Mark Moss argues the 401(k) system benefits Vanguard and the IRS far more than savers. The structure forces you to save, then spend down assets in retirement, betting you don't outlive your money. It's designed to funnel wealth to financial institutions while leaving most people with inadequate retirement security.
The entire retirement plan is that I'm supposed to save in this 401 vehicle, and then I spend down my assets, and I hope I die before I hit zero.
What kind of strategy is that, bro? It is insane. Insane. It is brilliant for Vanguard, but it has been brutal on the American people. Had the IRS not approved the 401, it wouldn't be in place. So you got to understand that the thing you're investing in, do you guys really think that that's going to be bad for the IRS and the government?
No.
These have all been propaganda machines that have been sold to the American people to make us fatter and sicker and poorer.
What people miss is that the debt-based monetary system we have— money's created through debt issuance, and then the tax code, the IRS being your partner— both of those are designed for owners. It's not written for consumers.
