Saturday, August 4, 2012

401k plan of attack

Ann Barnhardt


1. STOP MAKING CONTRIBUTIONS if you haven't already.

2. Liquidate it. Pay the "penalty". Would you rather pay a penalty or have it all stolen? Or possibly replaced with a "government savings account" comprised of Treasury paper which will probably default or be confiscated long before you are ever allowed to "tap it", and will NOT be able to be passed to your heirs should you croak, but will instead be resorbed back into the collective? Oh, and don't bother whining to me about the "tax consequences". Paying income taxes to this satanic baby-killing Christ-hating government is now, absolutely MORTAL SIN. Why, why, why would you pay taxes?

3. If you can't liquidate it, take out a loan on the balance. Take out the maximum possible loan, and then set up the repayment schedule on the longest possible term.

Now, let's talk about all of you out there who are not permitted by your employer to liquidate your 401k. That decision rests with the PLAN ADMINISTRATOR, who is your employer, be it an individual or a board.

What kind soulless, psychopathic monster would refuse to let their own employees have access to their own money? What POSSIBLE reason could there be for a business owner or a board to refuse to fill out a few forms, sign at a few documents and just let people have their own money?

If your employer will not let you out of your 401k, you need to sit down and think long and hard about who you are working for, and why you are working for them, because they are, by definition, bad people.

Finally, what lesson can we learn from this? How about this: If you don't have access to something, if you cannot take physical possession of it, if all you have is someone telling you that they are taking care of your money, which you cannot touch or have access to - THEN IT ISN'T YOUR MONEY, AND IT NEVER WAS. In short, you have been conned.

If your employer won't let you liquidate your 401k, that means that your employer has CONNED YOU by telling you that they were paying you a wage of X, when in reality it was less than X by the amount of your 401k contribution amount. Go sit down and figure it out. Back out your 401K contributions off the top of your pay as if they never existed. THAT is your actual wage, if your employer refuses to let you out. Would you have ever agreed to work for that wage?

For those of you who come out on the other side of this collapse and war, you must always remember that if an asset is not FULLY liquid and available to you, then it isn't really at all, and you have to assume that all such arrangements are nefarious and must be rejected.


  1. Sigh. I agree with her whole heartedly...if I could only convince my husband. When it is all lost my only consolation will be how much self restraint I will employ in not telling him, "I told you so."

    Miss Violet

  2. Am I correct in assuming this does not apply to IRAs? I can get all my IRA money (a pittance) anytime I want. I just have to pay the tax on it.

    1. Zoomie go to Barnhardt's site and read part II of this, it DOES include IRAs.


      Miss V

  3. Send her an email. I'm sure she would be happy to answer you.

  4. I've had multiple go-rounds over the years, with various employers, over $#!+ like this.

    First experience: I had multiple offers - and (being a guy who endeavors to live by The Golden Rule and considers his Integrity to be above price) told them so.

    One employer offered me a cash salary which was rather nice!
    The other offered a lesser "cash salary" but had a lucrative bonus structure (which had averaged $8-10k per employee since the co. was founded), a 100% "matching" 401k, full tuituion reimbursement, co-paid parking or subway-fare, etc. etc. etc.

    When I added up the value of all the bennies, the 2nd one came out well ahead... So (stupid me) I went with them.

    6 months in, they announce "changes to the bonus-plan" which amounted to NO MORE BONUSES. At 9 months they eliminated the parking, then the matching 401k.

    While I wasn't happy about the bonus, I'd not really considered it as it was never guaranteed, but the parking was $50/week - THAT ticked me off!

    The 401k match however was the deal-breaker. That was 6% of my income, GONE!

    Worse yet, when they announced they'd no longer be matching, I and many others decided to stop our "contributions" as we had other options at the time with better returns.

    Imagine being told "Sorry - we can't DO that!"

    WTF, Over?

    "Sorry, but you can't change your contributions until our next 'open-enrollment period."

    So... YOU can change whenever you want, but I have to wait until... ??!!"

    Frigging scam.

    Ever since, I've taken my *MONEY* and not looked back.

    Wifey's company hasn't given anyone a raise in over 5 years, and has also cut bennies over and over - there are at this point none left to cut and they're beginning to talk about actual salary cuts, telling those who object point-blank that "we'd hate to see you go, but let's be honest: we've got people lined up all the way 'cross town who'd LOVE to have your job but can't find one..."

    The sad part is that they're RIGHT... Rotten b@$+ards!

  5. The sad part is that they're RIGHT.


  6. My spouse has been preaching this for 5 yrs or so now. No longer contributes to their 401K and pulled all money out on loan to buy land and build a rental house. Since all my life I've been told, "You never touch your 401k" I'm still having a hard time coming to grips with actually doing something about it.

    Tarboro NC

    1. Yes. We're going to be home in a few weeks. Hope to see y'all.

      **Autumn NC PATCON (Patriot Convention) October 4th - 7th 2012**