10 Ways To Destroy Your Retirement Nest Egg

Retirement Nest Egg Destruction

There is no doubt that the preservation of your Retirement Nest Egg is not the first priority of your government or your financial advisers. The destruction of your retirement nest egg will be the most likely result.

If it were the government would not be so keen to change its fiscal policy by increase it’s taxes, borrowing and spending beyond the tax it takes in, redistributing your taxes to the winners in industry or pro-government pressure group.

If it were the financial industry would not be so keen to churn your money trading in the stock markets, or finding new fees and charges, some hidden which all result in them taking more and more of your retirement nest egg over time.

10 Ways they destroy your Retirement Nest Egg over time

  • Fractional Reserve Banking where Banks can leverage themselves and loan out 10 times the money they have. This is the primary cause of the boom and bust cycle and they can do it because they are too big to fail and will be bailed out at your expense.
  • The FED and it’s power to drop interest rates to nothing on the whim of the FED Chairman regardless of the damage it does to your savings and the currency which they should be maintaining.
  • The Revolving Door between the Bankers, the FED, the SEC, CTFC and the White House which is nothing short of incestuous regarding people moving between the Big Banks and Government Jobs. This is the “Big Boys Club” and is Keynesian based economics – the fallacy of spend your way out of debt.
  • The fact the FED is unaccountable to anyone and does not have to publish its accounts for public scrutiny.
  • Going off the Gold Standard to no standard except a government promise using paper money. This has allowed governments to devalue the currency at will and without any accountability.
  • An unending believe that an Inflation target of typically 3% is a good thing when in fact it means your savings are worth half their value within about 25 years and half again by the time you want to retire.
  • Debt is rewarded and Savings are taxed. Then when the crash happens the biggest companies are bailed out using your taxes.
  • Shareholders have no control over the salaries of the Board and CEOs of the companies of the shares they own. So many of these CEOs are paid 300 times more than their lowest paid workers.
  • Governments are not required by law to balance their budgets and present those budgets to the people, and can decide what is in or out of their budget.
  • That the FED can print money without approval of the legislature.

There are probably many more but underlying most of them is inflation which is the ultimate destroyer of your retirement nest egg.

Let it never be forgotten that inflation is caused by the FED printing money and flooding the economy with it. At this time inflation is in check because this printed money is circulating between the banks and the FED with some government spending as well.

But if the bulk of this printed money gets into the general economy and the public start spending it, inflation will skyrocket.

Money is creating in a well run economy with a stable currency and interest rates by businesses creating products of value and from the sale of those products making genuine profits. Some of these profits are then deposited with banks for future investment and that surplus money is then available for loans to other businesses. Let’s call this “Greenback” Money – or good money.

Redbacks and Your Retirement Nest Egg Protection

The way it happens now the FED changes the fractional  reserve rules or deposits printed money with the banks and they are supposed to lend it out. Redback toxic to your Retirement Nest EggLet’s call this “Redback” Money – or bad money. A very appropriate name based on a highly toxic Australian Spider,  “Redbacks are considered one of the most dangerous spiders in Australia.[1] The Redback spider has a neurotoxic venom which is toxic to humans with bites causing severe pain. There is an antivenom for Redback bites which is commercially available.”

If we could just demand the FED print Redback dollar bills when they have the printing presses going, we could easily see when inflation will hit just by the colour of the money.

Most people are infected with the printed money neurotoxin and do not see the danger of the FED Redback printed money. It looks identical to money from wealth creation.

If there is too many Redbacks in your wallet you would know your retirement nest egg is in danger. If it is virtually full of Greenbacks you can believe that the economy is running well using good money created in the economy and not bad money printed by the FED.

Using such a system the FED and your government could not trick you. Your Retirement Nest Egg would have some chance of actually being there when you retire.

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