Welcome To Secure Your LifeStyle
Protecting and Preserving our Income
The Aesop Fables We Were Never Told:
The Tortoise, the Hare and the 401K (IRA)
HARE: “Congratulations! You’ve been pre-approved for a $100,000 loan!”
TORTOISE: “Not so fast! What’s the interest rate and when would I need to repay the loan?”
HARE: “Well, I don’t know right now what rate I’ll charge you because I don’t know how much money I might need then but I’ll know the very day you decide to retire and it just so happens that’s the day the loan is due. OK?”
But this is exactly what the IRS asks us to do with our retirement savings when it generously “defers your taxes” when you invest in a 401K or IRA!
Here's another Aesop Fable we never heard:
The Ant, the Grasshopper and Wall Street
ANT: “I’d like to give you my life savings to invest.”
GRASSHOPPER: “Great! I’d be happy to do that for you.”
ANT: “Not so fast. What rate of return are you going to give me and how much risk is involved?”
GRASSHOPPER: “Well, I don’t know how well my investment strategy will work and to be honest, I may end up losing all of your money, so is it OK if I tell you AFTER I know if my performance was good or bad? And oh, don’t forget about my fees. You’ll need to pay me my fees regardless of the outcome.”
But this is exactly how Wall Street works.