Ask Terry Archives

Hi Terry, Both of my parents are living and just sold their home (only asset). How should they invest their money? They will both be living with me, however, we would like to invest wisely for further expense of nursing home if needed. Their financial planner is suggesting an annuity. We do have HCPOA and…

I have been contacted by a a company named "card Services" which has promised me a savings of $2500 if I work with them to consolidate my credit card debt. They have charged me an up front fee but I fear I have been scammed because I have yet to receive anything in writing. They…

how do I get your free personal financial organizer Terry Says:  Just go to www.terrysavage.com and fill in your name and email address in the yellow box.  Then look for an email from me thanking you for signing up and asking you to "click to confirm" your subscription.  Then you'll get another email with a…

Hi Terry I am a social worker and dont make much money. I would like to invest more since i am now 37. I have a 403b at work and only put away 100 per month. I know you talk alot about IRAs and would like to know how to open one, where and how…

Hi Terry, my wife and I are setting up a living trust in order to pass on our estate to our two children and avoid probate. We have an out of state property we purchased with our daughter's FHA where our daughter and my wife and I are on the deed and we are co-borrowers…

  Hi Terry, Can you recommend a reputable gold company I can rollover my $25 401 k; i started out w $48,000 w them now I'm Down this quarter to $25,0000. I'd also like to keep a portion of the gold and invest the rest ? Is that possible? Again can you refer a company…

Hi Terry, I work for the postal service, which was recently a victim of cyber attack. They sent me a letter telling me that my personal info may be compromised. I was injured on the job a couple yrs. ago, and they said my medical info may be compromised. Basically, codes concerning diagnosis and procedures,…

Can a Government Thrift Savings Plan be transferred to a Money Market account? If so, are there tax ramifications? Terry Says:  If you are just trying to get the "safest" option to invest your money within the Government's Thrift Savings Plan, you could transfer into the "G" plan --  which is the equivalent of a…

Hi Terry: I need to use some of my IRA money to pay my children's tuition. Is there any advantage to using ROTH IRA funds vs. regular IRA funds? Terry Says:  Gosh I hate to see you do that!  Will your educated children be willing to pay for YOUR retirement?!!   You're probably considering using this…

what are the legal & financial consequences of "walking away" from your house/mortgage? Terry Says:  Oh gosh, I hate to see you do this!  At a very minimum, your credit will be ruined for the next 7 years.  At worst, the lender could go after you for the balance of the debt -- although I…

Hi Terry, I hope you had an enjoyable Thanksgiving! We were able to get away and visit with our families. It was a lot of driving, but good food and fun. We're letting our HSA grow by not taking qualified medical reimbursements as they occur. We're fortunate that our medical expenses are small and we…

Terry, I recently took a position at the same organization where my husband works. We have two choices for Tax-Deferred Retirement Plans, and both are solid performers (TIAA-CREF and Vanguard). Should I choose the one my husband is not invested in, at least for the sake of security and diversity? Thank you! Terry Says:  I…

I turned 70 this year and have to make my RMD from my 401Kby December. I know I can defer the first one until April 2015. My question is how will my 2015 RMD be calculated. Do I subtract the April withdrawal from the Dec.31, 2014 balance to determine the amount? Terry Says:  Please read…

I have EE Savings bonds for my children (gifts when they were young-either purchased by relatives or money received for birthdays). They are now in their early 20's and have no idea they even own them. Two questions: How are they redeemed? Would it be a good idea to invest the proceeds in a mutual…

My husband and I recently met with a financial planner from Edward Jones. We have $100K to invest but don't know where to start. We're not risk takers and approaching 50. He suggested first thing we do is each put $5500 in Roth IRAs for 2014 and then again in 2015. This would leave $78K…

If I add all my accounts into mint.com, is it safe and secure. Please advise Terry Says:  Yes, Mint is secure and encrypted at the highest level. This free tool is available at Mint.com -- a company that is owned by Intuit, parent company of Quicken.  You don't have to worry.  They use encryption that…

Can you recommend a lawyer to design an estate plan for me? I remember several years ago, one estate planning lawyer spoke at a seminar at the Chicago Public Library during a conference you held on money management. Thanks. Terry Says:   Yes, I will do that -- but everyone reading this should remember that you…

Terry, I'm a 66 year old female who is still working with a gross salary of approximately %55,000 a year. I also receive my late husband's social security which is approximately $1750 a month. I also receive a widow's pension from my late husband's employment and that is approximately $850 a month. I owe $28,000…

How do I go about buying gold and/or silver? And is it a good idea at this time? Terry Says:   I've written extensively about that in the past because industrial metals tend to become more valuable in an economic boom.  Gold is a hedge against inflation.  Unfortunately we are in a global slump (note falling…

My mother in law is 82. She receives SS and a not to large pension from several jobs. Is she still required to file Federal and State (CA) taxes? Terry Says:  Well, the simple -- but not completely accurate -- answer is that if her income (total) is below $11,500 she is not required to…