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| Joined: | Fri Jan 25th, 2008 |
| Location: | Fort Worth |
| Posts: | 165 |
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401K's and pensions covered by the Pension Guarantee Trust are two different things. Pension's are "insured" much like the FDIC insures bank deposits. Companies that offer pensions pay a percentage of their deposits each year to insure the continuation of their programs - even if they go bankrupt. This program was started in the 1970's and was in pretty good shape until a few years ago. Now it is several billion dollars in the red. Any deficits in the Trust are guaranteed by the government.
All government bailouts represent a "slippery slope." Where do you stop? I, for one, favor those that keep the most jobs.