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Old 10-19-2009, 06:21 PM
 
29,827 posts, read 34,912,438 times
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Quote:
Originally Posted by mathjak107 View Post
the best thing anyone can do is educate their spouses as far as all this financial suff.. my wife was taken advantage of by a salesman at the local bank before she met me. he loaded her up with tech and dot com funds and she was devasted in the collapse.. she was a widow at the time and had no clue about any of this stuff

today she has a great understanding of most investment classes and we can actually bounce ideas and investments off each other and actually get good points back. never again will she be a victim even if im not around
That is a work in progress. We watch CNBC hours on hours but it is still a matter of being trusting.
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Old 10-19-2009, 09:03 PM
 
29,827 posts, read 34,912,438 times
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There is another part to all of this. Diminished capacity. Many of us are active and managing in some way shape or form active investments with a plan. As we get older we face the risk of diminished capacity or passing quickly while having a spouse who is aging and not as on top of the ball game as they use to be. This is a reality of investing and a reality of why con men target seniors. Do or should we factor this in our plans? Some of us have plans that may not be really easy to exit in mid stream. I would think real estate is one possibility.
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Old 10-20-2009, 12:56 AM
 
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
22,686 posts, read 40,050,764 times
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Quote:
Originally Posted by TuborgP View Post
There is another part to all of this. Diminished capacity. ... Do or should we factor this in our plans? Some of us have plans that may not be really easy to exit in mid stream.
Yes factor in diminished capacity, it happens at different stages for different folks, but it is a very good idea to count on it happening. A sudden stroke might put you at the mercy of someone's interpretation of your plans (Happened to a parent of mine at age 49). They could not communicate / eat / care for self for 10 yrs, then started improving, SLOWLY. I see seniors having grand plans and then something happens and DE-RAIL, can be a number of things beyond health. Keep an exit strategy documented and updated and available to someone of sound mind.

Quote:
I would think real estate is one possibility.
That is possible, but then it might be OK if is it passive income. That would NOT include residential rentals, but many other RE type investments can carry on w/o your involvement, and provide for you and your decedents, or a charitable cause.

I guess the big challenge at hand, is to figure out how to 'check-out' before the end of 2010. (Capital Gains and Inheritance tax sunset).
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Old 10-20-2009, 12:57 AM
 
Location: southern california
55,697 posts, read 74,699,564 times
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you dont its not leverage material its your home. pay it off and leave it alone.
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Old 10-20-2009, 03:28 AM
 
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the truth is most people have this vision of taking the mortgage and investing the cash they would have bought the house with and coming out ahead.

now the reality: according to morningstar who tracks small investor money moving in and out of funds the small investor usually buys at the wrong time and sells at the wrong time most of the time. statistically left to their own devices most small fund investors only see average returns of less than 4% while indexes return almost 9. thats according to morningstar, jack bogle and ibbotson assoc.


for most they would be ahead with no mortgage.
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Old 10-20-2009, 04:03 AM
 
8,218 posts, read 11,935,652 times
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Quote:
Originally Posted by TuborgP View Post
That is a work in progress. We watch CNBC hours on hours but it is still a matter of being trusting.
I love CNBC. In fact, I think that Squawk Box is my favorite TV show on any channel. But that is probably just because I like to wake up to Becky Quick.

Here's a youtube link/song about her:
YouTube - Becky Quick - 40 Watt Moon
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Old 10-20-2009, 07:23 AM
 
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Quote:
Originally Posted by Huckleberry3911948 View Post
you dont its not leverage material its your home. pay it off and leave it alone.

I agree .

Too many people fell for those ads--" cash out the equity in your home"--and are entering retirement with still a huge mortgage and no equity in their home.
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Old 10-20-2009, 11:40 AM
 
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Quote:
Originally Posted by marmac View Post
I agree .

Too many people fell for those ads--" cash out the equity in your home"--and are entering retirement with still a huge mortgage and no equity in their home.
Sometimes Keep It Simple Stupid is the best plan.
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Old 10-21-2009, 01:26 PM
 
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i just said that to marilyn the other night, we need to simplify everything. no more bank accounts on line and all over, no more little brokerage accounts..

less is more as we make everything concise and easy to follow and for anyone to pick up the pieces if they had to. a scarey thought is if both husband and wife are in in accident and someone else has to figure out all your financial stuff on the fly

... what we did is put a set of instructions in an envelope with our wills telling them where to look in our house for another package with detailed information about accounts and where everything is....

the kids were cracking up when we told them, they thought we made like a treasure hunt for them ha ha ha
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Old 10-21-2009, 03:32 PM
 
29,827 posts, read 34,912,438 times
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Quote:
Originally Posted by mathjak107 View Post
i just said that to marilyn the other night, we need to simplify everything. no more bank accounts on line and all over, no more little brokerage accounts..

less is more as we make everything concise and easy to follow and for anyone to pick up the pieces if they had to. a scarey thought is if both husband and wife are in in accident and someone else has to figure out all your financial stuff on the fly

... what we did is put a set of instructions in an envelope with our wills telling them where to look in our house for another package with detailed information about accounts and where everything is....

the kids were cracking up when we told them, they thought we made like a treasure hunt for them ha ha ha
So sad but so true. Even the great minds of this forum know that one day we to shall become something, oh well no need to discuss that now.
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