Over 150.000 insurance professionals and consumers come to the Insurance Forum every month. Click here to register for FREE


Go Back   Insurance Forums > Insurance Agents and Brokers Forum > Retirement Planning Forum

Reply to Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted     
Old 08-01-2017, 06:21 AM   #1
Guru
Justin Bilyj on Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted
 
Join Date: Jan 2009
Posts:4,822
State: Justin Bilyj is an Insurance Agent from Ohio
Justin Bilyj is a member of 1000 posts VIP club
Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted
Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted | Zero Hedge


An Obama-era program that created savings accounts to help more people put away money for retirement is being shut down by the Treasury Department, which deemed the program too expensive.

The 30,000 participants in the program, known as myRA and intended for people who did not have access to workplace savings plans, were sent an email on Friday morning alerting them of the closing. Participants were informed that they could roll the money into a Roth individual retirement account, the Treasury Department said.




To summarize, a MyRA was, more or less, an IRA without the investing flexibility as you could only invest in a massive government-sponsored ponzi scheme.

Shockingly, as the New York Times points out today, the accounts turned out to be a massive disaster costing taxpayers $70 million, or roughly 2x the amount of money that was invested in the 20,000 accounts that were actually opened and funded.

------------------------------------
  Reply With Quote to Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted

Old 08-01-2017, 10:30 AM   #2
Guru
 
Join Date: Oct 2009
Posts:6,393
State: scagnt83 is an Insurance Agent from South Carolina
scagnt83 is a member of 5000 posts Super VIP club
Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted Re: Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted
It would have been more efficient to just give the $70mm in "costs" directly to the enrollees.

This never made sense to me. Why not just expand eligibility to an existing program that has a proven track record of being financially viable? Like the Thrift Savings Program (TSP). It only offers ultra low-cost index options, and is a very successful program for federal workers.

The reason why is that this program ONLY put them in US Treasuries. If I remember correctly, they created a special Bond Issue just for this program. They saw it as a way to pad the coffers of the Treasury in the guise of being "pro-little guy".

The real disgusting thing is, if an Advisor put most peoples IRA into all Treasury Bonds, they would be seriously risking a breach of Fiduciary Duty. Uncle Sam can do it and its fine.

* I think Justin accidentaly posted this to the wrong forum. Maybe a Moderator can move it to the Retirement Forum.
------------------------------------
  Reply With Quote to Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted
Old 08-01-2017, 10:37 AM   #3
Guru
Justin Bilyj on Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted
 
Join Date: Jan 2009
Posts:4,822
State: Justin Bilyj is an Insurance Agent from Ohio
Justin Bilyj is a member of 1000 posts VIP club
Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted Re: Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted Justin Bilyj is the thread starter for: Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted

Originally Posted by scagnt83 View Post
It would have been more efficient to just give the $70mm in "costs" directly to the enrollees.

This never made sense to me. Why not just expand eligibility to an existing program that has a proven track record of being financially viable? Like the Thrift Savings Program (TSP). It only offers ultra low-cost index options, and is a very successful program for federal workers.

The reason why is that this program ONLY put them in US Treasuries. If I remember correctly, they created a special Bond Issue just for this program. They saw it as a way to pad the coffers of the Treasury in the guise of being "pro-little guy".

The real disgusting thing is, if an Advisor put most peoples IRA into all Treasury Bonds, they would be seriously risking a breach of Fiduciary Duty. Uncle Sam can do it and its fine.

* I think Justin accidentaly posted this to the wrong forum. Maybe a Moderator can move it to the Retirement Forum.
Correct, miss-post to the wrong subforum. And I agree it was not about helping the little guy as it was a backdoor bail out of the treasury. Don't tho k this won't happen again. Next it could be a mandatory % of any qualified fund be invested in treasuries...
------------------------------------
  Reply With Quote to Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted
Reply to Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted 

  Insurance Agent Forum > Insurance Forums > Insurance Agents and Brokers Forum > Retirement Planning Forum




Similar Threads with Trump Axes Obama's MyRA Retirement Accounts After $70mm Of Taxpayer Funds Wasted
Thread Thread Starter Forum Replies Last Post
President Obamas 2016 Budget Targets Retirement Accounts Justin Bilyj Retirement Planning Forum 1 02-07-2015 11:49 AM



All times are GMT -5. The time now is 05:07 AM.

Forum enabled with vBulletin®
Copyright ©2000 - 2017, vBulletin Solutions, Inc.


Join the Forum - It's FREE

Share This Page



Weekly Poll

Where do we go from here? POLL
Nothing - No ACA fixes - status quo
29.82 %
HHS Rulings and band aid bills
17.54 %
Hail Mary repeal and/or replace bill
17.54 %
A bipartisan bill to fix ACA
35.09 %

Voters: 57. This poll is closed