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| Economy |
| Puerto Rico Might Start Cutting Pensions To Deal With Debt Crisis |
| 2016-05-11 |
| [Daily Caller] Treasury Secretary Jack Lew said Monday pension cuts are on the table for Puerto Rico to help deal with the debt-ridden island’s fiscal woes. The commonwealth - which faces a $70 billion debt burden and recently defaulted on a major payment - has been pushing Congress to extend it Chapter 9 bankruptcy rights. Puerto Rico Gov. Alejandro Garcia Padilla has said on numerous occasions he has ruled out cutting pensions as an option to pay its bills. |
| Posted by:Besoeker |
| #6 That happens, #5 CF, there will be blood in the streets. Particularly in DC. |
| Posted by: Barbara 2016-05-11 18:47 |
| #5 There has been talk in Washington about 'administering' 401K's and IRA's in the past. You know so it can be properly administered (with appropriate 'administration fee's' of course) and distributed equally. Let Obama appoint the next Supreme and this could come to pass. Of course first they would need to make it impossible for people to do an 'early distribution'. So people wouldn't opt for the 10% early distribution loss over the 40-70% loss of 'equal distribution'. |
| Posted by: CrazyFool 2016-05-11 16:14 |
| #4 Meanwhile Jon Corzine walks free. |
| Posted by: Anguper Hupomosing9418 2016-05-11 16:04 |
| #3 IRA's and 401Ks are not pension funds, but savings on which taxes have not been paid. Then of course there are the regular FDIC savings. A vast amount of $ waiting for government seizure. I am sure the US Supreme Court can easily find a reason to ratify emergency seizure of all such funds, just as it ratified the seizure of private gold and the abolition of certain legal contracts in 1933, or the asset stripping done for Japanese Americans interned by the feds during WWII. |
| Posted by: Anguper Hupomosing9418 2016-05-11 16:03 |
| #2 When the cupboard is bare, watcha gonna do to fill those hungry mouths? |
| Posted by: Anguper Hupomosing9418 2016-05-11 16:00 |
| #1 You didn't create or earn that. Those are not earnings, those are gov't benefit funds. Retro-active compliance as well; any pension funds now in IRA's or 401K's will need to be forfeited or traded for gov't bonds. We'll need those funds also. Our gov't dollars in your investment plans are now frozen. You have until 15 April 2017 to make the conversion or forward payment. And we were concerned about losing the COLA. |
| Posted by: Besoeker 2016-05-11 06:56 |