Will government debt destroy retirement savings?
It’s no secret that the United States is in a massive amount of debt, which is over $23 trillion now. The clock is ticking on the Chinese debt bomb that could spark an economic catastrophe and trigger another financial crisis. To make things even worse, your savings could be bailing out the Chinese economy. The Chinese crisis has already set changes in motion that can affect the U.S. economy.
But the real question is what this mounting debt could mean for you. As a retiree and investor, you need to be aware of what rising debt means for your future. It cannot just increase interest rates but also lower stock market returns. With the Federal Reserve already shifting into inflation-fighting mode, it’s just a matter of time before Americans become cash strapped. When you deliberate on factors that can affect your financial security in retirement, you can’t undermine inflation and its consequences on your overall retirement budget.
But what does it mean for baby boomers as they move into retirement? If the government debt grows too large, it could impact your retirement investments in a painful way. This leaves them with the possibility of lower benefits and paying more in the form of taxes. Your retirement savings might not be able to match your cost of living increases.
Some advance planning can help you have a comfortable retirement. With the potential for taxes going up, mounting inflation and retirement savings going down, a gold IRA could be the savior for retirees. It allows them to turn it into income they’ll have for the rest of their lives.
Gold IRAs can retain their value even in turbulent times to help reduce the risks associated with lower retirement savings and rising costs. The rising government debt calls for having a financial vehicle like a Gold IRA that you can count on for your retirement apart from your retirement savings.
Don’t let another minute go by that your Retirement accounts aren’t protected with gold. Call a Century Gold specialist today to discuss ways to safeguard your future.