Terry Savage’s Archives
Below you will find the columns terry has written by date.
Below you will find the columns terry has written by date.
Roth Conversion Advice
Read this column and watch Terry's Roth Conversion Podcast with Economist Larry Kotlikoff, who created the MaxifiPlanner.com software that includes specific advice on Roth Conversions, as described below. To Watch the Podcast, click HERE! Would you send the government a big check this year – in return for a potentially far larger future tax break?..
Social Security Fairness Act Passes!
The Social Security Fairness Act was passed in the waning moments of Congress, just before the budget bill was approved. And now President Biden has signed it into law. It essentially repeals the WEP and GPO – two acronyms familiar to the nearly 3 million American retirees who found their earned Social Security benefits reduced..
Dealing with Debt in the New Year
Americans enter the New Year of 2025 with record amounts of credit card debt! And with an average credit card interest rate of 22.3%! That kind of interest can bury you – destroying all your efforts to get ahead, undermining the hours you put in at work, and painfully demonstrating that they system is destroying..
New Year Head Start
Forget resolutions – just do it! Get your financial life in order by following these easy steps as you move into the New Year. 1. Get Organized. This is the moment when you get to start over with no excuses or recriminations. If you’re still using paper, set up a filing system – a few..
FAFSA, Again!
Last year families that filed the FAFSA form for Federal Student Aid for college found themselves trapped in a computer nightmare. In an attempt to make the process simpler, the government’s botched rollout left many families unable to file FAFSA until January – three months late. And that delayed college notifications of financial aid until..
Holiday Money Gifts for Kids
Every year I devote a column to meaningful gifts for children of all ages – gifts that might grow in value or spark an interest in financial matters, or just be a relief from the online games that take up so much of their time. 529 College Savings Plans. In a recent column, which can..
Understanding IRMAA
Meet IRMAA. This is not a senior’s dating site, but every senior on Medicare should be intimately familiar with IRMAA – the initials that stand for Income Related Monthly Adjustment Amount. It’s the amount by which your Medicare Part B and Part D premiums increase each year, based on your recent modified adjusted gross income..
The Gift of College 529 Plans
The upcoming holiday gifting season is a perfect time to review the incredible 529 College Savings Plan opportunity to build a tax-free fund for college, which can be used by any member of your family. And with recent improvements, even if your child gets a scholarship or decides not to attend college, the money can..
Charitable Giving Done Smartly
Giving to charity is all about money – and if a tax benefit comes along, the gift is much sweeter. But since the tax reforms of 2017 increased the standard deduction, 9 out of 10 Americans don’t itemize their tax returns – and thus don’t get a deduction for their contributions. Giving USA noes that..
RMD Time
Required minimum distributions (RMDs) loom for millions of seniors who have reached age 73. These distributions from retirement plans such as an IRA, 40l(k), or 403(b) must be completed by year end. Avoid the holiday rush, and contact your retirement plan custodian now. The rules are simple, but the penalties for failure to withdraw on..
Part D Q&A Response Plus a New Part D Search Service!
My recent columns and newsletter about the changes in Medicare Part D generated so many terrific questions – most of which I couldn’t answer myself! – that I posed them to Thomas Dillon of JT Medicare Solutions (JT Medicare Solutions | Home). And, like you, the more I know, the more incredulous I become that..
VA Loans
In an election year it’s all too easy to forget the Veteran’s Day holiday on November 11th, even though all Federal offices and banks will be closed. The Veteran’s Day holiday was made official in 1954, but before that it was celebrated as Armistice Day, starting in 1919 and marking the first anniversary of the..
Part D — How to Choose
Medicare’s drug coverage has been dramatically changed for 2025. Figuring out what you should do is one of the most complex challenges you will face in the next few weeks. Only one thing is for sure: Everything has changed so you MUST do something -- even if you loved your 2024 drug coverage. Whether you..
Medicare Open Enrollment 2024
Medicare Open Enrollment in 2024 runs from October 15 through December 7th. This year, more than any previous year, it is important to review your coverage – even if you love your current coverage! The new $2,000 cap on drug costs means that whether you have Part D or have drug coverage under an Advantage..
Medicare Open Enrollment — Big Changes!
It’s time for Medicare Open Enrollment, the few weeks between October 15 and December 7 when all current Medicare beneficiaries must make some important decisions about their coverage for 2025. Even if you were perfectly content with your coverage this year, some big changes are coming that could be costly if you fail to take..
Selling Your Home? Know this!
Despite the soaring value of the stock market, residential homes are considered the largest asset class in the country. The United States’ residential real estate market is worth $43.5 trillion, which is larger than the market capitalization of the S&P 500 stock index and the total value of all U.S. public companies. The housing market..
Valuing College
There is no doubt that a college education is a key ingredient in future success – although these days many traditional trade apprenticeships seem to pay more in starting income than a bachelor’s degree. It’s harder to find a skilled plumber or electrician than a liberal arts grad driving an Uber. The cost – and..
Help for Credit Card Debt
Credit card debt is soaring, interest rates on balances has moved into the 30% range on many cards, and delinquencies and bankruptcies are rising. The statistics are grim as consumers fight to keep up with higher prices, having spent down their pandemic-era savings: • According to data released by the Federal Reserve, credit card balances..
Alone and Older
This column was prompted by a call to a radio program from a man who explained that he is fairly well financially-situated as he enters retirement, but was worried about the fact that he has no children, no close family, and no trusted friends to rely upon as he grows older. It’s a problem that..
History Says Americans Overloaded in Stocks
Famed market commentator Dennis Gartman no longer writes a daily letter. But when he sends out a special bulletin, I pay attention. Today, September 13, 2024, Gartman highlighted stock market history in a very long-term perspective: "I’ve included here today a chart created by the good people at JPMorgan Chase detailing the level of public..
