Investing money from my daughters special need trust to benefit her future
Dear Terry, I listen to your segment on WGN and find it helpful. I need guidance. I’m not at all smart when it comes to finances so the more simple the better. I have a special needs trust set up for my daughter however the money in the trust approximately 100K is earning nothing. How can I invest this money to benefit here and not lose any of it. She’s not in need of the money for the next several years. I lose sleep worrying about her future. Please guide me in the right direction. I want to do right for her.
Terry Says
I understand your reluctance to take risk, but the safest investments will barely keep up with inflation.
That said, this is my true definition of “chicken money” — money you cannot afford to lose.
Read this: https://www.terrysavage.com/t-bills-beat-cds-2/
Then set up a trust account with TreasuryDirect.gov as described in the article. But 6-month Treasury bills, currently yielding about 5.25%. Set them up to automatically renew at maturity; the rate at that time is unknown but will keep up with inflation.
