Ted Benna Father of the 401K Monster

Ted Benna, “Father of 401K” says 401K Plans are a MONSTER.

It caused quite a stir when the man who is credited with being the “father of the 401(k),” Ted Benna, announced that he’d put a substantial portion of his own money – “probably the biggest part of my wealth” – into what is most commonly known as a Bank On Yourself plan.

You see, since 2011, he’s been calling the 401(k) a “monster” that “should be blown up.”

Benna is credited with capitalizing on the tax code to create a way for workers to supplement the pension plans that many people used to rely on for retirement income. Those plans have been disappearing, and 401(k)s were created to hopefully help pick up the slack.

But over the years, Benna watched Wall Street and Big Business pervert the 401(k) in ways he couldn’t possibly have predicted. In an interview, he discussed three reasons why we should be very leery of 401(k)s and IRAs:

1. The next stock and bond market crash could wipe out 40% of the typical portfolio.
2. Wall Street has hijacked these plans, and the excessive fees charged by mutual fund companies and plan administrators are robbing you of up to half of your nest egg.
3. The government may repeal the 401(k) and IRA, so you won’t be able to put any more money pre-tax into these accounts, or the amount you can put in will be drastically reduced.

The Wall Street fat cats always get paid – whether we win or lose.

But the real story here is Benna’s admission that he has, in his words, “put most of my money” into the high cash value, dividend-paying whole life policies most commonly known as Bank On Yourself-type plans.

Benna says these plans avoid the dangers that traditional retirement plan accounts face. Another reason he likes this type of plan is because of its tax advantages.

Wall Street has been extremely successful at convincing us to buy into 401(k)s, IRAs and similar government-controlled retirement accounts lock, stock and barrel. Most people have little or no savings outside of these vehicles, according to the Federal Reserve Survey of Consumer Finances.

Don’t put your head in the sand – find out TODAY how the Bank on Yourself strategy can bring true lifetime financial security to you and your family.