3 ms·

Nah, the 401(k) system is a mechanism of wealth extraction for white collar government-adjacent workers. It's a form of repression. I'd rather be building some

by javert 5y ago

Nah, the 401(k) system is a mechanism of wealth extraction for white collar government-adjacent workers. It's a form of repression. I'd rather be building something than dealing with tax, but I'm very much incentivized to do the latter (though your situation may differ).

ClumsyPilot 5y ago
Repression is criminalisation of Solidarity Strikes, entrenching corporate power. Everything else is a waste of time, plastic straw ban of lawmaking. https://en.m.wikipedia.org/wiki/Solidarity_action https://en.m.wikipedia.org/wiki/Solidarity_action
- throwaway210222 5y ago
  This only works if the employers don't see it coming. In many countries (like mine) organised labour has a wage negotiation-followed-by-industry-wide-strike season. Every year, come rain or shine. Industry has long responded by: a) adjusting their 'final price' to accommodate the theatre b) automating whatever they can c) scheduling plant maintenance d) learning which jobs can be eliminated and doing so. All without paying a cent in wages. Since they seldom get all this done inside 6 weeks, its takes the labourers years to recover even a 5% increase. Many (mining, paper, logging, hospitals) even budget for it.
ravenstine 5y ago
It is pretty much designed to dump money into the stock market in a magnitude that wouldn't occur naturally. As with ETFs, people are indiscriminately tossing money at investments they have no idea of (under the premise that roboinvestors will take care of everything). I am skeptical that this will work out in the long run, or that the government won't someday find ways to confiscate fractions of 401ks because reasons. People don't want to hear this because 401ks are silver bullets, and we are all inclined to desire silver bullets over applying rigor. Most people have no idea what part of their paycheck is invested in. Why do we let them lecture us on where to hold and grow our wealth? That's not to say that 401ks in and of themselves are bad. Their existence doesn't mean that people shouldn't take their own risks and hold assets that keep their wealth liquid rather than locking it up. Personally, I prefer paying more in order to have liquidity. Many would disagree with that. But truth be told, no one knows any one answer that applies to all.

by javert 5y ago

ClumsyPilot 5y ago

Repression is criminalisation of Solidarity Strikes, entrenching corporate power. Everything else is a waste of time, plastic straw ban of lawmaking. https://en.m.wikipedia.org/wiki/Solidarity_action https://en.m.wikipedia.org/wiki/Solidarity_action

throwaway210222 5y ago
This only works if the employers don't see it coming. In many countries (like mine) organised labour has a wage negotiation-followed-by-industry-wide-strike season. Every year, come rain or shine. Industry has long responded by: a) adjusting their 'final price' to accommodate the theatre b) automating whatever they can c) scheduling plant maintenance d) learning which jobs can be eliminated and doing so. All without paying a cent in wages. Since they seldom get all this done inside 6 weeks, its takes the labourers years to recover even a 5% increase. Many (mining, paper, logging, hospitals) even budget for it.

ravenstine 5y ago

It is pretty much designed to dump money into the stock market in a magnitude that wouldn't occur naturally. As with ETFs, people are indiscriminately tossing money at investments they have no idea of (under the premise that roboinvestors will take care of everything). I am skeptical that this will work out in the long run, or that the government won't someday find ways to confiscate fractions of 401ks because reasons. People don't want to hear this because 401ks are silver bullets, and we are all inclined to desire silver bullets over applying rigor. Most people have no idea what part of their paycheck is invested in. Why do we let them lecture us on where to hold and grow our wealth? That's not to say that 401ks in and of themselves are bad. Their existence doesn't mean that people shouldn't take their own risks and hold assets that keep their wealth liquid rather than locking it up. Personally, I prefer paying more in order to have liquidity. Many would disagree with that. But truth be told, no one knows any one answer that applies to all.