Search found 6 matches

by p1muserfan
Sat Apr 18, 2020 4:59 pm
Forum: Personal Investments
Topic: Where do we put 74 year old mother-in-laws money?
Replies: 16
Views: 1251

Re: Where do we put 74 year old mother-in-laws money?

Wow! I didn't expect all the responses but you folks have brought up a lot of things I didn't think of. I'll try to add more information about the situation. 1. My wife is the lone beneficiary of her mother's will, life insurance, you name it. HealthCare Directives and HIPPA authorizations were taken care of when the will was redone. She's also on her mom's Wells Fargo account and has full attorney-in-fact for pretty much everything. MIL 's idea. 2. She's fully functional at the assisted living facility, so there's no deduction there. The monthly rent for the facility is auto drafted every month from her checking account. 3. She is on Medicare and also pays about $300/month for Mutual of Omaha supplemental insurance. Will do some research o...
by p1muserfan
Sat Apr 18, 2020 11:55 am
Forum: Personal Investments
Topic: Where do we put 74 year old mother-in-laws money?
Replies: 16
Views: 1251

Re: Where do we put 74 year old mother-in-laws money?

I did not estimate capital gains from selling the 9 funds or the house but have definitely thought about it. Will probably contact my CPA and deal with taxes now if I can before investing You can make a quick estimate on the house, your Mom as a single woman she can exclude $250K from net profits (sale less expenses escrow, broker fees, etc) minus original cost plus all improvements (not repairs!). If it's under that number, then don't worry. If your Mom had the house jointly with a deceased spouse, there might be a step-up in the cost basis (just fishing for ideas here). Otherwise, start digging for numbers. Ameriprise should provide the capital gains on sales, but sometimes you need to grab that before you close the account (in case they...
by p1muserfan
Sat Apr 18, 2020 11:00 am
Forum: Personal Investments
Topic: Where do we put 74 year old mother-in-laws money?
Replies: 16
Views: 1251

Re: Where do we put 74 year old mother-in-laws money?

ralph124cf wrote: Sat Apr 18, 2020 10:43 am Does she have long term care insurance? If not, it is probably too late to buy now, but this will inform the choice of investments if the money may be needed for long term care. If long term care insurance is in place already, then investments can be more aggressive.

Ralph
She does not have long term care insurance...that we know of. Trying to figure out and organize her finances has been a chore. She's not incapacitated, just clueless
by p1muserfan
Sat Apr 18, 2020 10:57 am
Forum: Personal Investments
Topic: Where do we put 74 year old mother-in-laws money?
Replies: 16
Views: 1251

Re: Where do we put 74 year old mother-in-laws money?

My wife and I recently sold her mom's house (she's now in assisted living and loving it) and I had my wife close her mom's brokerage account at Ameriprise. There were 9 funds that made up the account, I don't know the exact ones at the moment. Hope you've done a good estimate of any capital gains from selling those 9 funds and house, and set that money aside mentally for taxes. Look into whether you should pay that now, as if Mom's taxes jump, she may owe estimated taxes (look into rules on "safe haven", the IRS generally requires you to pay as you go on taxes annually). And for Mom's account ... a Retirement 2020 fund or balanced all-in-one fund might be good. There are existing threads on tax efficient investing as well. I did ...
by p1muserfan
Sat Apr 18, 2020 10:53 am
Forum: Personal Investments
Topic: Where do we put 74 year old mother-in-laws money?
Replies: 16
Views: 1251

Re: Where do we put 74 year old mother-in-laws money?

My wife and I recently sold her mom's house (she's now in assisted living and loving it) and I had my wife close her mom's brokerage account at Ameriprise. There were 9 funds that made up the account, I don't know the exact ones at the moment. So with my goal to have my mother-in-law not outlive her money, where do we invest the Ameriprise money and the proceeds from the house? Is an IRA out of the question because of her age? She'd have to deal with RMD, correct? Although I want her to have access to it of course. I guess I'm looking for something tax efficient that will also generate income, although she doesn't need it at the moment. She brings in enough from Social Security and her deceased husbands military and job pensions to more th...
by p1muserfan
Sat Apr 18, 2020 10:10 am
Forum: Personal Investments
Topic: Where do we put 74 year old mother-in-laws money?
Replies: 16
Views: 1251

Where do we put 74 year old mother-in-laws money?

My wife and I recently sold her mom's house (she's now in assisted living and loving it) and I had my wife close her mom's taxable account at Ameriprise. So with my goal to have my mother-in-law not outlive her money, where do we invest the Ameriprise money and the proceeds from the house? Is an IRA out of the question because of her age? She'd have to deal with RMD, correct? Although I want her to have access to it of course. I guess I'm looking for something tax efficient that will also generate income, although she doesn't need it at the moment. She brings in enough from Social Security and her deceased husbands military and job pensions to more than cover her expenses. I've got a workplace 401K with Fidelity and my wife has a rollover I...