Beautiful Life of Zig Zag Zoom

Many of you have heard of the hearings held where Teresa Ghilarducci, an Economist, purposed that there is an overhaul of the 401k system. She proposes that each American pays an additional 5% of their income into Social Security system and that will replace their current 401K. The guarantee will be $600 a year will go into an account that earns 3% a year no matter how much you put in. The results would be no more tax breaks if you keep an additional private 401K.

I though this was completely absurd and that no politician would dare touch this. However, after watching Congressman George Miller (D), the chairman of the House Education and Labor Committee, during an interview on Fox Business Network, I am not sure. He refused to give a clear answer to Davis Asman rather he agrees or disagrees with this plan. He states that something needs to be changed. He even got a little irritated when pushed for a clear answer.

I now wonder, is this part of the Democratic plan under an Obama Presidency? It will be a good time to convince Americans with the downturn of the market. However, the private investments in the stock market over the long haul have been at the 8 to 12 percent and sometimes higher. We also have seen the disaster that the current Social Security system is.

What are you thoughts? Are you as worried as I am ? Could this really happen? Please leave a comment and let me know what you think.