BY ANTHONY J. BAZZO
OF YORKTOWN NEWS
TITLE: WHO’S MONEY IS IT?
A few things that I have posted on my political blog BAZZO AT WORK weeks and moths ago have finally made it to the main stream media. However it by design or coincidence was mentioned while the main coverage was about the Boston Massacre and the first NBA player to announce he was gay. This is one of the main reason’s political blogs across the spectrum of political thought are important and a danger to a controlling government and a media that wants a monopoly on the news.
No matter where your political thoughts lay, I would urge you to “favorite” certain blogs to find out for yourself what is really going on. Some of my main sources of information and which I would recommend are The Drudge Report, The Huffington Post, Politico, The Heritage Foundation. It is why I have been able over these six years to stay ahead of the curve. Locally at BAZZO AT WORK the press releases of your local governments and officials unedited. You will find the agenda’s of your local government meetings, such as planning boards and zoning boards. Plus special announcements of upcoming town events. Also your County governments weekly agenda can be found their. Understand, before most news of a political nature makes it to the Internet or print, they start out as these press releases.
I mention this because, as I said, months and weeks ago, I posted reports of the Federal Governments proposals to cap your 401 (K)’s and tax your on line purchases. These proposals are only seeing the light of day now, buried under more pressing news as deemed by the main stream media.
TAXING INTERNET PURCHASES:
The reason why the government wants to tax your Internet purchases is because they say that States and the Federal Government are losing multiple billions of dollars. They say that brick and mortar stores are at a disadvantage because they have to pay taxes Internet companies don’t. So taxing the Internet is a matter of fairness.
So in government think, sharing economic fairness means increasing the bourdons on business. Instead of easing the bourdons on brick and mortar businesses the government must increase the bourdon on Internet businesses. They must make it harder to make a buck, because in government think, profit is a crime.
You don’t believe me? How often have your heard or seen the phrase “greedy business”? Mind you businesses pay higher taxes on profits and property. Mind you businesses, all types pay all FICA taxes you see deducted on your pay stub. Mind you both New York State and the Federal Government wants to increase the costs of employment by raising the minimum wage. Mind you the Obama Care taxes hit businesses the hardest. The government’s business is to make it harder for you to do business. This prolonged recession and ridiculously high unemployment are directly related to the anti-business climate out of Washington and New York.
Obama’s and the Democrat’s new budget proposal aims to limit your nest egg by setting a cap on the amount of contributions you can make over the term of your life to $2.7 million. $2.7 million would be the maximum size of your 401(k).
Looking at the history of the 401(k). What you could do was designate a certain percentage of your gross income to your 401(k) or IRA. And it was tax-free. That amount that you put in your retirement plan would be deducted from your gross earnings, and you would then pay your income tax on what was left. This was done because at the time it was said Americans weren’t saving enough. So this was an incentive. The other stated purpose of the plan was for people to be able to provide their own retirement, and put less pressure on Social Security.
Like the reason for taxing the Internet, the Federal Government believes they are losing multiple-billions of dollars in tax revenue you are able to deduct. So here’s their proposal. The government will purchase everybody’s 401(k) or IRA at the value it was before the crash of 2008. They’ll just give you that amount of money, and it goes into an account, and then you can no longer make any contributions to it. It only will grow by virtue of a government promise of one to 3% growth every year. That’s it. No matter how the market index grows, doesn’t matter,.
The second aspect is this. The maximum size any plan can be, any total account can be is $2.7 million.
Theoretically, this will generate an annual income of $200,000. So according to Obama and the Democrats, that is all you need to live on. They wish to codify into law, how much retirement income you will be allowed to have.
MY TWO CENTS:
Both these proposals come from the perspective that all money earned belongs to the government FIRST!
The government is in deep doo-doo. It’s not Obama’s fault. it’s not Congress’ fault, it’s not the government’s fault because their irresponsible. It’s your fault for wanting more money than the government deems you need.
My publisher has mentioned to me an number of times that I should not keep blaming Democrats for everything. That I alienate readers by doing so. Yet when proposals are seriously being considered and are being proposed by one party, what am I suppose to do? Let you think all party’s are equal. In one respect there is a difference. Democrats believe that all prosperity comes from government so all income belongs to the government for them to decide who will be life’s winners and losers. Republicans do not. On these issues of economics I side with Republicans and do not wish for the Democrats to decide how much money I need to live out my golden year to which I am getting closer to every year. This what I say, what say you?