Monday I received the annual statement for one of my retirement accounts, a 457 plan. In 2008, I received no interest... nothing, zip, zero, zilch, nada, not one red cent. So why am I grateful for this? Well, I did not lose any principal, either, and this is better than many others have fared.
I've heard of people whose retirement accounts have dropped anywhere from 25-40% including a loss of principal. Although my 457 account is tied to the S & P index, the principal is guaranteed to never decrease. But since the interest rate is keyed to the performance of the S & P, the account earned 0% in 2008. Yet, it could have been much worse.
Earned 0% interest and grateful!
January 27th, 2009 at 05:50 pm
January 27th, 2009 at 06:19 pm 1233080390