Ask Terry Archives

My dad left us 50,000 we want to invest it . We are max out this year in Roth. Because my wife is still working, I have a 457 with the city I cannot contribute to. We have some Ira with goldstone financial but rather go some where else. Would like to have individual advise…

Terry: I am 65 years old (soon to be 66 in a couple of months) and would like to retire at 67. I have accumulated $2.2M in various accounts for retirement (14% Cash, 32% Bonds, 48% Equities, 6% Other) with $1.3M of the $2.2M in IRA's or 401K. We have no credit card debt and…

I am a divorced medical professional living with my parents I work only 6 hours a week and I'm in school to obtain another license, my take home pay fills my gas tank other than the obvious answer how do I get myself financially secure? SAVAGE SAYS: Well, there are three good things to say…

Morning Terry, We have now come due in July 73,000 in Parents Plus loads we took out to help our daughter get thru college. 114 payments are @ 1, 079.00 per month......What!!!!! so I asked them what's the next thing since we cannot afford this?, she said you could push it out for x amount…

Terry, you take into consideration the opinions of James Stack and Bert Dohmen. Is Stack bearish or bullish? Is Dohmen bearish or bullish? SAVAGE SAYS: Both are realists -- which is what I appreciate! Right now, Jim says his technical indicators are showing higher market prices. Bert takes a longer term, and more fundamental global…

During my middle years, I carried a lot of credit. Because I was never late with a payment and always paid more than the minimum, I got incredible offers to lock in low rates on balance transfers which I did and eventually paid everything off. Now I have one card at Chase with a $10k…

My mother in law 65 y/o currently lives with her husband in a house they own. She receives retirement benefits as well as medicaid and medicare. My husband and I are planning on purchasing a home and she would move in with us (her name will be on the deed as well) My question is;…

I?receive ssdi plus a tax free monthly check from a disability insurance i will receive the disability checks until i,m 65 which i,m 58 now the disability insurance wants to give me a lump sum settlement what are the pros and cons is it still tax free and can I lose any of my ssdi…

Ms. Savage, Can 401K and 403-B Required Minimum Distributions be bundled and taken out of an IRA account or do they have to come out of 401K and 403B specific accounts? Thank you for responding. SAVAGE SAYS: When calculating required minimum distributions (due in the year after you reach age 70-1/2), you have to calculate…

Terry, I'm going to retire next year at 64 and I will have a Union Annuity of $60,000 plus a pension of 3500.00 per month. Should I take all of the annuity and put in a tax shelter fund or draw it monthly? SAVAGE SAYS: I'd need to know a lot more about your options…

Should an 81 year old male consider purchasing an annuity and if so what type of an annuity should it be? SAVAGE SAYS: An 81 year old man should run as fast as possible in the opposite direction from the person who made this suggestion!

Terry i have corresponded with you in the past about cfp fee only. i'm about to look seriously for one but i would like a price range of what a fee should be . my net worth is about 850,000.00 and my wife and i are 32. i dont know if that helps but i…

In a past col-you mentioned two org's for seniors to check out assistance progs -either state or federal-can you repeat those web sites please-thank you SAVAGE SAYS: Yes, that great website is www.BenefitsCheckUp.org -- a non-profit that links you to all kinds of state and local benefit opportunities. Definitely check it out!

I am now my mother's legal power of atty since my sister died last year. My mother is in a nursing home with dementia, gets SSI, a small - less than $150/mo - and a nontaxable VA spousal benefit. I have no record of any recent tax filings made by my sister for either Calif…

I am 60 years old and retired. Effective April 1, I will be receiving a monthly check from my 401K plan to supplement the small monthly pension check I am receiving from my former employer. I have made arrangements with the 401K plan administrator to receive this check for the next 20 months to help…

My dad is 89, widowed,still living on his own and in ok health. He has less than $80,000 in assets, mostly 401K and savings, no home or property. It appears likely that we'll be looking at nursing home care for him at some point, in the state of IL, involving Medicaid. And we know that…

If gold was selling at 1400 and buyers thought it was a good investment at that price, why are now shunning it at near 1300? SAVAGE SAYS: Now, that's a great question!? As in any free market, the price (the "true value")?is determined by supply and demand. (Go to www.terrysavage.com to read my column of…

Do you accept the 4% withdrawal rate for retirement assets as viable? What is your recommendation? Also do annuity payments count in the RMD requirements at age 70.5? Thank you - SAVAGE SAYS: First, let me define the 4% withdrawal rate rule. It is generally held that over a long period of retirement (30+ years),…

Hi Terry, My question is do you think it is smarter and less risky to invest in mutual funds than individual stocks? I want to try and pay the lowest fees possible and have less risk but still have growth. I am currently with a brokerage firm(individual stocks) and paying high fees and my portfolio…

I got a phone call from my tax guy this morning telling me that my tax filing was a victim of identity theft. When they went to make the filing, my federal was already filed. It may take 3-6 mos to get my return now w/ amended filings. Evidently the state filing was no problem.…