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Recent Blog Posts

January 7, 2025 By Liz Weston

Q&A: Health savings accounts offer a rare triple tax break. Here’s what to know

Dear Liz: Can I contribute additional money to my health savings account, above the amount I’m contributing through payroll deduction? Also, I have an HSA account from a previous employer and one from my current employer. Can I combine the two? Answer: If you have a qualifying high-deductible health insurance plan, you can contribute up to $4,300 […]

December 30, 2024 By Liz Weston

Q&A: Unemployed, but the nest egg is large. Is it unethical to get public assistance?

Dear Liz: I am out of work and taking a pause on my job search. While I have plenty of savings in a diversified portfolio, enough to last many years if needed, my adjusted gross income is small (mostly capital gains from gradual sales of assets). I think I qualify for low-income assistance programs for utility […]

December 30, 2024 By Liz Weston

Q&A: A first paycheck means getting to know Uncle Sam

Dear Liz: My recently graduated child got a job and he will be given a 1099 tax form for his earnings. I know he will have to file his taxes differently and will need to pay both state and federal income taxes, but will he also make payments toward Social Security? Will these months (and maybe […]

December 30, 2024 By Liz Weston

Q&A: Clearing up some confusion over those proprietary funds

Dear Liz: Your recent column about proprietary funds confused me. You mentioned that selling these funds can trigger capital gains tax. Is it not true we can move investments directly from one money manager to another and not take a capital gain as long as the funds remain invested? Answer: If you can move a fund from […]

December 30, 2024 By Liz Weston

Q&A: After a windfall, questions on what to do with the cash

Dear Liz: After selling my house and downsizing at age 84, I am cash rich for the first time in my life. My goal now is not so much to grow the money substantially, but to avoid paying taxes on my investments, as I would have to do with certificates of deposit. Are tax-free municipal bonds […]

December 23, 2024 By Liz Weston

Q&A: Medicare Part D Premiums: Balancing Costs and Coverage in 2025

Dear Liz: I would like to comment on your response to the letter about the high cost of Medicare Part D prescription drug coverage. You correctly noted the $2,000 cap on covered drug costs, starting next year. However, there is no cap on the cost of the monthly premiums. My cost for the Part D monthly […]

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