Skip to main content

View Diary: Drained retirement funds signal acute looming crisis (286 comments)

Comment Preferences

  •  I'm one of these people in the statistic (2+ / 0-)
    Recommended by:
    chickenfarmerwood, Whamadoodle

    I'm 57 and I've had to pay taxes and penalties for two early withdrawals from my IRA in recent years.

    The first one was to make a downpayment on a house -- because during the real estate bubble there was simply no other way to afford it in our area. We weren't speculators or looking to buy a mini-mansion that we couldn't afford; just working folks who needed a place to live. All the agents and experts said housing would continue to increase, so grab your chance before the prices escalate any further, etc. Bought a 2-BR townhouse. And then Wall Street crashed the housing market. We lost the retirement money I'd used for the house, all our equity, and still ended up owing the bank several thousand dollars for a second mortgage balance even after a short sale.

    The second withdrawal was in 2012 for economic hardship -- because the economic "recovery" never really happened for everyday working people, my business remained flat and my income was at survival level -- even as my health insurance costs (private market policy because I was self-employed) kept increasing, rent, and other living costs kept increasing faster than ever.

    Now, thanks to the Affordable Care Act, I have a good subsidized health insurance policy for about half the out of pocket cost. But I feel that our political class seems to have either written us off, or become so demoralized and meek that they've lost the will to save this country while there's still time.

    God Bless you, Elizabeth Warren, Bernie Sanders, the Moral Mondays movement, and those few real fighters we still have who won't give up.

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site