Ask Terry Archives

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.…

Hi Terry, Where can I find questions that others have asked you along with your answers ? I so looked forward to reading your info as it was so very helpful & interesting ! Thank you. SAVAGE SAYS: Well, I will start building a new base of current questions and answers right here at my…

Hi,Terry how are you doing? I am living in a apt.,with a bad smell inside and neighbors who are very loud and possible illegal drugs. I never owned a place,i am a senior,disabled but can get around. Thinking about buying in a senior condo development. The thing is I have $6,000.00 to spend of which…

Today, I downloaded my annual credit report, s you had suggested, but must I pay for the credit score on the website? Is there anywhere to get it for no fee? SAVAGE SAYS: Unfortunately, credit SCORES are proprietary, and not covered by the government's requirement that you get a free credit report from each bureau…

I'm trying to find the Personal Financial Organizer Form and can't seem to find it. How do I get this form? Thank you. SAVAGE SAYS: Thanks for asking. When you go to www.terrysavage.com a yellow box will pop up. (check to make sure that popups are not blocked) Fill in your name and email address…

My mother passed away in 2012. As executor of her will, I received a check from Genworth Financial for an annuity/life insurance policy that she had. I took this money and divided it equally between my brother and sister as directed in the will. I recently received a 1099R for this payment. I thought that…

My wife works a public job(school ) and makes about 50000 a year. I work at a family business. She will be retiring this year and will draw about 2200 a month after insurance. I on the other hand have no retirement other than what I can save. We are out of debt, 54 years…

Thank you for your marvelous column, I have learned so much from you. I have now reached the magical 70-1/2 point in my life and need your help with the RMDs. I know I can bundle all my various IRA accounts' RMDs and take them from one account if I chose to do so. However,…

My son has huge student loans from law school, Direct Loan and Grad Plus. He went to school during that window of time between when students were allowed to consolidate their variable rate loans at less than 3% and the lower fixed rates available now. Unfortunately his rates are 6.9 and 8.6. He is in…

Was able to collect 39,563 under the southwest home equity assurance plan. They told me it was tax free because it pertains to me getting a fair value for my house. I only made 100 on my home that I lived in. I was issued a 1099 misc. income form. How do I explain to…