Washington just dipped into retirement savings to fund itself

Washington just dipped into retirement savings to fund itself

You know things are getting bad when your government begins to stick its hand into retirement accounts just so that it can remain solvent for a few more months.

With the debt limit about to come back into full swing at a staggering $18.1 trillion this week, Treasury Secretary Jack Lew has undertaken drastic measures to kick the can down the road until later this year.

One such plan to fund the government includes raiding the Thrift Savings Plan (TSP), a 401(k)-style retirement savings plan set up for federal employees.

Specifically, the Treasury wants to go after the G Fund, the largest fund in the plan, which contains Treasury securities that help to finance the national debt. As of last month, those securities in the G Fund make up $193.3 billion of the $451.7 billion of investments in the TSP.

Treasury Secretary Jack Lew

Treasury Secretary Jack Lew

According to Lew, the government currently has $25 million left to spend before it breaches the imposed limit without these actions. Hence he’s urging Congress to fill the purse:

“I respectfully urge Congress to protect the full faith and credit of the United States by acting to increase the statutory debt limit as soon as possible,” Lew wrote in a letter.

So what happens come November when these ‘temporary’ measures leave us facing the precipice of the debt ceiling once again? Who is going to have their money taken next?

These proposals by the Treasury Secretary are no more than vain efforts to delay dealing with the giant elephant in the room: There is no plan in place to deal with the underlying cause of this nation’s rampaging debt – a debt that continues to skyrocket with each passing year.

The fact of the matter is that our government is insolvent and can only stay afloat through further debt creation, or, in this case, stealing from whatever it can get its hands on. Right now, it has found its (temporary) solution in the retirement accounts of government employees.

Piggy bank money

And no wonder Lew is so desperate to make sure Congress increases the limit without debate. The last two times there was a standoff regarding the debt limit, we saw a downgrade of the U.S. credit rating by Standard & Poor’s (August 2011) and then a budgetary dispute over the debt ceiling that resulted in a 16-day partial government shutdown (October 2013).

This begs the question, yet again, for what seems like the thousandth time: What is Washington’s long-term plan to solve the debt crisis?

Oh, that’s right, the answer has always been the same: There isn’t a plan.

But don’t you find it oddly “convenient” that the new myRA retirement savings plan is opening the door to millions of more Americans to put their money in an investment that “mirrors the G Fund”? Could the government turn to this new source of funding next?

But where does it end? When our representatives have depleted the retirement accounts they have easiest access to, could they turn to other ones? Could they turn to the billions of dollars in Treasuries and bonds in IRA’s and 401(k)’s?

Read more…

Views: 59

Comment

You need to be a member of 12160 Social Network to add comments!

Join 12160 Social Network

"Destroying the New World Order"

TOP CONTENT THIS WEEK

THANK YOU FOR SUPPORTING THE SITE!

mobile page

12160.info/m

12160 Administrators

 

Latest Activity

Doc Vega posted a blog post

Terror on All Hallows Eve Pt. 2 The Aftermath

Elizabeth had just gotten home from Junior High when the doorbell rang. She’d barely put her books…See More
13 hours ago
Doc Vega commented on Doc Vega's blog post Grooming the New Generation of Assassins
"cheeki kea, I fear that we are headed further down the road of inhumanity institutionalized by the…"
yesterday
omegamann is now a member of 12160 Social Network
yesterday
Doc Vega commented on Doc Vega's blog post Three Must See Movies for Halloween
"cheeki kea Thanks. I watched most of the movie but I'd forgotten until a few minutes into it…"
yesterday
cheeki kea commented on Doc Vega's blog post Three Must See Movies for Halloween
"That's a fine movie menu you've got Doc V. I love the old days theme. Great to view when…"
yesterday
Doc Vega posted a blog post

Three Must See Movies for Halloween

Grab Your Popcorn and Settle In!  If you really want to get in the mood for Halloween and you like…See More
Tuesday
Bob of the Family Renner posted photos
Tuesday
Doc Vega posted a blog post

Terror on All Hallows Eve

Chapter IElizabeth was angry. All of her friends were going to be out on Halloween, but her. She…See More
Monday
Jeff favorited Jeff's profile
Monday
Jeff favorited Jeff's profile
Monday
Jeff favorited Doc Vega's profile
Monday
Jeff is now a member of 12160 Social Network
Sunday
Doc Vega posted blog posts
Oct 24
tjdavis posted a video

How Corporations Are Secretly Poisoning Our Food Supply

Dupont and 3M have been secretly poisoning America for decades. PFAs — also known as forever chemicals—are now in our food, water, clothes, and our blood. Th...
Oct 24
Doc Vega posted a blog post

They Won’t Stop

 The demonically driven left will not stop. Makes no difference how much violence they call for or…See More
Oct 22
Doc Vega posted a blog post

What US Scientist unwittingly helped the Nazis devise the V-2 Missile?

  In the early 1920’s and leading up to World War II German technology outpaces the peace time…See More
Oct 20
tjdavis favorited Sandy's video
Oct 19
tjdavis posted a photo
Oct 19
Christopher Walker is now a member of 12160 Social Network
Oct 19
tjdavis posted videos
Oct 19

© 2025   Created by truth.   Powered by

Badges  |  Report an Issue  |  Terms of Service

content and site copyright 12160.info 2007-2019 - all rights reserved. unless otherwise noted