Ask Terry Archives

Hello Ms. Savage, Thank you for taking the time to answer our question. We are newly engaged and are looking to setup a savings account, what are our best options? Suggestions? Advice? Thanks !

Dear Terry, My 2 children are my IRA beneficiaries. If I die will they have to pay taxes on the proceeds. Do they have options?

Is it best to let dividens roll back over to purchase more holdings of the same fund ... or to take as cash for use in purchasing other stocks.

I am in the 8th year of a 30 year mortgage @ 4.5% with 85K remaining to be paid. Would it be wise to try to remortgage to get the current 3.5%? I have an excellent credit rating. Also, which website do you recommend to use for comparing current mortgage rates? Thank you!

I heard your comments on this on WGN. My husband passed away a year ago. I had all of his IRAs put into my account. I am 76 and have been taking RMDs. I have plenty of money on paper, receive 3 small pensions from teaching, and of course , receive social security each month.…

My parents (93 & 94) living in a 55+ community are needing to move to an assisted living facility. Is it true that they will have to sign all of their assets over to the facility? Any info that you could provide on protecting their assets or what steps we should take before this move…

Hi, Terry. In 2005, at age 56, I purchased LTC insurance through my employer, the federal government. I recently received a letter from Long Term Care Partners, Portsmouth, NH, saying that John Hancock, the insurer of the Federal Long Term Care Insurance Program (FLTCIP)…says “Unfortunately, recent analysis of the program, using updated assumptions based on…

Dear Terry, Next year I and my wife will begin taking required minimum distributions from our traditional IRAs. Can we avoid paying taxes on the distribution by directing the the funds directly to a charity, say to a university, to purchase an annuity from the charity? May the amount we redistribute also be claimed as…

Hi Ms Savage, I'm sure you have addressed this type of question before...However, what is the best way to pay these student loans off to decrease the interest charges? Thank you so much! Jackie PS: I want to pay a little extra each month. Current monthly payment due (09/08/2016): $880.32 for all loans 1-02 Direct…

Could you please elaborate a little more on your paragraph "take a portion of your rollover money", specifically regarding rmds? Thank you Sam

My wife (age 73) and I (soon to be 73) are in fairly good health (although my short term memory has declined). What would it cost to obtain Life/long term care insurance to cover $4000/month care costs? And, is it advisable at this point in our lives?

i am 84. Is that too old to get such a policy? if not, what companies, offer such policies and what sum of money would be required up front?

I received a letter that I opened a savings account at some credit union in Virginia (never been there).. I called there saying I didn't open anything and they had already locked the account and closed an attempt to open a credit card and savings account through them. They are investigating. I called Experian through…

My son's settlement was put into a special needs trust. The bank has been investing it in the stock market. Is this a smart way to manage his money? Thank you, Stephan Terry Says:  So, I'm assuming this settlement was the proceeds of a lawsuit.  The suit may have required that a bank manage the…

what is difference between fed direct subsidized loan and subsidized student loan Terry Says:   Current Federal student loans are all made directly from the Federal government. That changed about a decade ago.  The big difference is between subsidized student loans, which do not accrue interest while you are still in school, and un-subsidized loans which DO…

What are the pros and cons of placing a personal residence in a trust? Terry Says:  You titled your question IRREVOCABLE trust -- and you definitely don't want to do that!  (At least, not unless you are trying to transfer huge wealth, in which case you would have a tax advisor and not be writing…

I'm trying to contribute to my grandchildren's future college. I closed out Illinois Brightstart accounts because I became nervous about the reliability of the State of Illinois to provide future funding. I purchased blue-chip stocks that had been doing well for me, using custodial accounts. That stock has been distributed back to me due to…

Hi Terry, Do you think selling covered calls on stocks is a viable growth option? I am interested in doing this in a portion of my ROTH IRA portfolio to avoid the complex tax consequences that result from them. My research seems to prove them to be beneficial, but only in a non-taxable situation. Would…

During the year that I turn 70 1/2, does any withdrawal from an IRA count toward the MRD, or do I have to specify withdrawals as part of the MRD? Thanks, LB

WHICH ARE THE BEST STOCKS IN INDIA TO BUY NOW AT WHAT PRICE AND HOW LONG TO HOLD? Terry Says:  I must confess that I know absolutely nothing about stocks in India.  However, I have found the perfect website for you!  It is www.MutualFundIndia.com.  It provides lists and rankings of all funds that focus on…