An obnoxious guest showed up at our Thanksgiving dinner this year.
We didn’t want them anywhere near our house. All they do is take, take, take.
But there was no way to avoid it. We just had to bite the bullet and deal with it.
The thing is, they showed up at your Thanksgiving, too.
Maybe you thought it wasn’t a big deal. But if you’re not careful, you’ll wake up one day and they’ll have taken away your retirement.
So today, I’d like to start showing you how to deal with this unwelcome guest…
And help make sure you keep your retirement on track.
Prices Are Skyrocketing
Have you already guessed who (or what) this unwanted guest is?
You see, we spent a small fortune on Thanksgiving this year. And this graphic, courtesy of the American Farm Bureau, helps explain why:
The price of a turkey — up 24% since last year.
The price of dinner rolls — up 15%.
Even the price of cranberries is up 11%.
Is this normal?
The Secret Retirement-Killer
Historically speaking, prices go up by about 2% to 3% per year.
For example, you can probably remember when going to the movies cost about $5. But today in New York City, a ticket will run you nearly $20.
As you probably know, this phenomenon is called inflation.
But what almost no one talks about is this:
Inflation is the secret retirement-killer.
You see, even with a “low” inflation rate of just 2% to 3%, prices essentially double every couple of decades.
To put this another way, your money will only buy half as much as it used to — and your retirement fund might only last half as long as you’d planned.
A 75% Hit to Your Portfolio
But here’s what’s so scary:
Because the U.S. government keeps printing trillions of new dollars, inflation is skyrocketing right now.
According to the Bureau of Labor Statistics, in October 2021, U.S. inflation surged to 6.2%.
That’s its highest level in more than thirty years, and the Fed is having a very hard time controlling it. In fact, as CNBC reported on Tuesday, the Fed is “wrestling with inflation that has been more aggressive and persistent than they had anticipated.”
This is a dark omen of what’s to come.
With 5% or 6% inflation, instead of doubling every 20 years, the cost of basic goods and services will increase by about 4x.
And that means you could be paying 4x more for your rent, your groceries, your travel, etc.
In other words, your retirement nest-egg will be worth just 25% what you thought it would be worth.
Here’s a Way Out of this Mess
This is terrifying.
Imagine that you finally retire, you’re finally able to spend time with your friends, family, and loved ones....
And then, when you turn 70 or 75, you have to go back to work.
But as Wayne will show you tomorrow, there’s a way out of this mess…
It’s a way to protect yourself from inflation — and neutralize this unwanted guest.
So stay tuned. Wayne will reveal more in tomorrow’s newsletter!