Ask Terry Archives

2 years ago I started taking the withdrawals. Fortunately I do not need it. Can it be reinvested? Can it be used to purchase other stocks, bonds, mutual etc? Or, should we keep it in a low interest bank account? Terry Says:  That's a lovely problem to have!  You can do anything you want with…

I am 63 years old and have lost my job. I like not working and want to make a go of early retirement. My health is OK but probably won't make it to 90. My wife has good genes and excellent health so a long life is probable. We have $850K in IRA/401K and about…

Dear Terry, I am not able to pay my student loan payments with Sallie Mae, not Naviant. I have been on forbearance a few times now. I owe about 80,000 dollars and Sallie Mae is not working with me to get an affordable pay back plan. I have tried to refinance my student loans with…

I want to refinance my mortgage so I can lower my payment and use that money to pay off other bills. I've seen on several mortgage lenders websites that I could also take some cash when I refinance and then I could pay back the mortgage and the cash I took over 30 years. Is…

My husband will be 72 in August and is now being required to take a mandatory withdrawal from his annuity. My question as this will also affect me next year is: What should we do with that money? Would a savings account, CD or money market or what be the best place for this money.…

Terry, we have an outstanding balance on our sons student loan of $86,000#. My husband is a retired firefighter from on the job disability. I've been retired for a year now. We are both 61 and 62 years old. He has always been in the construction business, and is currently a construction manager. We still…

Hi Terry, I am a 35 year old woman mother of two boys. I had a 401k with my first employer than another one with my most recent. I left the work force to stay at home and take care of my 6 year old kindergartener and rambunctious 2 year old. I have these two…

Great news today on the ability of students to refinance their loans! Have read through everything. My question is this: I own my home free & clear. I'm 60 years old, and contribute a good amount to my retirement account. Does it make sense for me to refinance my home, and allow my child to…

Where do I go to consolidate both federal and private college loans into one manageable loan. Terry Says:  Please read the column on top in the left column on the home page at www.terrysavage.com -- It explains fully.

I HAVE A SCHOOL LOAN FOR THE PAST 18 YEARS AT 7.5% AT ACS. IS THERE ANY WAY I COULD GET A CHEAPER LOAN. UNFORTUNATELY I HAD CONSOLIDATED WHEN I RECEIVED THE LOAN. EVIDENTLY I WAS YOUNG AND UNAWARE OF ANY ALTERNATIVES. Terry Says:  Ugh -- 18 years at 7.5%!  That is ugly.  And yes,…

IS A MAJORITY OF RETIREMENT FUNDS INVESTED IN FIDELITY TARGET DATE FUNDS A SAFE WAY TO PROTECT MY PORTFOLIO. IS THIS DIVERSIFIED ENOUGH? Terry Says:   It's a good start -- but it's not enough!  Here's a link to a column I recently wrote, that will explain the issue more fully.  Basically, a real discussion is…

I am a 50 yr old that is self employed. What would you recommend how i can start saving for retirement? 401k or Roth Ira and what type of life insurance should I get? Terry Says:  OK, well you need some work on the basics.  I have your email, and every once in a while…

my husband purchased a house using money from his investments to purchase a house in a real estate IRA??? We have owned the house and have collected some rent for 5 years. We are now nearing retirement - 62 and wondering what way to rollover the house - sell and not get penalized? or do…

I have looked for opportunities to refinance my student loans, to no avail. To qualify for services such as SoFi, I need to have a bachelors degree from a supported institution, which I do not have. I earned an associates degree from Joliet Junior College in Illinois, but entered into a career before earning the…

Hi Terry, My husband and I were somewhat relieved to find your answer to a similar query in December 2013. We are wondering what you would advise now. We paid or 9 semesters for our soon-to-be seventh-grade child beginning when she was an infant and finishing as she entered kindergarten. Do you think we should…

My wife and I are both currently on social security and will not be probably affected by changes in SS law. I have never understood why all W2 income is not taxed by SS. The current limit probably does not affect most wage earners. The high income people who are better able to prepare for…

I have a 40 year old VALIC IRA fixed account paying 4.5%. ($4400 in it.) I also have 85,000 in an IRA with my broker just sitting in my account (against his wishes!) But as a 74 yr. old, should I move this money into VALIC. When I called VALIC, the woman told me they…

Which are the best loans to reach for at this point. We figure we will need 10k for the next 4 years, 40k total. thanks Kevin Terry Says:  This is an important process -- and one you have to take step-by-step.  I'm hoping that your child is a junior or starting senior in high school and…

hi TerryI have written to you before. I am saving for an emergency fund and paying off debt. I have two kids in College. They both will need a cosigner for loans. Should my wife and I cosign ?my son plans on becoming a nurse my daughter a sign language teacher.they cannot get the loans…

My son is going to be a Sophomore in college. Freshman year FAFSA provided a small Un-Subsidized loan opportunity. I have three younger children and have saved modestly for them all. I'm tapped out for my oldest after sophomore year and now need to consider a loan. Home equity a good place to go? I…