First of a Multi-Part Series on Health Care “Reform” – the Largest Tax Increase in a Generation (They are Coming After Your Annuities)

Did you save money for retirement?

A lot of people used Annuities – a tax deferred growth vehicle where you put after-tax money in a lot of cases into an insurance policy. The Insurance Policy (called an annuity) comes with a guaranteed rate of return, a guarantee against loss and in some cases a Death Benefit.

Annuities caused companies like the Principal and the Hartford to have to take bailouts when the Market dove. They were stuck with guarantees beyond their ability to indemnify.

Congress decided to tax your money twice to pay for this Health Care “Reform”.

We all know that now you’re required to buy Health Insurance now and the IRS will chase you down with fines if you don’t – but if you save for retirement, the government will tax it twice.

The tax is 3.8% on money you already paid taxes on before you bought the annuity. It resembles the Death Tax (Estate Tax) taking after-tax assets and taxing them again.

The Insurance Industry is in an uproar over this. Many of these same insurance companies gave large amounts of money to the very people that wrote the Health Care “reform” bill.

Nuts. And, there is a lot more where this came from… stay tuned.