Watch this video below to listen to Joe Montana's Advice on The recent enactment of the Inflation Reduction Act may be a "Big Win" for President Biden, but its consequences could be detrimental for retirement savers. This legislation will increase spending by nearly $800 billion, with projections indicating it will have no impact on inflation. Consequently, the act leaves retirement savings vulnerable to erosion by:
- Keeping the value of the U.S. dollar down
- Keeping prices up
- Reducing the buying power of money saved for decades
- Shortening the weeks, months, and years that retirement funds will last
Although liberal lawmakers and the administration claim this act will improve our lives, many Americans are skeptical as the numbers don't seem to add up.
The Inflation Reduction Act's Enforcement Measures
The Inflation Reduction Act is expected to expand spending and maintain high inflation levels. To pay for this increased spending, the act allows the government to target taxpayers by:
- Allocating $80 billion to expand the IRS
- Earmarking 60% of the $80 billion for tax enforcement
- Hiring 87,000 additional IRS employees by 2031, more than doubling its size
These measures will likely result in a surge in tax audits, with an estimated $200 billion worth of them. Although the White House insists enforcement under the new law will target only "wealthy corporate tax cheats," contradictory facts suggest otherwise:
The act does not specify income-limited audits.
An amendment proposed by Republicans to protect lower-income Americans was voted down by Democrats.
Congress's Joint Committee on Taxation estimates that 78% to 90% of the additional $200 billion the IRS is expected to collect through the act will come from small businesses earning less than $200,000 per year.
As the government continues to spend more and chase taxpayers to foot the bill, it seems to neglect the act's purported goal of reducing inflation.
Preparing for the Financial Fallout
The answer to preparing for these uncertain times lies in diversification, particularly for those with over $100,000 in IRAs or 401(k)s. To learn how to fight inflation with a physical gold IRA, download the "Inflation Fighter Kit" prepared by Harvard-trained economist Devlyn Steele. This free 28-page Gold IRA Guide is filled with valuable information and tools to help you diversify your investments and hedge against inflation.
The Advantages of a Physical Gold IRA
A physical gold IRA offers several benefits, particularly during times of economic instability:
- Protection against inflation: Gold has historically preserved its value during periods of high inflation, serving as a hedge against the diminishing purchasing power of paper currencies.
- Diversification: Gold does not correlate with traditional asset classes like stocks and bonds, allowing for a diversified portfolio and risk mitigation.
- Safe-haven asset: Gold is often considered a safe-haven asset, drawing investors during times of economic uncertainty and market volatility.
How to Get Started with a Physical Gold IRA
The "Inflation Fighter Kit" provides guidance on setting up a physical gold IRA, covering crucial topics such as:
- Understanding inflation's mechanics and its impact on retirement savings
- The history and benefits of gold as an inflation hedge
- The workings of a physical gold IRA and its advantages for retirees and retirement savers
- Step-by-step instructions for opening and managing a physical gold IRA
- Regulatory guidelines and best practices for purchasing, storing, and selling physical gold within an IRA account
In Conclusion
Protecting your wealth through diversified investments is crucial in today's unpredictable economic environment. A physical gold IRA offers a reliable and proven hedge against inflation, serving as a stable store of value and a safe-haven asset during economic uncertainty.
Click here to sign up for the guides.