Dear Liz: My parents set up 529 college savings accounts for my niece and nephew. The accounts are now quite substantial. My nephew chose to go to community college for his freshman year, and seems to be leaning toward not continuing in college. If he chooses to go to a trade school instead of college, can […]
Recent Blog Posts
Q&A: Should I take a bridge loan to build an ADU?
Dear Liz: We live in a high fire risk area and feel it is too risky to keep our home. Our daughter and her husband invited us to build an accessory dwelling unit on their property. With the tariffs, it is estimated the construction will cost about $600,000. We have a nest egg of about $1.3 […]
Q&A: Free service can help taxpayers file overdue returns
Dear Liz: I am 85, and my husband is 87. We are both retired. He has not paid our income tax for three to five years. I have given up trying to get him to do it. I know it’s partly my fault, as I should have taken more responsibility. What should I do? Whom should […]
Q&A: Who is responsible for the costs of settling an estate?
Dear Liz: Our dad is 93 and has a reverse mortgage on his house, where he lived until recently with my brother and my brother’s friend. In August, we had to move Dad into assisted living. Shortly after that, the “friend” locked my brother out of the house and has been a squatter ever since. We […]
Q&A: Should I close paid-off, high-rate credit cards?
Dear Liz: I paid off my high-interest credit cards. Should I close the accounts or leave them open? I heard a long time ago that closing the accounts will affect my credit score because less credit is available to me. But I don’t want to use these credit cards anymore because they have a high interest […]
Q&A: Tuition payments could require filing gift tax return
Dear Liz: I have been paying college tuition for my grandson: $20,000 per semester for the last three years. He has used the university’s online option to pay the tuition by transferring the money from my bank checking account. Am I entitled to a tax exemption? How should I claim it when I return my tax […]