401(k) Plans To Be Taxed To Pay For Bloated NJ Public Employee Benefits?
Budget advisors for new NJ Governor Jon Corzine (sworn in last week) have raised the possibility of taxing private 401(k) retirement accounts to help close a $6 billion budget gap.
Nearly 20% of that amount is needed simply to keep state pensions solvent. As many of you know I've harped on the destructive policies of state defined benefit pension plans, and now the chickens, as they say, are coming home to roost. I wonder how NJ residents will feel having their private retirement accounts reduced simply to help pay for those of public employees?
Alexander K. McClure at PoliPundit weighs in on the topic with - The Path to a Republican Governor in NJ in 2010.
Just a few of our previous posts on the subject:
The High Cost of Public Employees
Public Employees Lecture New Jersey Taxpayers
Rutgers Report: New Jersey's Economy Lags Nation
The More They Waste, The More They Make
Codey: State Pensions, Benefits "Strangling" New Jersey Taxpayers