Retirement Watch Weekly
October 2010
October 29, 2010 12:00 p.m. Negative Interest Rates, QE 2, and more The most interesting news in an interesting week was the auction of Treasury Inflation-Protected Securities (TIPS). Investors bid so much for the bonds that they will earn a negative interest rate until they mature in five years. They paid over $105 for $100 […]
Losing a Social Security Option
Social Security is planning to dramatically limit a strategy we’ve discussed in past visits. Though only a few people use it, the use has been climbing and the government wants to put a lid on the growth. The strategy is to pay back the benefits you received and claim a higher level of benefits. Suppose […]
Estate Planning to Ensure Wealth, Heirs Are Secure
You worked hard to build your estate, and you’re working harder than ever to keep it. One of your Estate Planning goals is for your estate eventually to make life easier for younger loved ones. Yet, you want to ensure the wealth isn’t wasted and also that it doesn’t make your heirs too comfortable. You […]
Preparing for Medicare Open Season
It’s almost time to review your Medicare options. The time to make changes in some of your coverage is from Nov. 15 through the end of the year, so this is a good time to review all your Part B, C, D, and Medigap plan choices. You’ll be able to review your options before Nov. […]
Evaluating the New CLASS Program
One of the many little-known facets of the new health care law is the CLASS program. This is intended to be a voluntary long-term care assistance program that will pay at least a minimum amount for participants to purchase community living assistance services and supports (CLASS). Participants will receive cash so they can hire home […]
How 2010 Taxes Affect Medicare Premiums
Your tax return for this year will determine your Medicare premiums in two years, if you’ll be a Medicare participant then. Since 2007, as income rises Medicare Part B premiums rise. More people will pay the higher premiums each year under the Affordable Health Care Act of 2010. Through 2010, the incomes at which the […]
Estate Planning to Make Gifts While Avoiding Taxes
The estate tax is suspended for 2010, but the gift tax still is in place and will remain when the estate tax is restored. An advantage to adjusting your Estate Planning and making gifts in 2010 is the gift tax rate is its lowest in decades: 35%. Also the generation-skipping tax is repealed for the […]
Strategies for Recharacterizing IRAs
Don’t rush the decision to reverse an IRA conversion. Some people who converted their traditional IRAs into Roth IRAs are moving too quickly to switch back. This has been the year of the IRA conversion. Many people are taking advantage now that people of any income level can convert their traditional IRAs into Roth IRAs. […]
