Earlier we found a way to zero in on what it’s going to cost you to live after you retire. Now let’s figure out what your inflow is going to be once you cross the finish line at work. Retirement income has three components; pensions and social security, passive investment income and active employment. Your […]
Year End Tax Tips For Mutual Fund Owners
You might see some very strange things going on with your mutual funds in November and December. That’s the time when many funds distribute capital gains and dividends. Investors get befuddled by this because they can wind up paying taxes on money they may not even receive. Worse, people sometimes have to pay capital gains […]
ETFs vs. Mutual Funds – A New (Unexpected) Wrinkle
In it’s most simple terms, ETFs are very inexpensive mutual funds. They have exploded in popularity – especially commission free Exchange Traded Funds. Does that mean you should invest in ETFs and forget about mutual funds? Not so fast. What Is An ETF? ETFs are quasi-index funds and as I said they are extremely inexpensive. […]
What Is A Credit Line?
A credit line is like a credit card in many respects. With it, you have access to cash (within fixed limits) if you need it. The notable differences are that the interest rates on equity lines are usually far lower than the rates credit card companies charge. Also, the amount you can use is typically […]
How To Talk With Elderly Parents About Their Finances
Talking to your parents about their money is a conversation that is almost universally difficult because it involves a role reversal – you assume the parent role, and effectively put your parent in the child role. It’s also a very touchy subject. Even with the best intentions, its easy to be misunderstood and be seen […]
Should You Downsize Your Home or Get A Reverse Mortgage?
A few days ago Jim called me in despair. He and his wife are in their late 70’s. They are still working but finding it more and more difficult to make ends meet. Jim heard about reverse mortgages and wanted to talk it over. He asked me if it would be better to take a […]