Obama Administration

More on the Bond Vigilantes and Inflation Expectations

As mentioned recently , global investors have been signaling their unease with the U.S. budget deficit by selling bonds and subsequently driving up yields on U.S. debt. The U.S. government's decision to employ trillions of dollars in deficit spending as a way to try and kick-start the economy has resulted in higher inflation expectations and higher borrowing rates on everything from mortgages to credit card debt. The yield on 10 year Treauries has increased 1.5% from the start of the year. This...
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A Roth IRA Conversion Might Make Sense with Tax Increases on the Horizon

Both traditional individual retirement accounts (IRAs) and Roth IRAs are tax advantaged accounts.

With a traditional IRA, contributions to the account are tax deductible.  Appropriate distributions from the account are taxed in the future at income tax rates that apply to the account owner's future level of income....

Obama Seeks Automatic Workplace Pensions

The Obama administration seeks to enhance retirement savings by forcing forcing employers to automatically enroll employees in "direct-deposit IRA account." The plan would force employers that don’t offer retirement plans to enroll employees in a “direct-deposit IRA account,” with the option for workers themselves to opt out. Currently, 75 million working Americans, or about half the workforce, lacks employer-based retirement plans, according to the administration. Source: Bloomberg Full Story