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Tuesday, August 14, 2012

Why Nothing Will Change Until The Crash

"When the people find they can vote themselves money, that will herald the end of the republic." 
--Benjamin Franklin
I was kind of pleasantly surprised this past weekend when Romney announced his choice of Paul Ryan as his running mate.  He's about as focused an individual as you will find in politics when it comes to budgeting.  I don't think it will be enough to get me to vote for either of the two major parties, but it got my attention.

Ryan is smart, articulate, energetic and youthful.  He's also on the losing team.

Why dat?
Article link:  Over 100 Million Now Receiving Federal Welfare


Video link:  Obama's Gonna Pay For My Gas...


Audio link:  Obama Stash

Article and Chart link: Nearly Half of All Americans Don’t Pay Income Taxes

How are a couple of successful guys - one of whom is uber-rich - going to convince an increasingly Balkanized country that it's in their best interest to vote the two of them into office?  Do you think the, "Vote for us so that the amount of money you receive from the government will decline or be eliminated," pitch is going to fly?

Ain't gonna happen.

We're going to see Obama and Uncle Joe working the Special Interest Circuit - and hard.

Blacks:  They want to see you back on the plantation, we want to give you a hand up.  Hispanics:  They want to herd your hard-working family members into buses and ship them back across the border.  We give you the Dream Act.  Gays:  They want to ex-communicate you from the country, we'll let you marry a goat if you wish.  Women:  They want you barefoot and pregnant, we'll pay for your abortions.  Students:  They want you to have to pay for your own education, we'll pay for it if you promise to work for us, spreading the Commie Gospel around the country.

Farmers, anything "green", unions, bankers - they'll all be bellying up to the bar for their free drinks.

Romney and Ryan will try and keep the focus on the budget and the economy, but the MSM will only report the downside of their programs.  Inevitably, the boys will play the Special Interest game and tell all of the same groups what they'll get from the Republicans.

I've got to stick by my earlier predictions:  Nothing is going to change until it all crashes.  No one is going to voluntarily vote to reduce the amount of income they receive.

The former Comptroller General,  David Walker, has been hitting the road to bring this impending collapse to our attention (link:  The $10 Million A Minute Bus Tour).  Shockingly (not), no one is listening.

Downer news doesn't sell, so it doesn't get a lot of press.  People don't want to hear that everything they've worked for is built on a house of cards that's teetering towards ruin.  They'd rather feel good about our Olympic victories, or at least feel better about themselves by watching the collapse of someone else (Lohan, Hilton, Gibson, et al).

Once again, I'll likely vote for the third party that I think is able to garner the most votes.  My belief is, nothing will change politically until we have a viable third party in this country.  I don't care if it's far left communists or far right fascists.  Whomever looks to get the most votes will get mine.  If it's still too foggy, Ron Paul will get my write-in vote.

Accept The Challenge

 I think I've mentioned before that for the past 20-25 years, I've not included Social Security in our financial/retirement calculations.  It has been very plain for a very long time that the system is not sustainable.  I'm guessing I'll get clipped either by "means testing" or the fact that there simply isn't any money left.  I'll be shocked if I see any money.

Now, my worries go towards other retirement accounts.  My wife and I both worked at Wells Fargo a million years ago.  When the bank (still a California-only bank!) was transitioning from a retirement plan to a 401k-type plan, and they took all of our accrued dollars and put them in to annuity accounts.

Those monies are held by NY Life (or is it Met Life?) to be drawn on from retirement until we croak.  I'm more and more worried that accounts such as these are going to be snatched up by the federal government (ala Argentina, Hungry, etc.) to help extend this financial fantasy in which we're living.  These are monies I have (foolishly?) been including in our retirement calcs.

Social Security and these annuities are the last "paper" retirement funds we've got.  Everything else was converted to tangibles from 2008 forward.

What I'm concerned with will be the future ability to convert these tangible and business assets into cash without having to go through the government equivalent of a body cavity search, or grotesque tax theft.  Judging with how our government works, I'd guess they'll throw up "legal" roadblocks to converting, for instance, gold coins into cash.  They'll throw up impediments where they'll require tons of personal information, or tax data, and it will drive the business into the black market.  Most people that buy precious metals are a private sort, and they'll take a "haircut" before they'll voluntarily provide Nanny with personal data or extra tax dollars.

Work hard, watch your pennies, live within your means, and everything will turn out OK.  Sure.  Now you need to add, "Hide as much from Nanny as you possibly can."

Copyright 2012 Bison Risk Management Associates. All rights reserved. Please note that in addition to owning Bison Risk Management, Chief Instructor is also a partner in a precious metals business. You are encouraged to repost this information so long as it is credited to Bison Risk Management Associates.


Crustyrusty said...

Unfortunately, I don't see retirement happening. I'm either going to work until I drop, or expire dramatically in the coming festivities. A quiet retirement is but a pipe dream, I fear....

Chief Instructor said...

Crusty, interesting point. Good topic for a follow-up post.

Anonymous said...

"I'd guess they'll throw up "legal" roadblocks to converting, for instance, gold coins into cash."

What? Gold IS cash. Perhaps you are referring to FRNs. Why would one even consider doing that? Exchange for something tangible, something useful - not an empty promise.

"They'll throw up impediments where they'll require tons of personal information, or tax data, and it will drive the business into the black market."

Uh, has already happened - at least in many cities - to "control crime" of course.


Pearls said...

In figuring out our retirement, we pretty much decided IF Social Security is there, it will be a pittance. Best to spend the monies to get out of debt (we are entirely debt free) and buy items and infrastructure to make our current home (farm) as self sustaining as possible. Being able to produce our own food, electricity, animal crops will reduce what funds will be needed IMMENSELY during "retirement". The rest is held in commodities that can be transferred to what ever means of barter, payment system or outright sold if needed. You lose some of the "write-offs" on income tax but it keeps the Government from being able to seize lump sums as done in Argentina and the like.