Are your Retirement Plans Locked up?

Do you remember playing with that annoying kid in the neighborhood who set up a game, and then changed the rules as the game went on to suit himself? Just like those games, you'll never come out winning with your retirement plan if someone else sets and changes the rules on a whim.

The fact is that when your retirement savings are in a government-controlled plan like a 401(k), 403(b), IRA or Roth Plan, the government can change the rules at any time.

And despite the mass of paperwork your employer handed you when you first began your retirement plan, your employer’s retirement plan rules are not set in concrete, either. Employers can change their rules, even in midstream.

For example, IBM used to give employees their 401(k) match with each paycheck. But some smart bean counter pointed out that Big Blue could save a bundle if they waited to give the match until the very last day of the year instead of throughout the year, costing employees an entire year of growth on the match money.

Could your company be next in line to cut back your 401(k) plan benefits?

And speaking of "Gotchas!" – government-approved retirement plans have more strings attached than Pinocchio before he became a real boy. It’s like having your money locked up in a maximum-security prison. Someone else calls the shots – and you barely get visitation rights!

Think about it: In government-controlled retirement plans, the government tells you how much you can put in your plan and what you can and cannot invest in. The government regulates how much you can borrow and when and how you must pay it back. Mess up and you'll owe taxes and penalties.

The government tells you how long you have to wait before you can begin to use money in your retirement plan – your own money! Then they force you to withdraw the money from your plan by a certain age and pay taxes on it – whether you want or need the money or not! The penalty for messing up on this is 50%!

Roth plans currently have no required withdrawals, but the government has even considered changing that.

If You Don’t Do Things Exactly Right In Your Retirement Plan, Penalties Can Be Very Costly!

The truth is, once you put money into a government-controlled retirement plan, you no longer control it. Your employer and the government control it. Either can change the rules of the retirement plan game any time they want. The prison warden has your money under lock and key, and while your money’s in the slammer, he can force you to accept any new restrictions or regulations he comes up with.

Virtually every year the administration in power releases a new budget proposal which includes provisions that will directly affect your retirement savings if they become law.

Why Would The Government Want Increased Control Of Your Retirement Account?

For the same reason notorious American holdup man Willie Sutton gave when he was asked why he robbed banks: "That’s where the money is!"

The government created these plans, and they know where your money is and how much you have there. It’s the easiest and fastest money for them to get their hands on when they need to find some cash.

How to Take Control of Your Retirement Savings

The Private Reserve strategy is a powerful retirement plan alternative that gives you privacy and control of your money, along with unmatched flexibility.

In addition to being able to tap your money in the plan at any time and for any reason, your plan can provide retirement income when and how you want it, with no government restrictions or penalties for "early" withdrawal or waiting "too long."

Unlike conventional retirement plans, there are no penalties for taking "too little" each year, and no mandatory minimum annual withdrawal requirements.

In fact, the money you have in a Bank On Yourself plan and its growth are generally not even reported to the IRS!

Private Reserve Strategy also lets you enjoy...

* Guaranteed, predictable growth every year – no matter what's happening in the stock market

* Tax-deferred growth and tax-free withdrawals, under current tax law

* You can use your money in the plan, yet still have it grow as though you didn't touch it (if your plan is from a handful of companies that offer this feature)

* You'll be able to know the minimum guaranteed value of your plan on the day you expect to tap into it, and at any point along the way

If you're tired of having to ask permission to use your own hard-earned savings, find out how adding the Private Reserver strategy method puts you in control and can provide you with financial security for life.

Article from 

Pamela Yellen

To freely give is a virtue…to be compelled to give is a vice.”

Douglas A. C. Eze

Chairman and CEO

Wealth Strategist | Financial Advisor

Author | Speaker