IRA {Individual Retirement Arrangements}

Now, an IRA is good to have if you work for a small company
that does not have a retirement plan. You contribute a set
amount, and the company also contributes, through payroll
deduction. It is a good way to put aside some money for your
retirement. And with an IRA, like a 401k, the company
contributes also. It's like you get free money.

Also, like a 401k, if you want to take money from your IRA,
there are penalties and fines. These types of plans are not
meant to be like a bank account, or saving account. They are
for investment in your future. That is one reason for the
penalties and fines.

In order to be allowed to withdraw funds, you have to have a
good reason. You don't want to take funds to go on vacation,
or buy new clothes. Or that new LCD TV that you want.

The money that you lose from penalties is substantial, so only
take money from these types of plans as a last resort. If you
really need the money. For life changing events. The only one
that I really think that falls into this category is JOB LOSS.

Now, in a normal economy where most people don't have much
of a problem finding a job, there most likely wouldn't be any
reason to withdraw any of your money. In the times we live in,
most married couples both need to work, just to survive.

So, if one of you lose your job, after a short time it gets real
rough to get your bills paid. And when that person cant find a
job for any length of time, you begin to worry.

And what about if BOTH of you lose your jobs? It sure doesn't
take a rocket scientist to figure it out. If your living pay
check to pay check, as so many people are, then what do you do?

Over the years, I have heard that everyone SHOULD have enough
of money in a savings account to get you through 6 months of all
your living expenses.

How many people do you know that have that much money?

How can the average person, married or single, put away ANY
money raising a family? Unless you make over $100,000 a year,
you just cannot afford to save enough to get you through 6
months without a job.

Some people that are married only stay together for the income.
They just cant live on their own, with just one check. And the
way it is today, that check for allot of people, is not from a
job, its from UNEMPLOYMENT

Now if you are married, and both of you are unemployed, what
do you do?

The only thing you can do is look at your IRA or 401k. You go
for as long as you can before you decide you have no choice.

This is when you find out, first hand, how bad things really are.

I fall into this category. Both unemployed, running out of money,
and have no choice but to take my IRA, before I cant pay the bills.

The only thing I can say is DO NOT wait until the last moment.
Do not wait until your mortgage is past due, or your car is about
to be repossessed. And now I'm going to tell you why.

These investment firms do not want to give you your money.
They PLAY games with you.

You make that dreaded first phone call, asking to get your money
and they tell you " I have to research your account, and I will
call you back". That call may not come. In my case that's what
happened. I had to call again to hear, " Oh, I was supposed to
call you, wasn't I? I'm having trouble getting into your account".

After 6 days of me waiting, I'm told nothing has been started.
Is that what I wanted to hear? Not on your life. Will I ever be
able to get my money? I guess time will tell.

IRA'S and 401K's are real. They are good investments for your
future. But there comes times that you have to make a choice.

Can I afford NOT to get my money NOW and hope I can keep
the roof over my head and food on the table?

Everyone has to make that choice for themselves.
If you can wait it out, then that's what you should do. I waited
as long as I could.

My wife has been out of work for 5 months, me for one month. I
waited as long as I could, so for me I had to make the choice to
TRY to get my money. Now I will see what happens.

These investment plans ARE NOT SCAMS. They are designed
for retirement. And by what I'm going through, it shows me that
money is tight, all over. But we all have to do whats right for us.

The economy WILL get better. And if the people that have money
get off their butts and spend some, it will get better soon.

I'm not too worried for me, but I do worry about the people that
have no place to turn. The people that were never able to afford
an IRA or a 401k.

The people that have no more unemployment, and no home.

I never imagined that I would see the economy get as bad as it
is.

To place the blame, would be no help to anyone. We just
need to correct the mistakes we made, we ALL made. I only
hope that we have learned a valuable lesson. I know I have.

If we all help each other get through this, it will get better soon.

I'm not a very religious person, but I do have faith. I have faith
in God, and myself. What better combination can you ask for.

We can never lose our faith!

We can never give up!