The 401K Fallout...
60 Minutes Story ... The 401K Fallout...
Sad to watch -- people who trusted a system, seemingly did nothing wrong and followed all the rules, and what it got them was an unemployment line and an unforeseen retirement.
http://www.cbsnews.com/video/watch/?id=4955194n
The Millionaire Fastlane: Crack the Code to Wealth and Live Rich for a Lifetime
"The best book on creating wealth I've ever read -- it makes Think and Grow Rich seem amateur "
"The most succinct, passionate book on wealth creation I've come across yet, and I've come across a lot!"
Free Download ~ Get the Book ~ Learn More ~ Facebook ~ Twitter ~ HelpMyDecision.com
that is 2 years old, I would be curious to see the same people interviewed today now that the market has rebounded.
The market hasn't rebounded if you look at things from a global perspective -- valuate the market in terms of Australian dollars or Swiss Francs. It hasn't gained anything. Employment hasn't rebounded. Nothing has changed in two years except the media's propaganda brainwashing you into thinking that things have rebounded.Originally Posted by kurtyordy
Darkside (Jun 27th, 2011)
It's rebounded only in the sense that the U.S. stock market has recovered due to government intervention with the banks. However, this hasn't made a difference for ordinary people; unemployment is still high, people still lost their homes and are losing their homes, etc. So, basically the U.S. government and the Fed took 800 billion of our money to help out banks and is still giving them interest free loans, and it hasn't made any difference in our lives.
In America, we have two financial systems; socialism for the wealthy, and capitalism for the poor. If you're wealthy and you fail, the government will take care of you. If you are poor or middle class and you fail, not only will the government not help you, but they'll continue to dig into your pockets to help out the wealthy.
lol no brainwashing, I would just be curious to see how the 'victim's' perspective has changed. the interview took place during the lowest point for the dow and we are back up quite a bit from there in the raw numbers. So female victim and both male victims can now look at their 401k statement and theoretically have a different outlook.
That's a great fresh perspective
MJ - That's a great fresh perspective. Thanks.
Since my 20s I never believed social security would take care of my retirement, I always assumed it would be bankrupt by that time. So like a good little employee I bought into the 401K mirage. I just don't even look anymore, I've mentally written it off and only depend only on myself now. Fortunately I'm 49 and rocking it online in my own biz so I have time to rebuild and I'm not worried. However for those people in the story who depended on that money my heart goes out to them. I can't imagine working at a Starbucks at 65+ to make ends meet.
Awesome way to look at it. I was brainwashed until reading this.
The 401(k) isn't the problem, blindly following a buy and hold investment strategy in the stock market is the problem.
Blaming the 401(k) system for a bad stock market is like blaming your Etrade account because you lost money day trading--the problem isn't the account, it's what you did with the account.
I disagree Jeremy. 401k was the name of the law put in place, correct?
The system was the way the law was pitched to the public and employees. I sat in many of these benefit meetings right out of high school. I had no knowledge that would help me see the future. I had no investing skills. I was nothing more than a working guy doing 40-60 hours a week. I was told many times over by many financial counselors, getting paid big bucks, "Invest in a mix of solid growth companies and you will be fine." That mantra was sold to the masses for 20-30 years.
On the other hand, I guess you are correct, the 401k was not the problem. Massive ignorance and trust of our leaders was the problem.
Oh, and you can't compare a 401k account to an etrade account. The 401k was basically shoved down my throat because I was an employee. I wouldn't open an etrade account without some sort of education in trading stocks. Apples and oranges to me.
There are currently 1 users browsing this thread. (0 members and 1 guests)
Posting Permissions
LinkBack URL
About LinkBacks
Reply With Quote
Bookmarks