Ask Terry Archives

A CPA on public television often tells viewers on retirement savings to invest in life ins products, so that when you retire one can receive tax free income from these policies. I don't get it. Is this possible? Terry Says:  Yes, you can borrow cash out of a life insurance policy tax-free.  But it will…

Hi Terry, can i merge 2 different traditional IRA's ( held at different banks ) together to make one account ? Terry Says:  The way to do that is to do an official IRA ROLLOVER, from one custodian to the other.  In other words, don't touch the check.  Simply instruct one bank to roll the…

Heard you at the Mendal Center in Benton Harbor, Mi. Would like a copy of your Financial organizer where can I find it on your web page Terry Says:  The personal financial organizer  a free gift that you get (you can print out as many copies as you want) when you sign up that pops up…

My wife and I will both be 65 when we plan to retire in June, 2014. My job of 43 years included housing provided as part of the compensation package, so we have no home or equity. We have not debts but $50K saved for retirement. I plan to work to supplement our social security…

Terry.... Caught you this morning on the Bohannon show, but need a little clarification. What was it you said about taxes on social security income? I just turned 66 and know that this is when I can get close to max benefits(Ihaven't taken any payments as of yet), but you also said something about taxes…

My Mom said she wants to leave me some US bonds when the time comes.Can she do that in a will or should she transfer them? Thank you . Terry Says:  She should go to TreasuryDirect.gov   http://www.treasurydirect.gov/NC/FoRMSHome?FormType=SBF&site=indiv   and order Form 4000 to add/change a beneficiary for each bond.  Then when she passes on, the bonds will…

What is your opinion of using a managed payout fund vs. a deferred income annuity as part of a retirement portfolio? I am 61 years old and plan to retire in 5 years. Terry Says:  There's a huge difference.  The deferred income annuity gives you a promised rate for a period of time,  during which…

My husband and I are in the process of paying off our debt. Neither one of us has a retirement fund and we are wondering if we should start something now or just focus on paying off our debt first. We are both 36 and have two children ages 8 and 6. Terry Says:  My…

I'm a 75yr old widow. Your opinion on having two of these annuity. Thanks Terry Says:  I'm not quite sure of your question.  If you are asking whether you should purchase an annuity at your age, the flat answer is NO.  But if you already own this type of annuity, you need to make some…

Hi Terry, I have a lot of credit cards I don't use and are paid off. They do charge a small fee for having the account open. I do want to close them, but I'm worried about my credit score. Right now it's 931. I was told by someone else to leave them open, but…

Terry,, I met you recently during your Allstate Book Tour stop in King of Prussia, PA. I am 26 years, I turn 27 in April. I just moved back in with my Mom after graduating from Graduate school in July with my Masters. I have zero debt with the exception of student loans and my…

I am 82 yrs old and in low tax bracket...I like the dividends to pay some expenses. Should I sell half or all stocks as my family will sell the stocks when they receive and the market is high right now. Thank you Terry Says:  This is a far bigger question that whether the market…

Hi Terry, my husband and I are both 51 and have been married for 20 years. We have a 530k mortgage at 2.75% that is adjustable. We have a HELOC with 169k at 3%. We have lost all of our savings (hundreds of thousands, twice over the years), had to dip into home equity while…

Are you also practicing as a personal financial advisor yourself? If not, could you recommend anyone of your caliber, in Chicago downtown area or Libertyville area? I would also like to know an approximate fee range, if possible. Thank you. Terry Says:  I don't have individual clients, but I'm always trying to point people in the…

which interest rates have risen since Jan 1 of 2013 and by what percent? Terry Says:  Short term rates have stayed basically the same.  The 90-day Treasury bill rate has been less than 0.15 percent for six straight years.  But 10-year rates have risen a lot by comparison.  Last year the 10 year Treasury note…

You're one of the best financial journalists & advisors on the scene, no doubt. However, with your proven analytical skill sets in the economic arena combined with a high level of common sense, would you ever consider running for public office? This country is in great need of these assets in Washington. Terry Says:  Whoever…

Is charging $5000.00 too much to open an account with a investment firm? And then charge 1.5% to manage your account. Terry Says:  That is absolutely RIDICULOUS!  Don't put your money there -- wherever "there" is!  Just go to Fidelity.com or Vanguard.com or TRowePrice.com.  They each have toll-free numbers as well  as a website, and…

comments on Need a financial advisor for daughter ange said on January 3, 2014 at 9:16am, How wonderful that you can recommend a financial planner for the above. Any possibility that you could suggest one for CT, 06489 area ? I do think this request is going too far but just a thought ! It’s…

Hi Terry, My son will begin college in the fall. I have accumulated approximately $40,000 in a combination of savings bonds and a youth investor fund. Now that i want to begin to pull out $10,000 a year, i'm not sure which i should take from first. Should i do a combination of both funds,…

I have alot of credit card debt with high interest rates. Do I try to pay those down before paying into an IRA? I only have $13,000 in my IRA and am 50. I have been paying into this on a monthly basis since mid 2013 but cannot get credit card debt down. (used to…