Obama is going to help me. Again

Hide your wallets. The Messiah is now going to help you to save money.

In his Saturday morning internet address, President Obama announced a plan to help cash strapped Americans, those who actually work and pay taxes – you know the middle class, to “save” money.

I read this on CNN’s website so it must be true. After all, isn’t CNN one of the most trusted news organizations in the country? Here’s the link: http://money.cnn.com/2009/09/05/news/economy/Obama_retiremetn/index.htm?postversion=2009090506

The Anointed One will allow Americans to receive their income tax refunds in the form of US Savings Bonds. Sounds like a great idea, until you think about it for a minute. Savings bonds (Series EE) are issued at ½ their face value. They take twenty (20) years to mature. The bonds cannot be cashed for a period of one year and, if you cash them in before 5 years you lose the last three (3) months interest, plus pay taxes on the amount. See the information by clicking this link: http://www.treasurydirect.gov/indiv/research/indepth/ebonds/res_e_bonds_eeratesandterms.htm#may2005

Now there is an absolutely BRILLANT idea. Let’s say you get a $1,000.00 dollar tax refund. The government gives you a savings bond with a face value of $1,000.00. Sounds good, right. But wait, the bond is only worth $500.00 upon issue. You need to wait for twenty years to get your full $1,000.00 tax refund. Who wins here? Obama, of course.

Americans are dealing with a recession, and according to the President, they need to save. I cannot argue with that. They also need liquid assets to be able to buy things like food, clothing and gas. Then there are the petty things like the mortgage on the house and utilities, insurance on the house, plus cable TV, telephone and internet to be paid. Many Americans look forward to their tax refunds so they can get caught up on bills or make a much need purchase like maybe a new refrigerator to keep their food in, or maybe just save the money for a rainy day.

When they prepare their tax returns and discover they would be getting a 1000 bucks back, people feel good, and can plan on how to best spend that 1000 bucks. The smart ones will take the cash. Those who believe in Hope and Change will take the bonds, only to discover that the government got the change, in the amount of one half of their tax refund, unless they wait 20 years for the bonds to mature.

Now there is Hope and Change that really works. It works for the government.

I guess the old adage is true, the most feared words in the English Language are: “I’m from the government and I’m here to help you”.