Jesse's Cafe Americain: The Obama Administration Wants to Annuitize Your 401k's and IRA's:
"As a rule of thumb, the worst possible time to convert lump sum savings into a fixed income annuity would be when interest rates are historically low.
Although products may vary, this is roughly equivalent to buying long term bonds at a time when interest rates are likely to increase, substantially reducing your principal in real terms, and eroding your fixed returns through inflation.
For some reason the Obama Administration is promoting the idea now that there should be some encouragement for Americans to start converting their 401K's and IRA's into annuities, to provide themselves with lifetime income."
This article is a must read for anyone who has a 401K or IRA.
Again the Government wants to appropriate from savers, and reallocate the wealth to themselves and "the banks." They basically want you to turn over your hard earned money to them, and in return they will give you a small stipend to live on. It appears they haven't stolen enough from Social Security and Medicare, now their going after one of the only assets the shrinking middle class has left.
This whole financial mess reminds me of what's going on in Venezuela. It seems Mr. Chavez just announced that he's devalued the Venezuelan Bolivar by 50%. That's why the following quote from Jesse's article really made the hair on the back of my neck stand up:
"Why have a separate "R Bond" instead of those government bonds they have now called 'Treasuries?' And why have a mandatory universal retirement system when you have this thing called 'Social Security?' Think about it. Sounds like the kind of preparations governments make for things like 'new dollars' after a selective default."
Given the current state of the Dollar and our spiraling national debt, I wouldn't put it past the fools in D.C. to allow the selective default, and forced devaluation of the Dollar to happen.
