Ask Terry Archives

Hi Terry- We have savings accounts for each of our 17 (yes 17!!) grandchildren and deposit money in the accounts for their birthday and Christmas. As we all know, the interest rate on savings account is VERY low. Is there a better savings vehicle than a traditional savings account? The amounts in the various accounts…

We sold our family farm, I received $216K. I paid off credit cards and bills, I put money into my house..new roof, window, siding and gutter. I put 40k aside for taxes. Is that enough? Should I pay down my mortage. I would like to lower my payments or invest in a retirement found. I…

Approaching the age of 62 in May, and may be interested in applying for a reverse mortgage.I sent for information from varies sources and receive impressive brochures, with a slanted viewpoint, with no particulars . What information is required for the lenders to provide, interest rate, closing costs? etc. What should I watch out for.…

I am owner of several 529 education plan accounts for 8 grandchildren and great grandchildren. I have one grandchild who will not use all the assets in his account and I want to rollover or transfer some of those assets to another grandchild or great grandchild. Are there any restrictions in doing this as the…

Hi Terry, My wife and I are both 30 and recently married. We have no debt other than a couple of credit cards that we pay off each month and our mortgage which has $65K (@ 4.13% fixed 30yr) remaining from an initial $85K from 4 years ago when we purchased our home. It was…

Can (or should) my wife and I buy an adequate life policy on one or both of my daughter and son-in-law if my two grandkids (age 3 and 7) become our charges if one or both of their parents were to be killed? I'm thinking the cost to raise them though college could be in excess…

TERRY,I FOUND SOME ITALIAN DEBIT BONDS ISSUED IN 1941 AMONG MY GRANDMOTHERS BELONGINGS.WOULD YOU KNOW WHERE I COULD GET SOME INFORMATION REGARDING THESE BONDS.COULDNT GET MUCH HELP FROM THE ITALIAN CONSULATE.THE HEADING ON THE BONDS READS-DEBITO PUBBLICO DEL REGNO D'ITALIA. THANKS MUCH Terry Says:  Wow, those date from the period of Mussolini -- and I'm…

Re: Balto. Sun article 11/22, do not understand paying Fedral taxes on year savings bond mature even if they are not cashed, how does that take place. Thank you. Terry Says:  The point is that the taxes are due in the year the bonds reach FINAL maturity!  (That's assuming you did not pay income taxes…

  I read your article on US savings bonds in Sunday's paper 11/22/15. You stated that you must pay federal income tax on the bonds in the year that they mature, even if you don't cash them in. As far as paper bonds (unregistered with Treasury Direct) are concerned, I'm wondering if you can hold…

Terry, very interesting Savage Truth this week. Question: Are there thresholds of dollar amounts below which the IRS would not require reporting on stock sales? What are the implications of sales of stock that were purchased say, monthly. Terry Says:  This is an interesting question -- and the answer is "it depends"!  According to the…

Hi Terry, I wrote to you recently after leaving my advisor and moving money to Vanguard. However, Vanguard seems to like to recommend indexing only, and I would like to have an advisor to work with on my portfolio. Does anyone "consult" anymore for a fee, or has everyone gone to 1% portfolio management? I…

I liked your idea of the stockpile giftcard and will purchase one for each of my 14 year old grandsons. I would also like to give them a book and the one that you have on your site, OMG for Teens is out of print according to my bookstore. Can you recommend another that includes…

Enrolling via the marketplace for the first time this year. Your article in the Tribune mentions cost sharing reductions potentially reducing costs for silver plans, but I can't find any mention of this in heathcare.gov. Our estimated income input on the website to find plans is within the CSR limits, but I could not see…

Hello Terry, I'm 36, and In my 10th year as a public school teacher. My school district and state combine to automatically invest 7.5% of my earnings into my pension. What I have read and heard over the past several years has left me with little confidence that I will ever actually get any of…

My husband is considering it. Is it a good idea or not? Terry Says:  I'm a big fan of reverse mortgages -- done at the right time, for the right reason.   Here's a link to an article on reverse mortgages that I wrote a couple of months ago.  Basically, if you're planning to stay in…

You mentioned in a newspaper article a savings piggy bank for children with four compartments. Thought it was a great idea, but now i don't know where to find one (or two) could you please enlighten me on that? Thank you very much, Sincerely, Inge Kristoffersen Terry Says:  Go to www.MSGEN.com (stands for Money Savvy…

My husband and I are delinquent in visiting an attorney for estate planning purposes. We are in our mid-30s, have two children and relatively uncomplicated finances. One mortgage, multiple retirement savings accounts, no other debt. What are the advantages and disadvantages of establishing a will versus a trust? We have plenty of money to cover…

I am a single young (67) senior who recently sold a home that I knew would require significant near-term upkeep (new roof, new deck, new driveway) and was larger than I needed. I do not have children. I am in decent health. Is it more prudent to purchase with a 30 year conventional loan and…

My wife and I are both 72 years old and we have $80,000 in U.S. Savings bonds dating back to 1989. As we get older we are wondering if we show start liquidating them so our children won't have a problem cashing them in the future if something should happen to us. We really like…

I purchased bonds years ago and they were not registered correctly so that my child cld use them for college. I was given wrong info by my employer. They are in my name and daughters. She currently has student loans , makes 59k a year. Shld she cash in to pay her loans? Do u…