Shows & Panels
- AFCEA Answers
- Ask the CIO
- The Big Data Dilemma
- Carrying On with Continuity of Operations
- Connected Government
- Constituent Servicing
- Continuous Monitoring: Tools and Techniques for Trustworthy Government IT
- The Cyber Imperative
- Cyber Solutions for 2013 and Beyond
- Expert Voices
- Federal Executive Forum
- Federal IT Challenge
- Federal Tech Talk
- Mission-critical Apps in the Cloud
- The Path from Legacy Systems
- The Real Deal on Digital Government
- The Reality of Continuous Monitoring... Is Your Agency Secure?
- Veterans in Private Sector: Making the Transition
Shows & Panels
Sequestration + stock market = your TSP
Monday - 10/22/2012, 2:00am EDT
Forget presents. Don't bother stocking up on eggnog. Don't bother to make your December or January mortgage payment. What's the bank going to do, foreclose?
Even if the world doesn't end on Dec. 21, a potential politician-designed fate awaits us: Sequestration. Those automatic, across-the- board cuts that will take place in January unless Congress and the White House do the unthinkable and agree on something. Politicians say they are now working frantically to save us from the ticking fiscal time bomb they created.
Since sequestration is an unknown quantity to most (maybe all) of us, every likely scenario is in part guess-work. There is also a political and/or PR spin to many of the predictions of gloom and doom. Friday's column laid out some of the guesstimates. That prompted some comments from long-time feds. Some of them say that even if the worst doesn't happen, the buildup to sequestration could rattle the stock market and your TSP balances. Some responses were deadly serious, some tongue-in-cheek. Take your pick:
Mike, RE: your Friday column comment on a last-minute agreement that will defuse sequestration. While I think that may be what happens, I am afraid it will be too little, too late.Great comment. Any thoughts or advice?
In a rush to do something, anything, they may not do enough to quell the markets. The more they put into this, the more they will get out of it. A last minute hack job is likely to send the market into a frenzy.
I am at a point now that I cannot risk another financial meltdown with my retirement but the returns in C and S funds have been so good I don't want to move to G unless I have to.
As the sequestration issue unfolds, you would do us all a great service by bringing forward advisers on what we should do with our TSP accounts. — C.P., Hampton, Va.
Finally this upbeat take from a long-time, about-to-retire fed:
What happens if sequestration happens? It is all such a game of chance! I just hope I see Jan. 3 without a hitch, and I can read your articles at home. I promise not to write too many notes to you!...But now the Mayan calendar is different! My eye doctor and I agreed a few years back that this is the year to not plan on Christmas shopping until Dec. 23. Why waste the time? If is is the end of time, then we do not need to bother. If it is not, then there should be some great buys! Who cares if the family gets the Christmas leftovers from Wal- Mart? Hey, we have the day to be together!So how about tapping the wisdom of the crowd? What, if anything, should people be doing — including doing nothing?
If it is the end of time, then I think God will be more pleased that maybe we spent more time praying. With that said, I think maybe God left that fear in us to see how many of us will remember to count our blessings and pray more often. I believe he does have a sense of humor! For those who do not believe this, then they have not walked down a city street with their eyes really open." — Cindy with the IRS...but not much longer
NEARLY USELESS FACTOID
By Jack Moore
The fear of mayonnaise — yes, it's apparently a real thing — is called mayophobia.
MORE FROM FEDERAL NEWS RADIO
Pay gap between government,
private sector widens to 34 percent
The gap in pay between federal employees and private-sector workers has jumped 8 percentage points since last year, according to new data presented at a Federal Salary Council meeting Friday.
DoD, CFPB to educate service members
against rising debt
Defense Secretary Leon Panetta said the financial health of service members is important for troop readiness. A new report by the Consumer Financial Protection Bureau details potential problems service members are facing.
Groups renew call for capping
'exorbitant' contractor salaries
A collection of federal unions and watchdog groups wrote to the House and Senate Armed Services Committee urging support for a law capping taxpayer-funded contracting compensation costs at $230,700 - the maximum salary earned by the highest-paid federal employees.
USPS hits borrowing limit for first time
The U.S. Postal Service hit its $15 billion borrowing limit for the first time late last month, the agency confirmed. The Wall Street Journal first reported earlier this week that the USPS reached the limit on the amount of money it can borrow from the Treasury Department and is now dependent solely on its own revenue to sustain operations.