guy swan-diving off the cliff on his chart pretty much sums up my outlook on the market from here forward...

So, it looks like I'm waiting for my next buy opportunity -- I'll probably throw in another 15-30 percent or so once we reach the upper 600s or thereabouts...

Steve

Hey --

Has anyone else heard anything about a plan floating around in Washington somewhere, where they are considering replacing all the $ lost in 401(K)s, but on the condition that you'd have to agree to "sign over" your 401(K) to the government -- for them to distribute to you at some fixed rate upon your retirement?

I have just heard bits and pieces, but wanted to know if anyone can confirm and/or add more details. NOT, mind you, because I would consider such an offer. NO WAY am I signing over ANYTHING to the government. It's just that if this is being floated, it will further raise my suspicions of what this administration is up to.

Is there anyone else here who, like me, fears that somewhere down the road, the "rules" will be re-written, such that retirees with decent 401(K) balances will be deemed "rich" -- and thus subject to an overwhelmingly-imposing tax burden on these retirement accounts (some type of "special" tax), as opposed to standard income tax rates? I also hear alot of folks talking about putting less into 401(K) plans in favor of Roth IRAs -- as they rightly feel that the tax rates will be higher later, than now -- and thus would rather pay taxes on the money now instead of later. While this makes sense on the surface, can some one tell me exactly what it is that would prevent THOSE rules from being re-written also -- such that you are taxed NO ONLY on the front end, but then on the BACK END as well (instead of tax-free withdrawals)? I absolutely feel that both of these scenarios (the 401(K) "special tax" and the Roth IRA rules being re-written to allow taxation upon withdrawal) WILL occur; I simply don't know what recourse we have. I don't think there will be ANY way to shelter our lifetime savings from a crippling future tax burden. Maybe putting it under the mattress, or in mason jars in the back yard -- while getting killed as the real value of the cash becomes less and less due to inflation -- might still be better than what will likely be a massive future tax burden on our savings. After all, SOMEONE is going to have to pay for the trillions and trillions of dollars of money being printed and tacked directly to our national debt -- in order to "bail out" the liars, cheats, and greed-obsessed...

Steve

Social Security II ?

SteveG,

You are referencing a brilliant plan by some slug that appeared before Congress in August 2008 - if my addled mind is correct.

The plan hinged on an offer to replac 401(k) assets with something like a ‘G Fund’ with a government guaranteed interest rate. Then you, your employer, and the government would each put money in the fund. And, if I remember correctly, the annual limits were like $4/5000. An additional - and truely wonderful - element of this brilliant idea is that those who elect to remain in their 401(k) plans would have their tax breaks scaled back. You don’t want to be hiding too much casholla from the Governments Needy Hand!

Just think, your money would double in 16 years

Had I been in that plan for the last twenty years I would be well on my way toward a mid-grade Alpo dinner menu in my golden years

Well lets see. You crack smokers do such a fabulous job managing the huge tax revenues that you currently collect that I would love to go into a partnership in which case sounds like SS2 and since you are doing such a great job with that I think I will double down.
NOT. GO AWAY YOU MORONS

Boghie --

Thanks for the info.

Sounds like you guys are about as fond of such an idea as I am...!!

Steve

Like WorkFE, I feel extremely confident in the Federal Government managing my retirement in the 'Gore Lock Box'. The joy of using assets in my CongressCritter managed 'Lock Box' for Global Warming Alleviation efforts - such would be an investment, of course /sarcasm

Here is a deal I would offer our Gubmint.

I will offer not to accept ANY Social Security Benefits - even though I have paid into the 'benefit' for 25 years - if you allow me to redirect half of my Social Security payments into my TSP account. I would also require that the government make no new demands on me regarding Social Security payments or contributions or any term lawyers can think of (increasing the SS limit or the percentage of my income going to the boondoggle).

So, the Feds would keep half of my benefits and not have to pay me anything at any time. I would get an immediate 7.5% increase in contributions toward my 401(k) (TSP).

And, I would not be forced to an economic life on the Lilly Pad. Nor would I be forced to live on whatever the Gubmint thinks I should live on. I mean, someday those schlumps (me too I guess - yuk, yuk) are going to jigger the Social Security formula, age, or tax rate so they can keep on chooglin'.

More than a fair deal, wouldn't you say.

Originally Posted by Boghie

Like WorkFE, I feel extremely confident in the Federal Government managing my retirement in the 'Gore Lock Box'. The joy of using assets in my CongressCritter managed 'Lock Box' for Global Warming Alleviation efforts - such would be an investment, of course /sarcasm

Here is a deal I would offer our Gubmint.

I will offer not to accept ANY Social Security Benefits - even though I have paid into the 'benefit' for 25 years - if you allow me to redirect half of my Social Security payments into my TSP account. I would also require that the government make no new demands on me regarding Social Security payments or contributions or any term lawyers can think of (increasing the SS limit or the percentage of my income going to the boondoggle).

So, the Feds would keep half of my benefits and not have to pay me anything at any time. I would get an immediate 7.5% increase in contributions toward my 401(k) (TSP).

And, I would not be forced to an economic life on the Lilly Pad. Nor would I be forced to live on whatever the Gubmint thinks I should live on. I mean, someday those schlumps (me too I guess - yuk, yuk) are going to jigger the Social Security formula, age, or tax rate so they can keep on chooglin'.

More than a fair deal, wouldn't you say.

Sounds like a reasonable plan.......but they have already raided ths SS fund. No more money to give out .....except to the Bankers and AIG

Yeah, Boghie.

Like Gumby said -- sounds like a decent plan, except that I absolutely, POSITIVELY GUARANTEE that our fearless leaders in Washington will NEVER do ANYTHING which would mean taking less money into the Social Security fund. Matter of fact, I'm guessing it's only a matter of time before they completely remove the "wage cap" (set at $106,800 for 2009) on the FICA tax.

Steve