Refunding America

Greensboro, NC (PR Newswire):  Refunding America is a plan to fix the economy that will:

• Put money directly in the hands of working, responsible American households
• Promote responsible spending without further costing taxpayers
• Completely reverse the 2008/2009 losses in consumer spending

RefundingAmerica was founded by Tim Booras, President of American Premium Beverage Company.  RefundingAmerica proposes to allow individuals to withdraw up to 20% of their retirement account balance without paying penalties or income tax. The proposed legislation would grant this opportunity to any IRA orDefined Contribution account (including 401(k), 403(b), 457, TSP, etc.) account holder for any reason.  Americans have over $8.1 Trillion in IRAs and 401(k)s.  

Americans have over $8.1 Trillion in IRAs and 401(k)s. The “Refunding America” plan, calls for legislation to allow anyone with a Defined Contribution account (including 401(k), 403(b), 457, TSP, etc.) or an IRA to withdraw up to 20% of their account balance without paying penalties or income tax. The proposed legislation would grant this opportunity to any IRA or DC account holder for any reason.

This will put an extra $22,000, on average, into the hands of 64% of working American households.  Read more…..

GEI editor comment:  With many Americans falling pitifully short in retirement savings, how can it be rationalized that they should remove anything from those accounts for current consumption. It might be easier to justify the RefundingAmerica proposal if it were changed to apply only to hardship withdrawals, but that would provide much less than the $1+ T that RefundingAmerica foresees.  Or maybe Mr. Booras is just hoping that some of the money will be spent on products from American Premium Beverage Company.