Rules to follow should you inherit an IRA
Dear Savvy Senior, What are the rules regarding inherited IRAs? When my mom died this year, I inherited her traditional IRA and would like to know what I need to do to execute it properly. —Confused Daughter Dear Confused, I’m very sorry about the loss of you mother. Inheriting an IRA has a unique set of rules you need to know, which will help you make the most of the money you... READ MORE
Delaying RMDs can end up costing more
It took more than four decades for Congress to raise the age for required minimum distributions (RMDs) in 2019 from 70½ to 72. Less than two years later, Congress is considering raising it again. The Setting Every Community Up for Retirement Enhancement Act of 2019 had bipartisan support, and experts believe that Congress’s encore, the Securing a Strong Retirement Act — already... READ MORE
Warning signs of potential identity theft
Identity theft is stressful, and it can do tremendous damage to your finances. It’s important to recognize the signs early. The earlier you notice something is amiss, the faster you can take action to minimize the damage. The Better Business Bureau identifies the following signs to help you recognize signs of identity theft as soon as possible: —You receive statements or bills in... READ MORE
How to teach adult children about money
Jane and John, who are parents to four adult children, have amassed substantial wealth during their careers. To experience their children enjoying some of this wealth — and to take advantage of the current high federal estate tax exemption amounts, which could potentially be reduced — they would like to give away some of it during their lifetime. However, they are concerned that... READ MORE
How to invest in cryptocurrency indirectly
Cryptocurrencies are inherently cryptic — it’s right there in the name. And if you follow Warren Buffett’s advice to never invest in businesses you can’t understand, it may be hard to justify investing in a currency made of math instead of gold. But it’s also hard to ignore some cryptocurrencies’ astounding performance: The price of one bitcoin jumped from just under $5,000... READ MORE
Tax-smart strategies for gifts to charity
While each of us has our own very personal motivations for, and approach to, giving, Americans as a group continue to be the world’s most charitable nation. In 2020 alone, annual charitable gifting in the United States totaled over $471 billion (with gifts by individuals comprising 69% of that total). And even though income and estate tax advantages aren’t the main reasons driving... READ MORE
Buying insurance to fill Medicare’s gaps
Each year, older adults have important decisions to make regarding their Medicare coverage. Original Medicare provides a number of great benefits to enrollees, but this coverage does have some gaps. For instance, Part B will cover only 80% of your medical expenses after you hit the deductible, with no out-of-pocket maximum. That means you could be on the hook for a significant bill if... READ MORE
Meet Virtual Expo’s Social Security expert
Economist Mark J. Warshawsky, a keynote speaker at this year’s Virtual 50+Expo, has been focused on the coming insolvency of Social Security for most of his career. “Changes are needed. It’s an old-fashioned program,” said Warshawsky, senior fellow at the American Enterprise Institute in Washington, D.C. “Action needed to be taken years ago, but our system is pretty... READ MORE
Now is your chance for Medicare changes
Despite what you might think — based on the year-round onslaught of Medicare commercials and the flyers arriving in the mail — you can’t just make changes to your Medicare coverage any time you want. Most people who want to make adjustments must wait for the Medicare Annual Enrollment Period (AEP), which runs from Oct. 15 to Dec. 7 each year. That’s when you can do things... READ MORE
What to do should a financial crisis arise
As the economy struggles to regain its footing after the pandemic recession, many Americans are facing serious financial problems. If you are one of them, I recommend an excellent new book by Washington Post personal finance columnist Michelle Singletary. It is very easy for individuals facing financial problems to make poor decisions. For such people, What to Do with Your Money When... READ MORE
