The RETIREMENT CRISIS That Never Was

It Pains Me To Write This But…

The Mainstream Media still has enormous power and, as such, many people’s financial lives are about to be turned upside down.

Disagree and even unsubscribe if you must but this Coronavirus fear is nuts.  As of RIGHT NOW, in the US, there are 3244 confirmed cases with 62 deaths.  40 of those deaths are in Washington State and the bulk of those are from ONE PLACE.

Yes, Italy is struggling.  But did you know “the combined mortality rate for France, Germany, Switzerland, the Netherlands, the United Kingdom, Denmark, Sweden, Norway, Belgium and Austria (which together have around 2/3 the total number of confirmed cases as Italy) is less than 1 percent.”

Of course, deaths are easy to identify. Actual people contracted the disease not so much.  So, we can safely assume that the death toll/infected is MUCH lower.  Pretty simple stuff here.

China still is reporting 3203 deaths of which 3085 are in ONE location, Hubei.  Not much change since yesterday. Do I trust Commies? No. But what else are you going to go on?
South Korea seems relatively stable at 75 deaths and just over 8100 cases.

You can track this info yourself here.

Unfortunately, in the Home of the Brave, in my locale, we’re told that no one, and I literally mean NO ONE, should be on the community tennis courts due to risks of the virus.  Hoboken, NJ, apparently is enforcing curfews from 10pm to 5am.

Again, this is nuts.  Some crazy guy on Joe Rogan’s show says MILLIONS could die, Obama’s former director of the CMS, the same thing, and VOILA, EVERYONE panic!

This is Public Choice economic theory in full view for all to see.  Bureaucrats want to expand their power.  Out of office political hacks the same. People involved in a certain line of work the same.  And the way they do that? Scare the living hell out of people.

Why do you think FIdelity investments publishes it’s annual “Estimated Cost of Health Care in Retirement”?  (I’m linking the 2015 version here because it’s the first that came up. But trust YEAR In, YEAR Out, it’s the same thing…)

Fidelity publishes this with the full intention of SCARING YOU.  You aren’t saving enough!  You need help!

And thankfully the good folks at Fidelity are there. “In addition to helping investors prepare for the escalating costs of health care in retirement, Fidelity offers education on a broad range of retirement savings issues, including: asset allocation in 401(k)s, 403(b)s and IRAs, developing a retirement income plan, and how to rollover a 401(k).”

Ironic, no?

Unfortunately, the fear is setting in and is going to hurt innocent people.  From Instapundit.com comes:

VIA EMAIL FROM OPEN TABLE:

Looking at comprehensive data from restaurants on our platform — across online reservations, phone reservations, and walk-ins — we note sharp declines over the last week. In the United States and United Kingdom, we see a 20 percent reduction in total seated diners vs. last year. Mexico and Canada are down 15 to 17 percent. At the city level, diners are down approximately 45 percent in Seattle, 40 percent in San Francisco, 30 percent in New York, and 25 percent in London, Los Angeles, and Chicago. (All declines cited here are on a year-over-year basis.) . . .

There are going to be millions of people with significant income losses because of the media hysteria.  Some could potentially lose their homes.  But hey, small price to pay if it hurts Trump, right Bill Maher?

In fact, I’ve already had not one but TWO people pull out of a potential financial planning relationship due to waiting until this all blows over.

Thankfully, I DO have enough revenue from other sources and ALL my debts are paid that I can last for a few months.  But if you work hourly, in commissioned-based sales, for tips etc. you’re going to be in a world of hurt.  By no fault of your own.

BUT, there is an obvious solution.  Japanese once again shows us the way…by what they did NOT do.   We can look back to our own situation in the late 1920s too and NOT follow that model.

Flood the zone with dollars!  That’s the remedy.  As I’ve stated in a few videos last week, debt is NOT an issue.  Deficits are NOT an issue.  Socialism IS the issue. If we have no Socialism we have no scarcity and thus no hyperinflation.  In fact, in a recession we NEED inflation.  Ask Japan.

Yes, you can argue with me here.  But you need to show evidence that in the modern era large deficits and debts lead to hyperinflation, as is the concern.  None exists, that I’m aware of. The opposite does, though.  Japan and the U.S.

Watch this video where I show you what needs to be done. The time is now.

What if they continually called for a Retirement Crisis but none emerged?

The perpetual claims of doomsdayers of a “Retirement Crisis” remind me almost verbatim of the climate alarmists.  “We’re all gonna die…unless we do this, that and the other.”

These two groups have been saying stuff like this for years, decades, shoot go back to Malthus, for centuries.  But, once again, humanity continues to show its resilience and just trucks along, day after day, living better, more abundant lives…much to the chagrin of the naysayers.

But, the battle still must be waged even with the evidence in front of our very eyes that things are good and only getting better.
The alarmists always have the loudest voices and are quick to label anyone who disagrees as deniers and anti-science, which only serves to silence those who disagree.

Be it as it may, the truth ultimately prevails(well, I hope).  So, what a pleasure it is to have interviewed for a second time Andrew Biggs from the American Enterprise Institute last night on my LiveStream.

If you didn’t catch the live version may I suggest to you to watch it? It’s a breath of fresh air that ALL Americans need to hear when it comes to their retirement planning.

Andrew had a lasting impact on YOU specifically, when it comes to your Social Security statement and some of the tools you have access to at the SSA.gov.

While he readily admits his impact wasn’t huge because of the nature of bureaucracy, this one guy actually has made a profound difference for every American.  I find that fascinating, and motivating too.  One person can change things, even if it seems just a ripple in the water.  That ripple can create an unstoppable wave.

When I asked Andrew his thoughts as to why it seems researchers are willing to ignore the overwhelming evidence that there is no retirement crisis, he gives these folks the benefit of the doubt.

He says essentially “well, they would say, ‘it can’t hurt for people to save more.  And if we need to scare them to do it, so be it’.”

I am not as diplomatic though. It CAN hurt to scare people to save more if that means they are stretched thin today and thus are needlessly stressing.   I deal with this every, single day! In fact I just received an email from a guy who’s been downsized and is seeking guidance from me saying “I will pay whatever. I’m scared for my family.”

What causes family chaos more than anything? Financial concerns!  Heck Jesus talks about money all the time.  In fact,
“Jesus spoke about money roughly 15% of his preaching and 11 out of 39 parables. It was his most talked about topic.”

Money is a big flippin’ deal. Financial fear and stress breaks up families and hurts children and our country. This is no joke, and shouldn’t be treated as simply collateral damage to promote an agenda by the academic elite.

You know what else is causing an insane amount of stress today?
Fear of climate change.  There is a cottage industry now of eco-anxiety due to the overwhelming pessimism from the elite about the state of our environment.

And just like with financial awareness, the climate doomsdayers say “well, what bad can happen by encouraging people to live ‘greener’?”

Well, for starters tons of people, many of them children, die every year from breathing bad air due to having to burn wood and cow dung to heat their homes and cook their food.  If these people had access to fossil fuels they’d have more than a fighting chance of survival.  And who knows, maybe one of them could solve the issue with energy storage in batteries.

But because of the pessimists people are scared. A scared people, of course, means they’re easier to lead.  You could even make a case for why religion is so dominated with fire and brimstone.  A preacher saying “if you don’t listen to ME, you will be damned for all of eternity!!!  Now do as I say!”  What could be scarier than that.

(I choose the C.S. Lewis take.  You’re in front of the Pearly Gates and St. Peter says “are you ready to confess and bow before God?”  You say “No. I refuse to believe.”  St. Peter then says “Okay, thy will be done.” And sends you on to whatever awaits for you, bereft of God’s everlasting love…by YOUR own choice.

You see the subtle difference between the two issues here?  One path convinces you to follow based on fear.  The other based on love.  Which do you think God wants you to choose?  Yes, you fear God, but moreso because you can’t imagine a world without His love, not because of the punishment that awaits. There is no punishment worse than not loving God and allowing Him to love you back.)

So, if you’re following me, I refuse to fall for the fear-mongering.  My own life is proof enough for me.  I imagine if you really thought about it too, you’d look at your own life as all the evidence you need to say “wait a second. I AM better off today than I was 30, 40, 50 years ago!  What the heck are these people bellyaching about?”

So join us and be part of the ripple of optimism.  And who knows, maybe together we’ll form a wave that will swamp the doomsdayers and allow people to relax and live more fulfilling lives.

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