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Friday, August 7, 2009

Mandatory coverages

The Administration is pushing mandatory coverages at all levels. In the recent Federal Regualtions legislation for Financial institutions the Adminsitration is seeking mandatory IRA contributions. WHile this appears to be a positive, in reality it causes two major concerns, first it chips away at personal freedoms. US workers already make mandatory retirement contributions with no access to investment choices, that of course is called SOCIAL SECURITY. As it is US employees now contribute 7.5% of income to a broken program that will not pay out to the largest % of contributors. The ceiling on income has risen consistently over the last decade and now dips into the top 5% of income earners, remember the ceiling for this program used to be $35K in annual income, it is now moving rapidly toward $100K. Of course this is totally out of control and now Pres Obama suggests that workers should also have to contribute more of their income to a MANDATORY IRA! this does nothing to help the economy of course as people will have less money in their take home pay, but of course the government will be creating another slush fund to offset SOCIAL SECURITY. The bigger issue is once again an elitist attitude that the US worker and citizen cannot control their own finances and make smart decisions about money. People can choose to contribute to an IRA and can also choose where those dollars are invested, this new mandatory program will take away BOTH choices. The Obama administration is also attempting to force the Health insurance issue. The plan is to make Health insurance mandatory either through an employer (we have already covered why this won't work) or personally. Of course once again this will cripple the economy as individuals will have less of their own money to use however they choose to. Every mandatory government program chips away at personal liberty, why is that so hard to comprehend? It also creates an economy that is controlled by the government and which decides for the people what they can and can't use their own money for. Who really wants this type of situation? Seems to me that those with any common sense and the ability to look forward would want no part of this type of Government control.