Retirement Watch Weekly
The Shrinking State Death Taxes
The Wall Street Journal reports that another four states are eliminating or phasing out their estate or inheritance taxes. That leaves only 18 states and the District of Columbia among those who still impose such taxes. Readers who live in these states need to be wary. You might not have to worry about federal estate […]
Updating the Annuity Puzzle
Economists and many financial advisers believe that most people should annuitize a portion of their nest eggs. That is, once they enter retirement they should buy an immediate annuity paying a fixed amount annually no matter how long they live. (Or you can buy an inflation-indexed annuity so the annual payment increases with inflation, but […]
The Millionaire Secrets to Getting Wealthy
You already know this stuff if you’re a long time reader of Retirement Watch. But millionaires have a number of practices that other people don’t have and don’t realize are key to accumulating wealth. Most of the points in this post seem to be from The Millionaire Next Door, a best-seller of a few years […]
Another Case for Tax-Exempt Bonds
I moved tax-exempt bonds into some of our Retirement Watch portfolios recently, after the May-June meltdown. That’s a controversial move, because most people invest using a rearview mirror. Instead, they should notice that after the decline many tax-exempts are bargains and provide a margin of safety. You need to buy carefully, or buy a quality […]
Passing Down the Family Vacation Home to Heirs and Beneficiaries
There are a number of difficult estate planning issues, few of which involve taxes. A frequent one is what to do with the family vacation home or similar property. Usually the parents have pleasant memories of family get-togethers at the place and hope that the children can continue traditions. But there are a lot of […]
Deciding Where to Move in Retirement?
One of the myths about retirement is that people move to a new retirement location. Data indicate about 80% of people don’t move or don’t move very far after retiring or even later in retirement. But if you’re one of those considering a retirement or even a pre-retirement move, consider a new study. The authors […]
How the Wealthy Have Changed Their Investing Strategies
The financial crisis of 2008 had a long-term effect on America’s wealthy. Though they’ve recovered nicely from the crisis thanks to government policies that help them the most, many were on edge during the crisis. They realized they had too much debt, too many illiquid assets, and not enough cash. They’ve been reversing those trends […]
Putting Power in Your Power of Attorney for Estate Planning
A financial Power of Attorney is essential to your Estate Planning. Even when you aren’t ready to finalize a will or living trust, you should have a financial POA. The document ensures that someone can manage your estate planning when you are unable to. Bills can be paid; investments can be managed; and other actions […]
