Annuities Can Solve the Retirement Crisis
Instead of turning the public against annuities in class warfare, policymakers can emphasize the benefits of annuities and make them a prime part of the solution for retirees dealing with income fears, writes Stan The Annuity Man.
In a previous article I wrote, The Politics of Annuities, I explained how the politicians in Washington have their greedy eyes on the trillions of dollars of annuities already on the books. A few states (California, Nevada) have already instituted a premium tax on income taken from annuities.
As usual, Washington misses the common-sense points on how Americans can prepare for retirement by implementing annuities into their overall financial plan. Politicians always revert back to the tried and true “class envy” card, instead of educating the public on how to achieve the financial independence that Americans instinctively strive for.
Tom Harkin, ranking Democrat member and Chairman of the US Senate Committee on Health, Education, Labor, and Pensions, just released a study called The Retirement Crisis and a Plan to Solve It. A lot of money and time was spent on this study, and some of the findings were shocking. Below are just a few statistics that are surprising, to say the least:
- In 2010, nearly 6 million Americans over age 65 were living in poverty
- Half of all Americans have less than $10,000 in savings
- Just 1 in 5 “working Americans” (their words, not mine!....FYI, I hate that slogan) will get a pension-type income during retirment
- 1.5 million Americans over the age of 50 lost their homes to foreclosure between 2007 and 2011
- Half of the households between the ages of 65 and 74 have no retirement savings
- Only 14% of Americans think they will have enough money for retirement
Harkin, in true liberal fashion, offers remedies that most of the “producers” would disagree with because the government is too involved.