401 (k) Plans, Rhetoric v. Reality

By Oak Leaf ~ July 31st, 2009 @ 1:53 pm

The rhetoric;

the 401K’s that have been wiped out.

The reality;

According to the Employee Benefit Research Institute, workers in every age group and tenure have seen improvements in their retirement accounts since the stock markets hit bottom on March 9. The gains ranged from nearly 15 percent growth among workers ages 25 to 34 with one to four years of experience to about 3 percent for workers 55 to 64 with 20 to 29 years of experience.

The group’s analysis also shows that younger, inexperienced workers have rebounded much more readily from the stock markets’ mood swings. Their retirement accounts are up about 67 percent compared with Jan. 1, 2008, though one imagines they weren’t very high to begin with. Older workers’ accounts are still 13 percent off from that date.

Eye candy from July 24, 2009 when compared with the same chart of March 2, 2009.

An average 401 (k) plan loss of 12.7% for those with the most years of participation and closest to retirement, for the period beginning January 1, 2008 does not equal “wiped out.”

The current bill market is good for savers and good for America.

By the time that 401 (k) plan investors open their December 31, 2010 statements, the last year will be a long forgotten dream.

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42 Responses to 401 (k) Plans, Rhetoric v. Reality

  1. Conservative 1

    Another day, another Oak Leaf thread shamelessly shilling for Obama. Oak Leaf, you’d fit right in at MSNBC, battling Chrissy Matthews for #1 suck up.

    I remember when this was a conservative/libertarian site.

  2. DCox

    The depression of the 30s saw multiple dips upward before finally exhausting. This activity is a result of the market contemplating that the current administrations attempted take-overs are not going to become a reality. If they happen in any form, we will crash . . . hard.

  3. Phil

    This used to be a very good site .

    Kinda sad what’s happened to it.

  4. Maria Conchita Shatiqua Guadalupe Ali Baba Mohammed Jones, American

    Shut the fuck up Oak! Your pollyanish post ignores the fact we have shrinking GDP, near 10% unemployment, no incentives for business investment/expansion, out-of-control spending and taxation, and near extinct industrial manufacturing base. Yeah that’s right – let the good times roll under Obama-sama and the Dems.

    You’re a goddamn embarassment and so is this site!

  5. (((BCL)))

    FLUSHHHHH!

  6. invalid10

    Deadliest month in 8 year occupation of Afghanistan. General says we need a troops surge. Gen. Stanley McChrystal’s long-awaited reassessment will request a troop surge to help.

    Why not stay for 16 years so we could need to make a commitment to staying until 2017 for that. If we stay for twice as long, maybe we will be able to kill twice as many terrorists.

  7. Durman

    Well, if the economy does recover that will be just fine by me. I work for a non-profit, and it would be just great if our donors felt more inclined to give a bit more freely.

    That said, if the economy does recover, it still seems valid to insist that obomba had nothing to do with it, considering the obstacles he through in the way of its return: i.e. socialist hellth care & carbon taxation. If either one becomes law, watch the market stagnate at best.

  8. invalid10

    Shiff on the Glen Beck show discussing the cash-for-clunkers program.

    When do we get the cash for shacks program? Have the government give you the money in exchange for smashing your house.

    That way we help GM with the cars and the housing industry boost their housing prices and people can get rid of their bad mortgages.

  9. invalid10

    Will be interesting to see how this thing goes. heh

    The Schiffathon starts today: one week of Peter Schiff radio prior or money raising day with a chat log added on his page for it.

    Tomorrows kick off will start at 11am Eastern. at http://www.RevolutionBroa…. Tomorrow’s broadcast schedule is shaping up nicely, and at this time looks like this:
    (ALL TIMES EASTERN)
    11AM: Jim Capo – John Birch Society
    Noon: Orly Taitz – Attorney seeking Obama’s Birth Certificate
    1PM: Darrell Castle – Vice Presidential candidate Constitution Party
    2PM: Sam Ettaro – Republic Media.tv
    3PM: Tom Cryer – Tax Attorney – truthattack.org
    4PM: Gary Franchi – Aaron Russo’s Restore the Republic
    5PM: Larry Pratt – Gun Owners Of America
    6PM: Bob Schulz – We The People Foundation
    8PM: Robert Crooks – Mountain Minutemen

    also
    Interesting Trey Grayson scandal in Kentucky. link.

  10. Budahmon

    Oak,
    I think there is one problem in analyzing these charts and it jumps right off the page. They are static. It does not show how much more money people have put into their accounts during this time period nor does it show how many left the market into treasury and other less risky instruments. Thus, it is not a reflection of actual market conditions. I can tell you…I’m still down a helluva a lot more than a measly 13 percent and I never changed my philosophy through all of the turmoil. The other thing these charts don’t show is how far behind older investors are now to their goals for retirement. I’m $120 K down from my goals that were based upon 6.5% growth per year. That number will continue to grow higher with every passing year, thus my retirement will slide to the right for several years to eventually reach my goals., unless I find a windfall somewhere (and that ain’t gonna happen). So basically…all these charts say is that a static look at 401 K’s so some improvement….that’s not earth-shattering data…

  11. invalid10

    People will not like it if Bernake has to eventually dramatically raise rates after too much money in the system.

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  13. FBI informant

    According to the right wing Politico Freedumb works has recruited rightwing people to stage Brooks Brothers type protests at Democratic town halls in August to shout down and disrupt only Democratic Representatives and senators. This has the tacit support of Reprehensible Klan member Pete Sessions who said that civility at town hall meetings appears over.

    Now we wouldn’t want right wingers to not have free speech but free speech does not include shouting down congressmen and senators and preventing other people from talking and ending a town hall either.

    A leaked memo from Bob MacGuffie, a volunteer with the FreedomWorks website Tea Party Patriots, details how members should be infiltrating town halls and harassing Democratic members of Congress:

    Tea Bagger Memo

    – Artificially Inflate Your Numbers: “Spread out in the hall and try to be in the front half. The objective is to put the Rep on the defensive with your questions and follow-up. The Rep should be made to feel that a majority, and if not, a significant portion of at least the audience, opposes the socialist agenda of Washington.”

    – Be Disruptive Early And Often: “You need to rock-the-boat early in the Rep’s presentation, Watch for an opportunity to yell out and challenge the Rep’s statements early.”

    – Try To “Rattle Him,” Not Have An Intelligent Debate: “The goal is to rattle him, get him off his prepared script and agenda. If he says something outrageous, stand up and shout out and sit right back down. Look for these opportunities before he even takes questions.”

    The memo above also resembles the talking points being distributed by FreedomWorks for pushing an anti-health reform assault all summer. Patients United, a front group maintained by Americans for Prosperity, is currently busing people all over the country for more protests against Democratic members. Rep. Pete Sessions (R-TX), chairman of the NRCC, has endorsed the strategy, telling the Politico the days of civil town halls are now “over.”

    So if any of you people decide to go to a town hall of a Democrat, around the country in August you might want to act civil, or perhaps you might run into a plain clothes police officer or FBI agent. Just saying.

  14. jtb-in-texas

    oak you’re so full of crap… what overall gains have people seen since November 4th, 2008?

    [JTB, a new post is up. On average, people have done rather nicely since the election was decided. To me, that is only a date in time as I have never credited Obama either way with the Market. It is individuals like yourself who decided Obama would be linked to the market. If Obama caused the "bear market" in march, then he is also responsible for the massive bull. OL]

  15. Jan

    Budahmon — great analysis!

    FBI Informant — I’m ecstatic to hear that rightwingers are finally getting hip to Alinsky-type strategies — one’s that the left has successfully used for years, all over the country!

    What’s good for the goose is good for the gander!

  16. osmix

    Давно искала эту информацию, спасибо.

  17. Jim

    How in the world did Obama turn you? Money? this has become a complete waste of my time to read. its almost like coming here is an obama ad. best thing for everyone is to just stop coming to this site. at first I didnt want to believe it because this site use to be such a great news site, but no longer. will have to find another.

  18. invalid10

    My two favorite radio\podcast hosts join together!…for an interview. Well it beats Rush Limbaugh anyway.

    Scott Horton Interviews Glenn Greenwald about Obama’s Constitutional violations and Obama’s refusal to try Bush for warcrimes.

  19. Piercing

    Thank you very much for that excellent article

  20. Anti Federalist

    invalid10,

    What does Scott Horton’s and Glenn Greenwald’s podcast have to do with OL’s original post about 401 (k) Plans, Rhetoric v. Reality? Can you ever stay on topic? Why do you bother posting here anyway? Is this the only blog that hasn’t already banned you?

  21. online

    Хорошо пишете. Надеюсь, когда-нибудь увижу нечто подобное и на своем блоге…

  22. Mackeran

    Very interesting and amusing subject. I read with great pleasure.

  23. invalid10

    Paul introduces three new house bills. Two of them are health care related.
    HR 3395: The Health Freedom Act.
    HR 3394: The Health Information Protection Act.
    HR 3396: The Congressional Responsibility and Accountability Act.

  24. invalid10

    Conyers sarcastically rips into Sarah Palin.

    “As a supporter of Sarah Palin for taking over the Republican Party, I’m one of her great advocates,” said Conyers. “I mean, what an attractive, young, neoconservative reactionary! Wow! There’s never been one like her.”

    “She attracts crowds. She’s going to write a book,” he said. “She’s so busy she can’t – she doesn’t have enough time to govern Alaska. ‘Hey, let’s get ready for the big one when we go back in and take on Obama.’ I want to encourage her on it.”-Conyers

    Reactionary or just confused?

  25. (((BCL)))

    Reactionary or just confused?

    I would say you’re both.

  26. invalid10

    A reactionary? How so.

  27. Conservative 1

    No new threads in three days. Half the comments are jibberish (in a foreign language or from acroso). Does anyone running this site give a damn any more?

  28. invalid10

    Fancy Farm 2009 Rand Paul speech.
    “This is it! Eleven-hundred pages and no one read the bill! … If I am elected to the US Senate I will introduce legislation that says you cannot consider any legislation that you have not read.” –Rand Paul

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  31. invalid10

    Liberals want cameras in homes in Britain. Conservatives argue that the liberals aren’t doing enough and want more of it.

    Britain To Put CCTV Cameras Inside Private Homes

    “And remember, this is the left-wing government. The Shadow Home Secretary Chris Grayling, batting for the conservatives, thinks these plans are “too little, and too late,” implying that even more obtrusive work needs to be done. Rumors that a new detention center, named Room 101, is being constructed inside the Ministry of Love are unconfirmed.”

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  33. spike

    That’s JokeLeaf for you. He has an incredible grasp of the obvious!

  34. invalid10

    Napolitano delivers a cleverly constructed speech to do the unthinkable and enrage a republican Teaparty crowd to boo one of Americans worst president: George W. Bush.

    Is Napolitano Ron Paul’s ideological soulmate?

    Andrew Napolitano from Freedom Watch Fox show as keynote speaker at the Ohio Tea Rally this weekend part 1 and Part 2

    Highlights of the rest of speech: says Jefferson was the best president, bashes Bush, bashes Alexander Hamilton, trashes presidents Lincoln, Wilson, and FDR and finally gets around to making fun of Bill O’Reilly.

    Pretty good speech

    I think Fox should get rid of Bill-O and put Napolitano in his place.

  35. invalid10

    The American Conservative ponders…why birthers are concerned about Constitutionality but only selectively?
    Two questions for “Birthers” who believe that Barack Obama is not a “natural born citizen” of the United States. His second is especially pointed: does it really make sense to be exercised about this particular clause of the Constitution if you don’t care about the constitutionally dubious character of the wars in Iraq and Afghanistan?”

    Say it were found at that congress did not actually declare war in either case Iraq or Afghanistan. Wouldn’t that mean that require just as much of a correction as finding out Obama was not born in the U.S.?

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  37. brown mammal

    Unfortunately politics is all about the rhetoric these days. Hardly matters what you say, just how you say it :(

  38. Mouli Cohen

    It certainly could have been worse…we all have to remember that before we assign a grade of F to Obama’s first period of his tenure. There wasn’t a pretty or perfect way of dealing with the situation.

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  42. Daniel

    When I first graduated a few years ago I had to work for a lot less than I thought I would have to. My advice to anyone just out of law school is to get your foot in the door and worry about the money a few years in the future.

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