Dear Liz: I’m an estate planning attorney and I agree with your warning to the couple who wanted to add their daughter to their house deed to avoid probate. The daughter’s share of the home would lose the step-up in tax basis she would get if she inherited instead, plus there are several other issues. […]
Recent Blog Posts
Q&A: Here’s a way to fight Social Security fraud
Dear Liz: To make us less likely to become victims of fraudulent activity, years ago I froze our credit bureau files. I assume the Social Security Administration could be hacked as well. Can those files be frozen? Answer: No, but you can create an online account to track and monitor your Social Security records — […]
Q&A: Don’t jump into early retirement without considering these things
Dear Liz: I am almost 59½. Can I retire at 60½? I have $570,000 in a 401(k) and $180,000 in an IRA. I owe $253,000 on a condo that would sell for $600,000. I plan to buy a home next year for $400,000 and pay off the mortgage with the proceeds of the condo. Then […]
Equifax hack: Freezing your credit isn’t enough
The Equifax hack exposed the names, addresses, birthdates and Social Security numbers of up to 145.5 million Americans. Drivers license information for 10.9 million people was also exposed, according to a Wall Street Journal report. This is the sensitive, private information that’s used to establish your identity, which is why freezing your credit reports — […]
Q&A: Help your son by helping yourself
Dear Liz: I’m a new mom and want to start saving for my son’s college/car/other life expenses while also planning a secure future for him. If I only had, for example, $300 a month to put toward this goal, what would you recommend I spend it on? Life insurance? Savings accounts for him? Savings accounts for […]
Q&A: Adding daughter to home could create a tax burden
Dear Liz: My wife and I are both 80 and we are contemplating adding our 56-year-old daughter as a co-owner and borrower to our home. The house is now valued at $600,000 and our mortgage balance is $196,000. If it is advisable, and I am able to do this, will it prevent the house going into […]