Search found 564 matches

by Prudence
Thu Sep 10, 2020 10:26 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

Present value aside, I would be more concerned about the CCRC’s ability to refund the fee when the time comes. Review the contract closely to determine if the fee could be wiped out/reduced in a bankruptcy. Agree. Refundable entrance fees are refunded only when the unit is re-occupied by a new resi...
by Prudence
Sat Sep 05, 2020 2:41 pm
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

CCRCs are Ponzi schemes. New entry fees go to support existing residents. There is seldom any leeway if occupancy levels fall because of something like this virus. We are on list for well respected ccrc but even before the pandemic its largest asset was goodwill which has no $$value. So you are at ...
by Prudence
Fri Sep 04, 2020 9:34 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

CCRCs are Ponzi schemes. New entry fees go to support existing residents. There is seldom any leeway if occupancy levels fall because of something like this virus. We are on list for well respected ccrc but even before the pandemic its largest asset was goodwill which has no $$value. So you are at ...
by Prudence
Thu Sep 03, 2020 1:50 pm
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

I, too, have been looking into CCC's, and all of them have definite increases in monthly payments depending upon the level of care. For example, a non-refundable buy-in of $250,000 would get us a lovely 2-bedroom independent living apartment for $5,100 per month. If one of us needs assisted living,...
by Prudence
Wed Sep 02, 2020 5:20 pm
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

We have a large CCRC about 30 miles from us. We currently live in a 55+ community, and we were impressed 4 or 5 years ago when the CEO of the CCRC came to visit us and made a presentation. A few years later some of his staff members came and did another presentation. The focused mainly on $$$ and r...
by Prudence
Tue Sep 01, 2020 3:00 pm
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

Yes, I agree and we will try to make the in-home care work if not an unreasonable burden to family. Prudence - a perspective. For my Dad just last year, I looked at 24hr home care vs Assisted Living. Home care would have run 18-19K per month. A Calif MCOL area. As my Mom declined before she passed ...
by Prudence
Tue Sep 01, 2020 1:29 pm
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

Dear TN Boy: I agree with you so I (we) have decided to join waiting lists for two excellent CCRCs and then wait about five years when we will reassess what we want or need to do. It is ironic that people are who very happy with moving to a CCRC are those that have moved to the independent living re...
by Prudence
Tue Sep 01, 2020 9:40 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

While safety of these huge entry fees has long been an area of concern, pandemics are capable of exposing vulnerabilities to the financing model. The best way to guarantee against forfeiture of several hundred thousand dollars is to require the facility to provide a performance bond guaranteeing re...
by Prudence
Tue Sep 01, 2020 9:35 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

Covid may have helped CCRC finances, by freeing up space for new residents. I haven't seen any overall analysis, but their incentive is always to bring in new residents and their up-front payments. Let's hope there is not another pandemic, but the downside of CCRC living right now is that residents...
by Prudence
Tue Sep 01, 2020 9:33 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

About a year ago, we visited a local independent living facility (not a CCRC) and were shocked at how nice everything was. When we arrived, there were a lot of residents with their family and friends having drinks at a bar and singing karaoke. It felt very much like a cruise ship. Rooms were cleane...
by Prudence
Tue Sep 01, 2020 9:30 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

Consider an alternative plan: Isn't that enough money to hire in-house care when it becomes necessary and stay where you are? I'm assuming you don't need additional care help yet or is there some current disability? I presume there is also a continuing cost to the RC in addition to the fee. How is ...
by Prudence
Tue Sep 01, 2020 9:26 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

Did you account for the lost investment opportunity between the two options? Say 2% over inflation: $1,011,200 - $577,800 = $433,400 left to invest for 18 years. $433,400 (1.02)^18 - $619,00. A gain of $185,602. 18 years is a long time to tie up $433K. And what guarantees do you have regarding the ...
by Prudence
Tue Sep 01, 2020 9:24 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

Prudence, it seems you have been evaluating CCRC options for years now and you've posted that you can well afford it. You've stated that you and your wife would enjoy living at a carefully selected CCRC. If I may ask, what is your criteria to end the evaluation and analysis phase and move forward w...
by Prudence
Tue Sep 01, 2020 9:18 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

DW and I are considering a move to a CCRC. This CCRC has two entrance fee options for the specific villa we are interested in: 90% refundable entrance fee or non-refundable entrance fee. I compared the present value of the cost of these two options and determined that the refundable fee would be mo...
by Prudence
Tue Sep 01, 2020 9:06 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

What would you do with the difference if you paid the lower fee? Wouldn't that be invested and thus contribute to portfolio growth during that time? Yes, I thought about it and did those calculations too but decided that the NPV method I used was more relevant and meaningful for comparing the two o...
by Prudence
Tue Sep 01, 2020 8:33 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Re: Continuing Care Retirement Community Entrance Fee

Consider an alternative plan: Isn't that enough money to hire in-house care when it becomes necessary and stay where you are? I'm assuming you don't need additional care help yet or is there some current disability? I presume there is also a continuing cost to the RC in addition to the fee. How is ...
by Prudence
Mon Aug 31, 2020 8:35 am
Forum: Personal Finance (Not Investing)
Topic: Continuing Care Retirement Community Entrance Fee
Replies: 106
Views: 7695

Continuing Care Retirement Community Entrance Fee

DW and I are considering a move to a CCRC. This CCRC has two entrance fee options for the specific villa we are interested in: 90% refundable entrance fee or non-refundable entrance fee. I compared the present value of the cost of these two options and determined that the refundable fee would be mor...
by Prudence
Thu Jul 09, 2020 10:32 am
Forum: Personal Consumer Issues
Topic: Auto Insurance Question
Replies: 3
Views: 290

Auto Insurance Question

My car was in an accident. I have been covered by GEICO for 45 years. The car was a 2017 Honda Accord Hybrid with 15,000 miles and excellent condition. I received an estimate from the body shop. They used original Honda parts in the estimate, but, the repairman told me that GEICO will probably want ...
by Prudence
Wed Jul 01, 2020 12:23 pm
Forum: Personal Investments
Topic: Bernstein RLE question
Replies: 6
Views: 698

Re: Bernstein RLE question

I would say the answer is no. Bernstein recommends that the RLE (say $300K) amount (in today's dollars) is placed in an inflation protected investment like a TIPS ladder. The remainder of the portfolio can be invested as desired, say 50/50 stock/fixed portfolio.
by Prudence
Sun Jun 28, 2020 2:03 pm
Forum: Personal Finance (Not Investing)
Topic: Entrance Fee for Retirement Community
Replies: 55
Views: 8182

Re: Entrance Fee for Retirement Community

You might be young to move there unless it is relatively new and they made a specific effort to bring people in that were younger than typical. I think you'll find most people in an established CCRC these days enter around 80 so many residents are above that. Friends of ours live in a very large &q...
by Prudence
Sun Jun 28, 2020 1:44 pm
Forum: Personal Finance (Not Investing)
Topic: Entrance Fee for Retirement Community
Replies: 55
Views: 8182

Re: Entrance Fee for Retirement Community

One of the things you want to consider is both your family health history, and longevity. Coupled with that, for memory issues, it's better to move and acclimate sooner as opposed to later as this may extend your living in residence longer before moving to memory care. For me, I would also look at ...
by Prudence
Sun Jun 28, 2020 12:41 pm
Forum: Personal Finance (Not Investing)
Topic: Entrance Fee for Retirement Community
Replies: 55
Views: 8182

Update: Entrance Fee for Retirement Community

Update: The CRCC we love just offered us an apartment that we love. It is a high end CRCC with a high refundable entrance fee and a high monthly fee. If a resident terminates the arrangement, the CRCC will not release the refundable entrance fee until a new resident has paid an entrance fee. Ordinar...
by Prudence
Thu May 21, 2020 7:58 am
Forum: Personal Finance (Not Investing)
Topic: Appointment of Executor
Replies: 13
Views: 687

Appointment of Executor

I posted a long topic a few days ago and received several helpful replies. But, I have at least one important unanswered question. We live in Maryland. What happens if a person dies with no will and no named personal representative? The register of wills says that the court will appoint a personal r...
by Prudence
Mon May 18, 2020 5:31 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security Issue
Replies: 13
Views: 1165

Re: Social Security Issue

2. The $25,000 owed SSA plus the funeral home expense and other post-death miscellaneous expenses (e.g. cleaning out the apartment, hauling away furniture etc.) is substantially more than the value of SIL's assets. What money, if any, will DW and BIL owe SSA out of their own pockets? 4. Can the pos...
by Prudence
Mon May 18, 2020 5:25 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security Issue
Replies: 13
Views: 1165

Re: Social Security Issue

A Social Security Representative Payee can not be held responsible for the overpayment if they were not the representative at the time of the overpayment. If this is the case reply to SS that they were not the Rep at that time and enclose a copy of the Representative Payee approval letter. Which re...
by Prudence
Mon May 18, 2020 5:23 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security Issue
Replies: 13
Views: 1165

Re: Social Security Issue

Wife will only owe for what she feels like paying. I personally might see they were buried properly. The rent they will have to pay if they asked the landlord to extend the lease otherwise they should have been out in 30 days. Funeral expenses and then last hospital usually take precedence for bein...
by Prudence
Mon May 18, 2020 5:21 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security Issue
Replies: 13
Views: 1165

Re: Social Security Issue

IF BIL was married to your wife's sister, there may be joint assets that can be claimed. Please clarify if BIL was married to your wife's sister. The BIL in my post is my DW's brother (i.e. my BIL). Sorry for the confusion. There were three children: my DW, her brother (my BIL) and the deceased sis...
by Prudence
Mon May 18, 2020 8:25 am
Forum: Personal Finance (Not Investing)
Topic: Social Security Issue
Replies: 13
Views: 1165

Social Security Issue

My DW's sister passed at age 69 of Covid-19 on April 29. SIL died without a will and she lived alone in a small apartment. Funeral home expenses were incurred and paid. Yesterday my DW was informed by her brother that SIL had a debt to SSA that was being paid off gradually by a reduction to the mont...
by Prudence
Mon May 11, 2020 12:41 pm
Forum: Personal Consumer Issues
Topic: Password vault or generator?
Replies: 110
Views: 7232

Re: Password vault or generator?

+1 for 1Password. Nice intergration with all devices, doesn’t store password in the cloud but on local devices that are synced when on WiFi. Generates strong passwords and works seamlessly via app and browser plugins Also I wouldn’t ever create my own passwords, so better to create the password and...
by Prudence
Sat May 02, 2020 1:53 pm
Forum: Personal Finance (Not Investing)
Topic: Suspension of RMD Requirement for 2020
Replies: 11
Views: 1381

Suspension of RMD Requirement for 2020

I made a qualified charitable deduction (QCD) in January (withdrawal for tIRA). Also, I am planning to make the rest of my RMD before the end of this year. Due to the CARES Act suspension of 2020 RMD, is my January QCD still NOT subject to federal tax for the 2020 tax year? What will be the effect o...
by Prudence
Sat May 02, 2020 8:11 am
Forum: Personal Finance (Not Investing)
Topic: Is my fixed account holding reasonably safe?
Replies: 11
Views: 941

Re: Is my fixed account holding reasonably safe?

Thanks, I will ask them. I do have term life insurance from this A+ company, through a professional association, which would fall within the scope of this association. Policy holders like me also have an option to invest in various funds including this fixed account which has a fixed rate on cash co...
by Prudence
Fri May 01, 2020 7:19 am
Forum: Personal Finance (Not Investing)
Topic: Is my fixed account holding reasonably safe?
Replies: 11
Views: 941

Re: Is my fixed account holding reasonably safe?

Yes, very helpful, sound advice, thanks again dbr.
by Prudence
Thu Apr 30, 2020 2:54 pm
Forum: Personal Finance (Not Investing)
Topic: Is my fixed account holding reasonably safe?
Replies: 11
Views: 941

Is my fixed account holding reasonably safe?

I have a "fixed account" with a major life insurance company. It is like a savings account. Account holders are guaranteed a fixed rate on cash balances; the company may change the guaranteed rate (up or down), but, it has remained the same for many years. The interest rate is very attract...
by Prudence
Tue Apr 21, 2020 2:18 pm
Forum: Personal Consumer Issues
Topic: Renewal by Anderson window prices
Replies: 39
Views: 3894

Re: Renewal by Anderson window prices

I replaced all the windows in our house with RBA a few years ago in HCA Maryland suburb. The price was about $1,000 per window including the options. I didn't feel pressured but the salesman was persuasive (hard to resist). I looked at a few options including Marvin. Anderson did a great job and the...
by Prudence
Mon Apr 06, 2020 7:44 am
Forum: Personal Finance (Not Investing)
Topic: Coronavirus Impact on Real Estate Market
Replies: 5
Views: 926

Re: Coronavirus Impact on Real Estate Market

It's a tricky situation with limited data. There are many reports of cancelled open houses and sellers pulling their homes off the market or suspending plans. Also, a reduction of buyers actively looking. So, the market seems to be on pause. These things are common sense. Massive unemployment and re...
by Prudence
Sun Apr 05, 2020 5:39 pm
Forum: Personal Finance (Not Investing)
Topic: Coronavirus Impact on Real Estate Market
Replies: 5
Views: 926

Coronavirus Impact on Real Estate Market

We are considering a decision to sell our house and close in September 2020. We live in close in Montgomery County MD. This has always been a strong market for SF homes like ours. Homes sell quickly at or above list price. If we sell our house, I think we would take a hit due to the coronavirus impa...
by Prudence
Wed Apr 01, 2020 9:27 am
Forum: Investing - Theory, News & General
Topic: Is the coming pain really "priced in"?
Replies: 201
Views: 19526

Re: Is the coming pain really "priced in"?

Coming expected pain is priced in.
by Prudence
Tue Mar 31, 2020 8:59 pm
Forum: Investing - Theory, News & General
Topic: Post Coronavirus economy and investing philosophy
Replies: 11
Views: 1368

Re: Post Coronavirus economy and investing philosophy

Yes the economy will continue to grow but at the slow rate that we have seen over the past couple of decades. This will continue to be bad news for labor but good news for investors. Businesses will reorganize operations so that they will not need to bring back a significant percentage of the people...
by Prudence
Sun Mar 29, 2020 8:21 am
Forum: Investing - Theory, News & General
Topic: Sitting on a bunch of cash; what to do with it if I believe we're headed for SPX 1800 and protracted recession?
Replies: 206
Views: 21919

Re: Sitting on a bunch of cash; what to do with it if I believe we're headed for SPX 1800 and protracted recession?

You didn't mention how much time you have (i.e., 30 years until retirement), so since this is totally a guess to begin with, I'm going to assume you are a youngin and have exactly that, a 30-year horizon. Since your default AA is 90:10, you are obviously OK with risk. If I were in your shoes, and i...
by Prudence
Sun Mar 29, 2020 8:05 am
Forum: Personal Finance (Not Investing)
Topic: Pay fed tax now - or July 15?
Replies: 47
Views: 4366

Re: Pay fed tax now - or July 15?

You might as well wait now. I filed my return at the beginning of March and it was accepted and processed. I am glad because our AGI was less in 2019 than 2018 and we will receive a larger coronavirus payment.
by Prudence
Fri Mar 27, 2020 8:58 am
Forum: Personal Investments
Topic: Now the time to buy Inflation Protected Bond Fund?
Replies: 30
Views: 2900

Re: Now the time to buy Inflation Protected Bond Fund?

With the trillions the Fed is injecting into the economy, wondering what this is going to do in the future ( deficit ) & the eventuality of devaluing the dollar....and higher or hyper inflation. Is now the time to buy Inflation Protected Bond Funds, and in particular which ones to consider for ...
by Prudence
Wed Mar 25, 2020 8:06 am
Forum: Investing - Theory, News & General
Topic: Who's buying today? where's all the "dry powder" folks at? :)
Replies: 514
Views: 51028

Re: Who's buying today? where's all the "dry powder" folks at? :)

I am 82% Cash (MM) and am still waiting this out. I know noone can read the future. But I decided to waiting until earnings season starts. Once companies start changing earnings forecast, I believe we should be @ 40%-50% down from peak. Also, once people start missing checks for 30+ days then we wi...
by Prudence
Tue Mar 24, 2020 3:50 pm
Forum: Investing - Theory, News & General
Topic: Who's buying today? where's all the "dry powder" folks at? :)
Replies: 514
Views: 51028

Re: Who's buying today? where's all the "dry powder" folks at? :)

I bought a bunch on the way down (from ~75/25 to ~90/10), have a bit more left to deploy but waiting for it to go a bit lower to do that last part. My expectation is that we haven't reached bottom yet, based on continued exponential growth in confirmed US case numbers. As more states get locked dow...
by Prudence
Fri Mar 20, 2020 3:59 pm
Forum: Investing - Theory, News & General
Topic: Who's buying today? where's all the "dry powder" folks at? :)
Replies: 514
Views: 51028

Re: Who's buying today? where's all the "dry powder" folks at? :)

One approach to help with the mental drain is to plot out difference scenarios... S&P drops to 2000 S&P drops to 1500 S&P drops to 1000 S&P drops to 500 Figure out a schedule of buys that will keep enough dry powder ready for the furthest drop you are comfortable with (meaning that ...
by Prudence
Mon Mar 16, 2020 8:11 am
Forum: Personal Investments
Topic: Move to CD now after rate cut?
Replies: 23
Views: 2539

Re: Move to CD now after rate cut?

Makes sense. Too add: a quick google search indicated that negative interest income cannot reduce federal taxable income.
by Prudence
Fri Mar 13, 2020 12:52 pm
Forum: Personal Consumer Issues
Topic: Are you still going to the gym ...
Replies: 210
Views: 12768

Re: Are you still going to the gym ...

I'm 73 and live in the DC metro area. I go to the gym every day but I decided to stop starting today. For a few weeks, I can replace the cardio at the gym with walking and running in my neighborhood. Today I will go to Dicks and buy a couple of dumb bells for use at home until it is safe to go back ...
by Prudence
Thu Mar 12, 2020 9:57 am
Forum: Investing - Theory, News & General
Topic: Anybody want to guess the bottom of this "dip"?
Replies: 573
Views: 38711

Re: Anybody want to guess the bottom of this "dip"?

I noticed that the Dow dropped 53.4% between October 07 and March 09, so, given what is happening in Europe now, I am guessing a 50% drop in the S&P to 1,696 and it could happen pretty quickly.
by Prudence
Mon Mar 02, 2020 8:21 pm
Forum: Personal Consumer Issues
Topic: Password Manager Risk Protection
Replies: 16
Views: 1206

Re: Password Manager Risk Protection

Point taken. Two concerns. How can I protect myself if the password manager (the firm) is attacked and compromised (they must be attacked every day)? What if I lose (or stolen and broken into or hacked) my PC or phone or any device where I have been using the password manager; am I ok? Is there no p...
by Prudence
Mon Mar 02, 2020 4:19 pm
Forum: Personal Consumer Issues
Topic: Password Manager Risk Protection
Replies: 16
Views: 1206

Password Manager Risk Protection

I'm gonna break down and start using a password manager, probably LastPass since it has received positive reviews. I have a PC and an android phone. I noticed LastPass had a scare in September that was fixed before any harm was done to users. So, I am wondering, after I start using LastPass, what sh...