Dear Liz: My former employer is offering the one-time opportunity to receive the value of my pension benefit as a lump-sum payment. The other option is to leave the money where it is and get a guaranteed monthly check from a single life annuity when I reach retirement age. I am 40 and single, and […]
Recent Blog Posts
Home sale tax break won’t disappear
Dear Liz: My wife and I are trying to sell our home, which has been our primary residence for six years. I am very concerned about the $500,000 capital gains exclusion. As I understand it, the exclusion would mean we wouldn’t have to pay taxes on our home sale profit. But we are confused about […]
How good is your 401(k)?
Dear Liz: I just turned 65 and have left my job for a part-time position. My 401(k) is being transferred to a new investment company that I’ve never heard about before. Their fees seem to be lower. Is there a website where I can compare different firms? Answer: There is. BrightScope at http://www.brightscope.com analyzes and […]
Many goals, few resources: How do you focus?
Dear Liz: I have read tons of books on finance and debt repayment, but I’m having trouble deciding what to do next. My husband and I are 52. He receives a monthly disability income, and I work two days a week. We still have about $105,000 left before our mortgage is paid off. We also […]
How to set up savings “buckets”
Dear Liz: You’ve written about how helpful it can be to have “savings buckets” or separate savings accounts earmarked for different goals such as vacations, property tax payments and so on. I have been trying to do this myself, but every bank I find charges so much in fees that it would cost more money […]
Botched remodel holding up refinancing
Dear Liz: My husband and I are wondering whether it is time to file for bankruptcy. We have about $20,000 in credit card debt, largely because of a home addition and remodeling project my husband began five years ago. It has been much more costly and time consuming than he anticipated and is not even […]