Ask Terry Archives

Can you recommend a Fee for Service Financial Planner in the northwest suburbs of Chicago? We want to ask questions about retirement planning and investing. Thanks.... Terry Says:  I don't recommend individual planners, but go to www.plannersearch.org, the website of the Financial Planning Association.  Search for a Certified Financial Planner who is fee-only.

Hi Terry, My question is my mother is 96 years of age and lives with my husband and I. We own our home. I do not charge her anything to live with us. She receives her pension check which is very small and her social security check. She does have a apartment building. IT is…

when the distribution is made in the first year and considered income to the beneficiary, is it based on her tax bracket and if is low which is the best way to go? what is the 5.64% that is referred to? what is the best option and what is the timing factor? your article and…

Hi Terry, I recall you being on a radio segment in November or December speaking about gaining 6 or 7 percent return with almost no risk. I did not recall the website you mentioned. I would like to investigate this option since I am not as stock savvy as I would like, and my wife…

My mother is 87 and her health has been declining recently. I had her withdraw more than the required distribution from her IRA the last couple of years even though she does not need the income at this time. The money is transferred to a taxable account. The amount of the distribution is calculated so…

I recently converted my IRA into an Annunity --- now i;m feeling like this was not the right thing to do, but its done, what do you think? Terry Says:  I think you helped the salesman's retirement, not yours!  How long ago did you do this?  You may have a 30 day right to rescind…

Hi Terry, Love hearing you on WGN. I'm a 71 yr. old retired single male. I have accounts with Ameriprise and TD Ameritrade which are both " Diversified " to reflect a low to medium risk tolerance according to both my advisors. I haven't been real happy with the performance of either of these "…

Here we go again!?... I'm less than 5 yrs out for retiring (59) and the market appears to be draining away what little I have. I have been on the conservative side of the market for some time. What can I do to keep what we have? I don't want to work another 10 years!!…

Ms. Savage: I have heard stories about Lottery winners that wound up going broke, or otherwise messed up in life. My idea for preventing that would be to take my winnings and put them in a series of STAGGERED Certificates of Deposit. My idea is to STAGGER THE MATURITY DATES OF THE CERTIFICATES OF DEPOSIT…

My husband and I are 72 and 73. We have our Northern home paid for, but have an $80,000 mortgage on a second home in Florida. We have money saved with half invested in a Vanguard mutual fund...index and some bond funds. I know the market is iffy, but I remember you saying keep stocks…

Hello, I have 2 daughters and I'm helping them pay student loans off, I give them each 500 dollars a month and they match it, is this the smart way to do it? Terry Says:  As long as you can afford to do this without impacting your own lifestyle or retirement, it is very generous…

What are your views on Disability Insurance? I took out a policy 5 years ago after my divorce because I was worried about supporting my kids if something should happen. I'm now remarried, though my husband, a teacher, makes 1/3 of my salary. I am thinking I'd rather invest the money into my kids' college…

I went through a very turbulent divorce, with children, in 1998. My parents knew I did not have the means to pay any attorneys to fight for my children - a separate issue. They agreed to pay my attorney fees. They also filed for grandparent visitation. All of this was done with the best of…

I have three NML insurance policies & all are paid up with quite high cash values, etc. I am retired & age 70.I have not paid any added premiums since it was paid up at age 65. I want to leave the proceeds to my 3 children when I die. Is NML a strong company…

This week you discussed life insurance. You were warning people about a certain type of policy that tends to be riskier, (NOT Term life or Whole life). Unfortunately, I needed to get out of the car and could not finish listening to you. What is the category of those risky insurance policies and why are…

I understand all of the hoopla about the billion dollar power ball lottery, the effect of taxes on winnings, etc. but I have a simple question regarding any sizeable lottery winnings. Let's say you win $10M and want the time to consult with various financial advisors before spending any of your winnings. So, you deposit…

I withdrew my money from my 403B account and my financial person turned it over to LPL to invest, but it continues to lose money. I don't need it right now, but I'm concerned that it is slowly disappearing! Where should the money be? Terry Says:  What?  You "withdrew"??   First, you can't "withdraw" unless you…

I have set up 529 plans with Brightstart in Illinois for two grandsons who live in Wisconsin. I see that you do not recommend Brightstart. Can I roll them over to another plan without incurring any costs or penalty, or am I stuck with Brightstart? Terry Says:  You can easily do a rollover.  I recommend…

My wife and I must start taking the RMD from our IRA's in calendar 2016. What's the best discipline to use? Should we use dollar-cost averaging and withdraw 1/12th of the 2016 RMD each month, or withdraw 1/4th each quarter or withdraw the entire amount at the beginning or end of 2016? Thanks for your…

Terry, First off, Happy New Year to you. The questions below are for my mother who doesn't have internet and has concerns about her Savings Bonds. 1. How do you cash in the Savings Bonds? 2. And when should you cash them in? May 2016 will be year 13. 3.Can she give them to her…