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.
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..
REAL Financial Planning
Caution: Read this column only if the idea of “running out of money” in your lifetime (with the exception of Social Security) keeps you awake at night! Relying on conventional financial planning could give you a 20% likelihood of that result. In my columns I try to recognize the diversity of my readers. The one..
The Fed, Money & Markets
The Fed has spoken. Chairman Jay Powell clearly declared victory over inflation at his annual Jackson Hole, Wyoming press conference. The next direction for interest rates is down. The Fed appears to have done the impossible: reduced inflationary expectations without causing a steep recession and loss of jobs. While inflation is not yet down to..
Mind the Insurance Gap
Nothing could be more devastating to your personal finances than an uninsured illness or accident. Yet each year, many Americans inadvertently find themselves caught in between insurance coverage as they change jobs or wait too long to apply for Medicare. The rules are tricky, and worth examining — especially now that changes are coming in..
Finding Trusted Financial Advice
Whether your retiring and rolling over your 40l(k) or just starting to build your financial future, it pays to get trusted financial advice. The key word here is “trusted”! There’s plenty of financial advice around, but does it come from someone who is “on your side” – working to build your retirement – not theirs?..
What’s in YOUR 40lk?
What’s inside your retirement plan? That’s a question every boomer should be asking these days, according to Ron Surz, of Target Date Solutions and the Baby Boomers in Jeopardy newsletter. Surz has patented a “safe glide” strategy that he says will better protect retirees from the risks inherent in most Target Date Funds. For two..
Fed & Election Year Politics
Here's a short special column intended to deal with the question of whether the Fed has any particular political inclination to cut -- or not cut -- rates this close to a Presidential election. The Fed ALWAYS says it is NOT political -- and history bears this out! In this excellent piece of research (linked..
Living Longer
How long do you think you’ll live? That’s not an idle question, since so much of your financial planning depends on your likely longevity. Of course, no one knows the future for sure. But at least you can put the odds on your side. The entire art of financial planning is to make your money..
Scholarship Time
Announcing free money! Did that get your attention? If you have a high school child or grandchild, don’t let them miss out on free money for college – not based on need – that is being handed out starting now! Instead of heading back for senior year in high school hoping to coast for the..
No Place to Hide
The world is awash in geo-political confusion. In England, a new Labor government was just elected by a landslide, after 14 years of Conservative rule, which included Brexit. But the new Labor prime minister is said to have an authoritarian bent. In Canada, the existing 8-year reign of Liberal Prime Minister, Justin Trudeau, faces losing..
Statute of Limitations on Clawbacks
Most people would agree that for horrendous crimes there should be no statute of limitations for prosecution. For example, the Federal government and most states impose no statute of limitations on murder charges. But in the case of sexual assault, state laws vary from requiring charges to be filed within only two years of the..
Dangerous Stock Market Complacency?
The stock market keeps reaching new highs on the major indices – The Dow Jones Industrial Average, The S&P 500, and the NASDAQ. A casual glance at the evening news headlines gives the sense that all is well in the financial markets. Last week’s column discussed a Harris poll showing that 56% of American’s think..
What Recession?
More than half of Americans – 56% to be exact – believe the United States is in a recession, according to a new Harris Poll. And all of those people are wrong. The classic definition of a recession is two consecutive quarters of negative growth – measured by GDP – gross domestic product. We haven’t..
Stealing Your Secrets
Identity thieves have a new way of gaining access to your finances. Even if you’ve frozen your credit report, they can grab your money by taking over your phone number. It’s called ‘sim swapping.” It’s all done electronically – and it defeats the authentication controls that most banks have in place. You may have been..
Homeowner’s Insurance — Or Not?
If you own your own home, it’s no surprise that your homeowner’s insurance premium has soared. Opening that bill, you might find a 25% increase, or more – even though you’ve had no claims. If your premium is included in your monthly mortgage payment, you’ll get notice of a jump in your monthly payment. Insurance..
Long Term Care Insurance — A Creative Way to Pay
The most unexpected and costly expense of retirement is the need to pay for long term custodial care – a burden that is not covered by Medicare or supplements. No one wants to think about needing help to eat or shower or do the basic activities of daily living. But you ignore the possibility at..
News on Student Loans and Credit Card Rules
Consumers just got some good news about a student loan forgiveness extension and about protections on credit card late payment charges, resulting from a Supreme Court ruling on the Consumer Financial Protection Bureau. Here’s what you need to know: Student Loan Forgiveness Extended The deadline for applications for student loan forgiveness has been extended to..
Changing Work World
The unemployment numbers are encouraging. The unemployment rate has remained below 4% for 27 months, the longest streak since the 1960s. Average hourly wages are up 4.1% over the last year – slightly beating inflation. The economy has added around 200,000 new jobs every month. Those financial headlines go beyond economic statistics and political maneuvering...
Rollover Advice Rule
Have you noticed how much your 40l(k) plan has grown over the years? There’s now nearly $11 trillion in these retirement plans – boosted by years of continuous investing in a bull market, and by employer matching contributions. And now as boomer retire, more than $1 trillion every year is “up for grabs” as 40l(k)..
I-Bond Update — and Advice
The new rate for Series I bonds purchased after May 1, 2024 is 4.28%. That includes a new higher base rate of 1.3%, which will stay with the bond for its entire lifetime. Future inflation adjustments to these bonds will be made on top of that 1/3% fixed base rate. Series I bonds purchased two..
