Congress Considers Plan to Tax 401(k) Contributions

Congress is desperate to balance the budget after years of scolding Obama’s inability to do so. But the plan that some have in mind is both terrible and hypocritical; They want to tax your 401(k).

Here’s the height of hypocrisy: members of Congress, who share in a pension system fully funded by taxpayers, are thinking of cutting the benefits of contributing to 401(k) and similar retirement plans.

Members of Congress participate in the Federal Employees Retirement System. How valuable is that? The Wall Street Journal reports:

“In 2015, the average taxpayer-funded annual pension received by recently retired members of Congress was $41,316. A representative or senator retiring in 2014 after 30 years in Congress would earn an annuity of roughly $104,600 to $130,500, according to the Congressional Research Service.”

Leave it to congress to come after American’s only source of untaxed income while protecting themselves from the same harsh fees. Like with Obamacare, you can tell if congress thinks something is a bad idea when they exclude themselves from the legislation.

Source: Daily Wire