Ask Terry Archives

Hi Tarry, I read your article in the UT-SD today about HEloc interest deductability. If my HELOC was originated and has principal amount was 65k, will that interest be deductable under new tax law regardless of how the money is used? thanks

Will Social Security be taxed the same way in 2018 as it has been taxed in prior years?

Here I am again asking a question for my niece. One of her daughters graduated Willowbrook High School in late May of 2017. She turned 19 in October of 2017. She meets the IRS definition of full-time student (“A full-time student is one who is enrolled for some part of five calendar months for the…

We are both retired and have a comfortable income from pensions and my wifes SS, at present I'm not collecting my SS. We have a sizeable investment with a financial advisor which at this time we do not take any withdrawls from, I'm calling it legacy money at this point. In my wife's portion which…

Hello Terry, How should someone balance saving for retirement (for me, 30-35 years from now) versus saving for medium-term goals like a house downpayment? I'm saving about 22% of my gross income for retirement by maxing out my 401k and IRA contributions, and am fortunate enough to be able to put money into taxable savings…

Line of credit taken out in 2015 used for various reasons including roofing, can I still deduct the interest on my 2018 taxes?

I've been using for the last three years both a Robo investment company (.25%) and a % fee-based financial adviser (1.5%) to manage separate retirement accounts. Both fee structures (shown) are based on a % of total funds managed. Is it possible, or advisable) to compare the net after fee returns of one account to…

Can you provide a safe website to order a free credit report? I am very concerned I will give sensitive information to a scammer. My score recently decreased for no reason. Thank you.

Good Morning Ms Savage, I checked the IRS withholding calculator, based on your recent column in the Chicago Tribune, and I plugged in my numbers from last year. Guess what? My taxes are going up! Maybe you could run some scenarios and print the results in another column. I would be happy to share my…

Hi Terry! After talking with way too many 'professional planners' who don't seem to get what I'm talking about, my best friend suggested I contact you. (best idea she's had in a while.) Here's my situation: I'm married to a great guy who is 10 years younger than me. He works full time. I work…

Are there any investments protected from creditors like mortgagor? I heard on radio show that there are some annuities protected from creditors.

Hi Terry, I am 62 years young and my husband is almost 57. He has been with AT & T for 30 years this month. Our original financial adviser was from Edward Jones but he moved so we were referred to Baird by our accountant & we transferred to them late last year. I don't…

Dear Terry I have recently "found" your website and appreciate your sage advice. I have recently returned to the US after considerable time overseas. I have a been able to save a decent amount of cash for my children's college funds. With my two children just 5 and 7 years away from starting college, does…

Our financial advisor is recommending that my husband and I move $250,000.00 from our mutual fund account and put it in to a 7-year annuity at 6% due to possible impeachment, etc. There is currently $326,000.00 in the fund. We also have a good amount in IRA's, Traditional and Roth. My thought is to keep…

I understand I can take distribution at 55 without penalty because I am fired in the year I become 55. Questions is, if I take a part time or full time job again in the following year does this create a problem to deal with.

I AM TO OBTAIN AN INHERITANCE FROM MY FATHER THAT RECENTLY PASSED. SOME WILL BE CASH AND MOST OF IT WILL BE STOCKS. WHICH I CAN EITHER JUST CASH OUT OR KEEP WHERE ITS AT, CURRENTLY ITS IN A MORGAN STANLEY ACCOUNT. I WOULD SAY THERES MAYBE CLOSE TO 200K OR LESS. I AM A…

I am 62 with 401K of between 350-400K. Should I move my stocks to more conservative stocks or pull out 350 K and put in a fixed annuity to guarantee my income when I retire? I will have social security of either 1600 (age 62) or 2200 (age 66) plus a monthly pension of 1247…

My husband and I are both turning 69 this year. We each have multiple IRAs, mostly Roth, along with one SEP and my current employer 401. I may work another year. I'm concerned that the multiple accounts could be a disadvantage. We do not need the RMD for general living expenses. Is there a way…

My grand niece is in her junior year of high school and wants to go to Western Illinois University. She lives in Lake Villa. Her folks cannot help. She is a very good student and does extra curricular stuff. Where does she go to get financial aid including scholarships. I don’t what her to miss…

With the new tax changes, can I deduct my interest on my existing home equity line that was used for home improvements? I see that the new tax law does not allow the deductions until 2026 but had some exceptions. Please explain?