Bloomberg News reports something Carolina Journal contributor Karen McMahan noticed in November 2008: Interest in some left-leaning circles for a federal takeover of Individual Retirement Accounts and 401(k)s.
Mandating a conversion of private savings to government annuities would be political suicide for proponents (if not an unconstitutional taking by the feds), but Congress could simply sweeten the deal for retirees by limiting the tax benefits provided retirement savings, or providing nice incentives to people who make the switch.
Either way would make individuals even more dependent on future generations for retirement income, tarnishing our “Golden Years.”
Tax Prof blogger Paul Caron rounds up criticism from cyberspace here.
