Monday, June 24, 2024

Biden Turns American Dream of Retirement Into a Nightmare; Half of Baby Boomers Expect They Can’t Retire, Market Analysis Research Group Says; BIDENOMICS Is Pulling Folks Out Of Retirement: “The Inflation Costs Are Just Unbelievable”

Photo: Chip Somodevilla/Getty Images
Biden Turns American Dream of Retirement Into a Nightmare:
If you’re one of the millions of Americans struggling to save for retirement today, get ready for more struggle, at least if President Joe Biden gets his way. He’s proposing a tax hike on savings that would mean a negative rate of return for many people after adjusting for inflation.
As part of his trillions of dollars in tax hikes, Biden has proposed a 45% tax on capital gains, painting it as a tax on the boogeyman of “greedy” billionaires. In reality, 12.5 million Americans—mostly middle class—pay this tax on their retirement savings.
That’s why every American should be horrified that Biden wants to raise this tax to the highest rate in 111 years. Such a move would severely hamper people’s ability to save for retirement, and it would cripple economic growth.
This is especially true in the high-inflation environment created by Bidenomics. The declining value of the dollar is critical when planning for retirement since it means you need to be prepared to pay much more in the future as the cost of living climbs ever higher.
That forces people to put their savings into investments with higher rates of return, a phenomenon known as chasing yield. If someone buys a bond with a 3% yield, but inflation is 4%, then the person’s real (inflation-adjusted) return is negative because the larger number of dollars lost so much purchasing power.
Of course, even if you lost money in real terms, you still have to pay capital gains tax on the paper gain.
A 45% tax leaves our 3% bondholder with a 1.65% nominal return on investment, but a real return of negative 2.35%. The one-two punch of inflation and capital gains means saving is for suckers. --->READ MORE HERE
AP Photo/Elise Amendola, File
Half of Baby boomers expect they can’t retire, market analysis research group says:
So will the retirement years be a leisurely lifestyle of hobbies, golf greens and good books? Not necessarily. A certain age group plans to keep on working.
“Baby Boomers are putting retirement plans on hold,” according to, an opinion research group focused on market intelligence.
“New data show that many Americans approaching or already of retirement age plan to keep working at some level of frequency to support themselves. 53% of U.S. adults aged 55-plus expect they will need to continue working in their retirement years, with 16% saying they will rely primarily on working for their income,” the organization said in a brief report released Thursday.
And the presidential campaign rolls on. Donald Trump will journey to Las Vegas this weekend for a pair of significant events. He’ll attend what appears to be a splendid campaign fundraiser on Saturday evening at an undisclosed location. He’ll then host a rally at Sunset Park on Sunday at high noon. The site boasts an amphitheater that offers lawn seating for 3,000 spectators.
Of note: Las Vegas is under an excessive heat warning through the weekend — when temperatures could soar to 108 degrees.
Heat or not, this is fairly friendly territory for Mr. Trump, who leads President Biden by 5.4 percentage points in Nevada, according to a average of recent polls conducted by The Wall Street Journal, Bloomberg, Cook Political Report, The New York Times/Siena College and The Hill/Emerson College.
Meanwhile, Tony Grady — a self-described grassroots Republican now running for U.S. senator in Nevada — continues to gain momentum on the trail, according to a statement released Thursday by his campaign.
“Tony continues to court voters on the trail while his opponents rely on their big-donor friends and refuse to face voters,” the campaign said in anticipation of the state’s primary election on June 11. --->READ MORE HERE
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+++++BIDENOMICS Is Pulling Folks Out Of Retirement: “The Inflation Costs Are Just Unbelievable”+++++

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