A Wall Street Journal editorial published Friday suggests that congressional Democrats have plans to eliminate 401(k) tax breaks and are "entertaining dreams of state-managed retirement accounts."
Rep. George Miller, the California Democrat who chairs of the House Education and Labor Committee, shot back with a statement the same day. "The Wall Street Journal is needlessly creating fear among Americans rightly worried about their retirement security by misrepresenting my efforts to strengthen workers' retirement savings—attacks that have no basis in fact. I do not support 'abolishing' 401(k)'s, moving these plans, or changing their tax status, plain and simple," Miller said.
Miller stated that his goals for 401(k)'s are to expose excess fees, bring more young and low-wage workers into the system through automatic enrollment, promote inexpensive and diversified investment options, encourage independent and objective investment advice, and reduce vesting periods to make 401(k)'s more portable.
MSNBC says the 401(k) congressional hearings in October have reached urban-legend status and published a debunker piece about the ensuing Internet controversy.
Tell us, what 401(k) issues would you like to see Congress address?