Most investors and so-called professional advisors have little or no regard for the ramifications of what this insanity debt binge is leading to.
For about half of my 40-year career, I have stated that debt is the dirtiest of all 4-letter words, and a less is more lifestyle is the only way to go. Let’s just say that approach didn’t lead to an overrun of new clients and friends.
The greatest book ever written has not one positive verse in it on debt and numerous warnings:
“The rich rules over the poor, and the borrower is the slave of the lender.” Proverbs 22:7
Just ask your financial advisor you are entrusting with your finances to answer just two questions:
1 – The Congressional Budget office says our national debt will hit $50 trillion (just crossed $33 trillion) in less than 10 years. At just a 5% interest rate, the yearly interest payment will be $2.5 trillion a year. The US collected $5.03 trillion in federal revenues in 2022. How will the U.S. be able to pay about half of all revenue in interest payments alone, and still function as a government?
2 – It’s estimated that about two-thirds of all Americans (not counting the millions of illegal immigrants entering the country and will also likely end up with little or no savings when they reach an anticipated retiring age) are working paycheck to paycheck. Given the increased debt levels on all fronts, inflation, weak wage increases, etc., how will most American’s be able to reach the American dream of retirement seen in all financial services industry commericals?
If their answer is “nothing to be concern about”, my advice is simple:
- US debt interest payments are unsustainable and flash ‘huge warning signs’ as they take over federal spending
- The Great Debt Fiasco: How Washington’s ‘Reckless And Opportunistic’ Pandemic Splurge Jeopardized America’s Future
- The market’s heaviest hitters are sounding the alarm on US debt
- An economic divide that is widening’: Almost a third of Americans earning $150,000 a year or more say they’re living paycheck to paycheck and many rely on credit cards to close the gap
- The Looming Retirement Crisis
- Scarier than death? Running out of retirement money
- Many Gen-Xers have zero retirement funds. What can we do to address America’s retirement crisis?
- The Next Crisis in Pensions and Government Debt
- U.S. Heading From Retirement ‘Crisis’ to Retirement ‘Catastrophe’
- Retirement Planning – Eat Less Cheese
- Grandich’s Top Ten