Skip to comments.Study Shows More Americans Are Raiding 401(k) Accounts To Pay Bills [Obama: Mission Accomplished]
Posted on 03/06/2013 11:55:10 AM PST by SoFloFreeper
A new national study shows that too many of us are cashing out 401(k) accounts to pay bills. If that retirement account is calling your name, a financial expert advises you to stop listening.
(Excerpt) Read more at philadelphia.cbslocal.com ...
Folks with traditional IRAs need to start looking at “Freedom IRA”s in order to take a more active hand in their own retirement money.
If you leave it where it is, they WILL steal it through inflation or outright appropriate it.
I have self directed an IRA to loan my retirement funds to a charitable Christian group. The management companies have in just the past two years doubled the yearly fees and are extorting us to death. Charging every new conceivable fee like a paper statement charge of $30/year. Sterling Trust out of Texas is scum.
Mission accomplished. Their goal was to tap 401K's just not directly, but to get the only people with access to them, to do it for them.
Thanks for that information.
I’m currently looking for a custodian to work through to invest in hard assets.
Also puts more taxable money out on a current basis, and the govt is getting an extra 10% in penalties on much of the money, as well.
Just wait until the Gov’t decides to raid it
Or people are taking the money/penalty before Zer0 and the Gets come after the money.
I have contemplated doing this as I don’t think this money will exist when I’m ready to retire in about 20 years anyway.
Even though the market has exploded, I still have a good portion of my 401k money in “safer” things like “Stable Income” and Bonds. I’ve got about 25% in the market, but I’m more interested in keeping my money.
Better to cash it out now and pay down bills, or buy gold or bullets, than to have Fedzilla steal it to pay their bills.
I have 4 different 401k accounts, I’ve cashed out two of them. Not to pay bills, but rather to shield that money from the collapse that is certain to come due to ill conceived monetary, fiscal and economic policies.
Taking the 10% hit will seem like a bargain here in a minute.
Yes, OK: but if you piss it away it will be only a memory. The challenge these days—especially for folks younger than me, or people like me who want to leave an inheritance for 5 Grandsons—is to invest that money in something the .fed can’t tax or confiscate, which will increase in value over the long term. Is that land? Gold? Silver? income-producing property?
I don’t know the answers to my own questions.
Curious: what did you do with the money?
The war on the Kulaks marches on.
Only this time I don’t think they’re going to fool around with the cattle car ride to Siberia. Trains put out far more carbon dioxide than a 9mm.
“If that retirement account is calling your name, a financial expert advises you to stop listening.”
Yeah, don’t bother to pay those bills at all, I’m sure the judge will rule in your favor when you get sued by your creditors while sitting on a bunch of money in an IRA. /sarc
“Or people are taking the money/penalty before Zer0 and the Gets come after the money.”
I did - cashed out a pretty healthy IRA and used it all to pay off my house. Yes, I’ll pay some taxes on it, but when you do the math, it’s not much more than I would have paid when I retired anyway...so great deal for me, no more mortgage payments.
Put some in the bank, converted some to a more time tested currency, and am buying items to help ensure the safety of myself and my family.
“Is that land? Gold? Silver?”
All but the silver. And I am not pissing anything away, although my wife might disagree on some of the ammo and firearm purchases - God love her.
Even with my withdrawals, I still have more in there than 80% of the Americans my age, pathetic as that is. I’m fortunate, being both educated, employed and making decent money.
I just refuse to sit idly by and watch my government piss my money away for me. That’s a job that this American is willing to do on my own!