AARP:
for auto insurance, 512
for HECM counselors, 1162
for homeowners insurance, 545
absolute returns, 953
accident insurance, 445
accidents, 6
wrongful death claim, 179
accountant, investigative, 166–67
accounts, keeping, 197
Administration on Aging, U.S., 1068
age:
and cycle of wealth, 4–5
who needs what when, 6–13
agency account, 81
Alliance of Cambridge Advisors, 1178–79
Alliance of Claims Assistance Professionals, 453
alternative minimum tax, 223
American Academy of Actuaries, 1068
American Association of Homes and Services for the Aging (AAHSA), 478
American Association of Individual Investors, 814, 819
American Automobile Association (AAA), 32
American Bar Association (ABA), 127, 171
American depositary receipts (ADRs), 983–84
“America’s Best Colleges,” 620–21, 642
AmeriCorps VISTA, 640
AmeritasDirect.com, 371
AnnualCreditReport.com, 262
annual percentage rate (APR), 329–30, 575
annual percentage yield (APY), 67, 72
annual reports, 891–95
annuities:
buying, 1073–74
charitable, 1131
choosing, 1078–80
costs of, 1075, 1080, 1089, 1090
deceptive sales tactics for, 71, 1075–76, 1131
equity-indexed, 1081–84
fixed-rate, 1076–80
gift, 142
immediate-pay, 1113, 1124–30, 1150
junk, 1080
with lifetime income options, 1088–91
long-term commitment of, 1073
low-load, 1087
multiyear guarantee, 1076
step-ups, 1089
survivor, 1119–20
switching, 1092
tax-deferred, 71, 217, 364, 368, 387, 1071–95
and taxes, 1074–75, 1093–94, 1128–29
variable, 1084–91
withdrawals from, 1072, 1074, 1087–88
Annuity Advantage, 1079
A-PLUS report, 547–48
Appleby Retirement Consulting, 1047
APR (annual percentage rate), 329–30, 575
APY (annual percentage yield), 67, 72
arbitrage, 953
arbitration:
and health insurance, 444
and investments, 825–27, 828–33
Archimedes, 1
diversification, 694–95, 714–19, 722, 840, 842, 844, 864–65, 1027
fixed vs. flexible mix, 718
international, 976
risk vs. reward, 718–21
asset management accounts, 51
assets:
in balance sheets, 892
and early retirement, 1105–9
hidden, 166–67
and net worth, 17–18
and prenuptial agreements, 146–48
slow, 18
transferable on death, 138
and trusts, 137–38
widow/widower checklist, 179
and wills, 98–99
Assist2sell.com, 585
assisted living, 164
assisted reproduction, 103
ATMs (automated teller machines), 62–63, 64
debit cards for, 275–78
and identity theft, 277–78
mistakes of, 73–74
attorney-in-fact, 125–26
auction rate securities, 224
auto insurance, 505–23
assigned-risk pools, 518
for business, 544
collision, 510
comparison shopping, 511–12
comprehensive, 510
fault vs. no-fault, 506–7
group plans, 515
lawyers, 520–21
liability for bodily injury, 507–8
liability for property damage, 508
money-saving tips, 511–15
personal injury protection, 509
renewal, 517–18
risk evaluation, 505–6, 514–15
state high-risk pool, 515, 518
umbrella coverage, 511
uninsured drivers, 510–11
where to keep policies, 32–33
young drivers, 515–16
cash payment vs., 320–21
length of term, 318–19
for used cars, 319
Automated Customer Account Transfer Service (ACATS), 815–16
automobile:
fair market value of, 520
future value of, 323
hanging on to, 216
insurance, see auto insurance
lease vs. purchase, 321–28
ownership, 91
safety of, 514
sharing, 328
baby, checklist about, 149–52
balance sheets, reading, 892–93
banking, 44–79
agency account, 81
bank ratings, 77
big banks, 44
bundled accounts, 49
business accounts, 182
community, 44
compound interest, 72–73
convenience account, 81
and credit unions, 44–45
and debit cards, 275–78
deposit slips, 74
foreign-currency accounts, 982
joint accounts, 149
loans, 296
mistakes made by, 73–74
money market accounts, 49, 219–20
money transfers, 63–65
mortgages, 572
mutual funds, 759
online, 44, 45–47, 53, 55, 65–66, 219
opening an account, 47
other products, 71
passbook accounts, 220
personal, 312
savings accounts, 65–67, 78–79
signature cards, 59
switching banks, 53
traditional, 79
trust department, 1171
uninsured deposits, 78
BankingMyWay.com, 220
Bank of America, 797
Bankrate.com, 220
bankruptcy, 289–91
and foreclosure, 590–91
and job loss, 207
of older persons, 430
record-keeping, 42
and student loans, 646–47
and wage earner plan, 289–90
BankruptcyInformation.com, 289
benchmarks, 739–40
Berkshire Hathaway Assurance, 942
bill-paying online, 52–53
bill yourself first, 214–15
birthing facilities, 151
blended families, 10–13
blended rate, 56
Bogleheads.org, 749
borrowing against, 310–12
for college costs, 686–87
corporate, 934–38
Ginnie Maes, 930–33
government, 933–34
for historians, 926
for income investors, 920–23
index funds, 851–52
individual, 902–3
for interest-rate speculators, 924–26
laddered, 921–22
medium-term, 708
mutual funds, 899, 901–2, 903–6, 907, 910, 914–15, 937–38, 980–81
for preserving purchasing power, 924
prices, 909
purposes of, 708
storage of, 40
STRIPS, 946
taxable vs. tax-free, 1191–92
tax-free municipal, 906–7, 910, 938–45
tax-loss swapping, 926–27
total return, 913–14
values of, 907–8
where to hold, 927
wrong things to do with, 906–7
yields, 911, 912–13, 914–15, 1191–92
zero-coupon, 687, 898, 923, 945–48
see also investment; securities
books, buying, 216
borrowing power, 310–11; see also loans
“breaking the buck,” 221
brokerage house agreement, 40
brokerage houses, 793–839
author’s alert, 803
basic accounts, 798–801
commissions and fees, 804, 806, 890–91
complaints against, 823–25
confirmation slips, 801
CRD record of, 1185
disclosure statements, 800–801
fee-based accounts, 813
fees of, 756, 764–68, 813, 814
handling mistakes, 813
mutual funds, 768–69
online, 803
portfolio reviews, 814
research departments of, 805–6
securities held in name of, 88, 801–2
statements, 813
street names, 802
and transfer agents, 802–3
and trust, 803–4
types of, 796–98
unregistered, 822
see also stockbrokers
Bubble Kids, 3
budgeting, see spending plan
bullion coins and bars, 972–73
Bureau of Public Debt, 237
business:
and auto insurance, 544
failure rate, 207
and health insurance, 418, 429–30
and homeowners insurance, 539, 542–44
and life insurance, 338
mergers and buyouts, 888
startup checklist, 182–86
tax deductions, 185
widow/widower checklist, 179
business insurance, 183
business news, 819
bypass trusts, 84–85, 89, 122–23
Calvert Investments, 859
capital, rates of withdrawal, 1193–1200
capital gains and losses, 783, 870–71
CardTrak.com, 248
CarsDirect, 328
cash advances, 245, 246, 247, 248, 256, 282
cash management accounts, 276
CDs (certificates of deposit), 66–69, 900
borrowing against, 309
broker-sold, 67
high-yield, 67
and living trusts, 135–36
by mail, 79
maturity of, 70
medium-term money in, 224–25
and mistakes, 74
types of, 68–69
unclaimed, 61
Central Registration Depository (CRD), 817, 818, 1185
Certified Financial Planner (CFP), 1170–71, 1179, 1181
Certified Financial Planner Board of Standards, 1179, 1180, 1181, 1185–86
charge (store) cards, 242–43, 255
chargeback, 281
charitable gifts, 41, 114, 123, 1131
charitable trusts, 141–43
Charles Schwab & Co., 779, 796, 852, 1008, 1042, 1145
Chartered Advisor for Senior Living (CASL), 1172
alternatives to, 51
automatic deductions, 53
automatic transfers, 54
available funds, 56–58
balancing the checkbook, 61–62
bounced checks, 50, 56, 58, 246
collected balance, 55–56
for couples, 82–83
and credit line, 312
direct deposit, 56
express, 49
“free,” 50
minimum balance, 56
money transfer to savings from, 215
no-frills, 49
no-interest, 49
quiescent, 60–61
and spending plans, 201
checks:
canceled, purposes of, 36–37
cashier’s, 60
certified, 60
endorsing, 59–60
severance, 204
ChexSystems, 59
chicken funds, 968–69
children:
adult, 478–79
allowances to, 154–56
and bank accounts, 75
and charitable lead trusts, 143
and credit cards, 255
and crisis clause, 110
day care checklist, 152–54
disabled, 118–19
disinheriting, 114
of domestic partners, 157
from frozen embryos, 103
and health insurance, 152, 416, 429, 448, 450–51
and home businesses, 185
inheritance of, 96–98, 108–9, 110–11, 113, 117–19, 133
money gift to, 92
new baby, 149–52
and parent’s remarriage, 84, 89
of prior marriage, 119
and property, 91, 92–94, 109, 111
selling the house to, 1155–56
and Social Security, 1136
stepchildren, 113
tax returns of, 234
teaching about money, 155
trusts in names of, 93–94, 117–19, 133
Choose to Save, 1017
closed-end funds, 788–92, 905, 970–80
CLUE report, 547
CMOs (collateralized mortgage obligations), 969
COBRA (health insurance), 178, 424–25, 431, 450–51
COBRAs (Continuously Offered Bonds for Retail Accounts), 899–900, 935
codicils, 112–13
cohabitation agreements, 85–86
Cohen & Steers, 1008
coins:
gold, 972–73
platinum, 974
rare, 970
silver, 974
collaborative law, 175
collateral, 312
collectibles, 970–71
college, 615
advanced placement, 640
AmeriCorps VISTA, 640
for athletes, 643
CLEP tests, 640–41
community colleges, 620, 640, 664–65
cooperative education, 661
and divorce, 173
eligibility for aid, 92
FAFSA, 629–32, 634, 636, 637, 652
Financial Aid PROFILE, 630, 632
financial aid steps, 630–34
forms, 629–30
fund sources, 627–29
graduate school, 660
grants, 639–41
how much you pay, 622–27
independent students, 635–36
loopholes, 636–38
merit aid, 621, 622, 623, 624, 628, 641–42, 644, 663
military scholarships, 661–62
and parents, 634–35
and prestige, 618–20
private scholarships, 644–45
scams, 663–64
Stafford loans, 630, 633, 647–48, 658
for state residents, 638, 639–40, 643
strategies, 642–45
tax credits, 628–29
trust income to pay for, 94
tuition management plans, 650
visits to, 627
work-study programs, 628, 639, 641
collegeboard.com, 663
college investment plans, 666–89
in child’s name, 686
Coverdell, 780–81
Hope tax credit, 678
Lifetime Learning tax credit, 678–79
saving for, 666–67
self-managed, 682–84
U.S. savings bonds, 681–82
College Savings Plans Network, 677–78
commitments, family, 145–46
commodities, 761
commodities futures, 833, 963–65
commodities index funds, 852
commodities options, 964
Commodity Futures Trading Commission (CFTC), 833
commodity mutual funds, 857
commodity pools, 785–86
Community Foundations, 143
community property, 87–88, 89, 114–15, 135
Computerized Investing, 814
condos and townhouses, 595–98
buying for rental, 601–3
not fully sold, 603
and retirement, 1163–64
time-shares, 608–13
Consumer Action, 258
consumer counseling services, 589
Consumer Debit Resource, 59
consumer debt, see credit cards; debts
Consumer Federation of America (CFA), 258, 364, 373
Consumer Price Index, 1109
consumer protection office (state), 824
continuing care community, 478
convenience account, 81
co-ops, 595–98
corporate bonds, 934–38
cosigners, 331–32
cost-of-deposits index (CODI), 566
cost-of-funds index (COFI), 566
coupon-equivalent yield, 226
coupons, savings, 215–16
court reporters, 832
CPAs (certified public accountants), 891, 1169
credit:
establishing, 7
rejected application for, 331
credit bureaus, selling your name, 250
Credit CARD Act, 243, 253, 254
credit cards:
automatic charges to, 257
and auto rentals, 521–22
billing errors on, 280–81
canceled, 256
cardholder agreement, 254
cash advances on, 245, 246, 247, 248, 256, 282
cash back, 247–48
changing your name on, 257
comparing, 253–54
controlling costs, 248
convenience of, 239
credit limits on, 246, 248, 255–56
and defective goods, 281–82
electronic billing, 258
fact sheet, 255–58
fees on, 246–47, 253–54, 258–59
first, 254–55
grace periods on, 253
and identity theft, 271–72
inability to pay, 287–93
information sources, 258
interest rates on, 243–45, 253
international transactions with, 254
line of credit, 312
linked to checking, 50
low-rate, 248–49
minimum payments on, 248
monthly statements, 37–38
no-fee, 244
offers of, 250
of organizations, 257
paying immediately, 248
for poor or no credit history, 251
rejected application for, 262, 267
replacing stolen money via, 65
rewards, 247–48
secured, 251
security freeze on, 272–73, 286
spouse’s debts on, 257
suspended, 259–60
too many, 256
unauthorized use of, 279–80
unpaid balances on, 257, 258–60
unsecured “subprime,” 252–53
unused, 256
for your business, 183
credit counseling, 288–89
credit discrimination, 284–86
credit insurance, 329–30, 351, 384
credit limit, 246, 248, 255–56
credit repair firms, 269
credit reports, 260–65
accuracy of, 266
explanations in, 265
investigative, 270–71
reasons to check, 264–65
reporting errors on, 263–64
credit score, 265–70
and credit counseling, 288–89
how to buy, 269–70
how to improve, 267–68
and mortgage, 558
new uses for, 269
credit shelter trusts, 84–85
deposit insurance in, 78
failure of, 78
current ratio, 893
data, phishing for, 272
day care, 152–54
death:
last-wishes file, 42
and pensions, 1119
and prenuptial agreements, 148
wrongful, 179
death certificate, 178
debt consolidation loan, 295
debt elimination services, 242
debt management plan, 288
debts:
current, 22
inability to pay, 287–91
and joint property, 89
living without, 239–40
and net worth, 17
premarital talk about, 145
records of, 38
repaying, 15, 211–12, 213, 241–42
see also credit cards; loans
debt-to-equity ratio, 893
deeds, where to keep, 38
Defense of Marriage Act, 91n
depreciation recapture rules, 606
Depression Kids, 3
diamonds, 970
Dickinson, Bill, xvi
direct deposit, 56
DirectInvesting.com, 835
Direct Loan Consolidation plan, 655
Direct Registration System, 802–3
direct stock purchase (DSPs), 835
disability:
definitions of, 496–97
rehabilitation for, 500
and your safety net, 21–22
disability insurance, 15, 17, 486–504
annually renewable, 494–95
association, 491
best value in, 494–501
filing a claim, 503–4
income replacement, 496–97
individual coverage, 491–93
length of term, 495–96
preexisting conditions, 502
and pregnancy, 150
premiums, 494–95
purpose of, 487
residual benefits, 498
shopping for, 501
Social Security, 340, 400, 424, 460, 488, 500
and taxes, 502–3
waiting period, 497–98
waiver of premium, 498–99
where to keep policies, 32
discount rate, defined, 226
discovery process, 825, 829–30
distressed securities, 953
diversification, 694–95, 864–65, 1027
definition, 844
fixed vs. flexible mix, 718
risk/reward, 715–21
in zigzag market, 842
dividend index funds, 751
dividend reinvestment plans (DRIPs), 834–36
dividends:
saving, 216
dividend yield, 874
and arguments, 174
and children, 168, 171–73, 175
and collaborative law, 175
and college costs, 173
and credit cards, 285
and creditors, 167–68
do-it-yourself, 176
financial planning advice for, 176
and health insurance, 176, 451
and integrity, 174
and investments, 730
and joint ownership, 88, 89, 167
lawyer for, 174
and life insurance, 117, 176, 368
mediation services for, 174–75
and money, 165–70
and nonworking spouse, 168
and pensions, 168–70, 1021, 1038
prenups and postnups, 177–78
and professional degree, 170–71
resources about, 178
of same-sex couples, 112
and Social Security, 176–77, 1133, 1135
tax advice for, 175
dollar-cost averaging, 732–33, 842
donor-advised funds, 143
Dow Dogs, 874
downselling, 244
drug bills, storing, 37
durable health care power of attorney, 127
durable power of attorney, 30, 89, 125–26, 132, 137, 149, 157, 161–62
earthquake insurance, 540
Edward Jones, 796
eHealthInsurance.com, 429–30
elder care, 160–65
activities of daily living, 472–73
assisted living, 164
family leave for, 161
and finances, 161–62
getting help with, 163
and health check, 162
and living wills, 164
long-term care, 468–80
nursing homes, 164
private management of, 163–64
and scams, 163
and sibling relations, 164
and taxes, 161
Electronic Municipal Market Access (EMMA), 910, 919
electronic trading systems, 779, 797, 867
E-Loan, 296
emergency flight bag, 27
emerging-market funds, 978–79
employee benefits:
better job with, 201
college costs, 660–62
day care, 152–53
defined contribution plans, 1023–25
disability insurance, 487–91
for domestic partners, 157
keeping records of, 35
life insurance, 343–45, 352, 383
payroll deduction plans, 215
and pregnancy, 150
retirement savings plans, 217, 1017–23
sick pay, 489–90
stock purchase plan, 217
widow/widower checklist, 179
Employee Benefits Security Administration (EBSA), 1070
employee stock ownership plans (ESOPs), 1023, 1025–29, 1114
end-of-life decisions, 127
“enhanced cash” funds, 223–24
enough, 22–23
environmental audits, 999
equity investors, 843
escrow, 577
and life insurance, 121–22, 338
and wills, 114, 115, 118, 120–24, 133, 142
exchange-traded funds (ETFs), 785–88, 859–61
inverse, 884–85
exchange-traded notes (ETNs), 962–63
executor, 105–6
Fair Access to Insurance Requirements (FAIR), 541–42
Fair Isaac, and FICO scores, 265–66
Family Caregiver Alliance (FCA), 161
family commitments, 145–46
family limited partnerships, 123–24
Fannie Mae, 556, 561, 577, 580, 584
Federal Deposit Insurance Corporation (FDIC), 46, 74–78, 220
Federal Farm Credit System, 933
Federal Home Loan Banks, 933
Federal Housing Authority (FHA), 555–56, 590
Federal Methodology, 624
Federal Reserve Banks, 228, 229
Federal Student Aid, 663
federal thrift savings plans, 1046
Federal Trade Commission (FTC), 258, 274–75, 291
“female discount,” xiv, xvi
Fidelity Investments:
as discount brokerage, 796–97
for mutual funds, 754, 779, 847, 849, 850–53, 860
for REITs, 1008
for retirement services, 1017, 1145, 1179–80
for solo 401(k)s, 1042
fiduciary duty, 794–95
filing system, 29–30
financial advisers, 390–91, 1063, 1102
financial checkup, 1190
Financial Industry Regulatory Authority (FINRA), 390, 769, 817, 827–33, 910, 1173
financial plan, 14–23
basic security package, 15–16
budget-based, 1174
do-it-yourself, 1189–90
enough, 22–23
goals-based, 1174
money sources, 16–17
net worth, 17–20
personal goals in, 14–15
and planners, 1173–74
Roundup Day, 22
safety net, 20–22
financial planners, 794, 1167–90
background checks, 1183–85
commission only, 1175, 1177–78
complaints about, 1185–86
fee and commission, 1175–76
fee based, 1175
fee-based managed accounts, 1176
fee offset, 1175
fee only, 391, 1151, 1171, 1175–80, 1186, 1187
finding, 1180–83
Form ADV, 1184–85
goals-based planning, 1174
no-load mutual fund services, 1171, 1179–80
online calculators, 1171–72
personal investment adviser, 1186–87
possible results from, 1168
protecting yourself, 1187–89
roles of, 1169
salary and bonus, 1176
senior specialists, 1172, 1181
and “The Plan,” 1173–74
and trust, 1187–89
for variable universal life, 367
when not to use, 1168
when to use, 1167–68
where to find, 1178–79
Financial Planning Association, 1179
FinancialPrivacyNow.org, 273, 1105
financial statement, personal, 330
FindLaw, 86
fixer-upper houses, 986–87
float, 277
flood insurance, 540
foreclosure, 290–91, 590–91, 993–95
foreign bonds, 984
foreign currencies, 963, 975–76
bank accounts, 982
exchange-traded funds, 981
mutual funds, 981
see also international investment
foreign ordinary shares, 984
ForSaleByOwner.com, 585–86
401(k) plans, 1023–25, 1029–41
after-tax contributions, 1041
borrowing on, 1034
contributions to, 1030–31, 1040
costs, 1032–33
and death, 1039–40
distribution rules, 1037, 1114
individual (solo), 217, 1042–43
investment choices, 1031–32
and job loss, 204
leaving the plan, 1035–38
rebalancing, 711
safety issues, 1035
for self-employed persons, 1042–44
simple, 1044
spousal protection, 1121
status reports, 1033
taking company stock out of, 1036–37
traditional, 1029
transferring money out of, 1040–41
withdrawals from, 205, 1033, 1043
403(b) plans, 1044–46, 1114, 1121
Freddie Mac, 556, 577, 580, 584
FreddieMac.com, 594
Freelancers Union, 429
frontier funds, 979
funeral instructions, 42
futures:
stock-index, 965–68
Garrett Planning Network, 1178
gatekeeper, 409
GEICO, 545
gems, precious, 970
genetic testing, 420
gifts:
charitable, 41, 114, 123, 1131
to children, 92
saving, 216
tax-free, 121
UGMA and UTMA, 92, 93, 110, 636, 686
Ginnie Mae securities, 930–33
Ginnie Mae unit trusts, 959
global funds, 978
goals, writing down, 14–15
gold, 971–73
growth funds, 751
guardian, for minor children, 109–10, 135
guardianship, adult, 128–29
GuruFocus.com, 876
HealthCareCoach.com, 429
health care proxy, 31, 117, 126–28, 164
accident coverage, 445
agents, 1170
annual maximum, 413
appealing a decision, 441–44
and arbitration, 444
catastrophic coverage, 410
CDHDP, 410–11
celebrity sales, 445
and children, 152, 416, 429, 448, 450–51
claims specialists, 453
COBRA, 178, 424–25, 431, 450–51
company plans, 421–25
costs of, 412–14
and credit score, 437
and death spiral, 445–46
deductible, 412, 427, 428, 431
denial of claims, 480–82
denial of coverage, 442
double coverage, 445
and emergencies, 440
fee for service, 411
general, 420
hospital daily pay, 444
hospital/surgical coverage, 428
individual policies, 419, 425–29, 451
information sources, 429
and job loss, 204
lifetime max, 413
limited coverage, 444
long-term care, 468–80
and malpractice suit, 443–44
managed care, 437–39
medical discount cards, 444–45, 447–48
medical history, 483–84
medical pricing, 414
for medical procedures, 437
Medicare, 453–68
money-saving tips, 433–46
no-frills, 428
one-disease, 444
open enrollment periods, 448
paperwork for, 452–53
payment, 480–82
POS (point of service) plans, 410
post-claim underwriting, 482–83
preexisting conditions, 417–19, 440
and pregnancy, 149–51
premarital talk about, 145
premiums, 412
for prescription drugs, 416–17, 436–37
questions to ask, 437–41
and retirement, 159, 430–32, 1100, 1106
safety of, 446–47
scams, 447–48
for self-employed, 418, 429–30
services not covered, 413
for small business, 183
state high-risk pools, 411, 449
for students, 432–33
where to keep policies, 32
widow/widower checklist, 178–79
HealthInsuranceInfo.net, 430
Health Insurance Portability and Accountability Act (HIPAA), 418
health savings accounts, 410–11, 427
health tips, 434–36
hedge funds, 952–56
terminology, 953
HelpUSell.com, 585
Higher Education Consultants Association, 626
home business, see business
and bankruptcy, 290
and college aid, 638, 650, 684
and insurance, 594
and retirement, 1158
and reverse mortgages, 1156–58
Home Equity Conversion Mortgage (HECM), 1159–62
home equity line of credit, 158, 298, 684
home equity loans, 242, 297–307
home office, deductible, 184–85
bankruptcy, 590–91
buydowns, 557
closing costs, 575
condos and townhouses, 595–98, 1163–64
contingency clause, 587–88
co-ops, 595–98
and credit score, 558
and divorce, 175
domestic partners, 156
down payment, 560–61
first experience, 554–58
insurance, see homeowners insurance
lease with option to buy, 558
and legal residence, 114
and life insurance, 594
and mortgages, see mortgages
moving, 1153–54
new house, 1163–64
not affordable, 591
and premarital talks, 146
rental vs., 586–87, 598, 1163–64
and retirement planning, 1016, 1101, 1153–64
second homes, 599–613
selling your home, 585–86, 589
shopping for, 557–58
tax breaks, 586–87
homeowners insurance, 524–50
actual cash value, 525
after a loss, 549
appraisals, 545
claims, 547–48
company safety, 549–50
coverage, 530–39
deductible, 530
denial of coverage, 541–42
earthquake, 540
flood coverage, 540
on home business, 542–44
how much, 529–30
hurricane, 540
inflation protection, 528–29
inventory, 544–45
liability coverage, 538–39
low-cost, 545–46
mobile homes, 527
money-saving tips, 546–48
personal property, 533–37
policy forms, 526–28
policy types, 525
public adjuster, 549
replacement costs, 525, 527, 528–30, 534
second homes, 604–5
unique or old homes, 527
where to keep policies, 32–33
household help, 39
household inventory, 33
housekeeper, 153
housemates, and property ownership, 85–86
HRRX Glogal Hedge Fund Index, 954
HSH Associates Financial Publishers, 568, 594
Hulbert Financial Digest, 838
hurricane insurance, 540
and ATM/debit cards, 277–78
how to prevent, 273–74
victim’s actions, 274–75
idiot risk, 706
ImmediateAnnuities.com, 1129
iMoneyNet, 223
income:
extra, 207
irregular, 202–3
income statement, reading, 893
income stocks, 843
incompetence, defining, 128–29
Independent Educational Consultants Association, 626
index, defined, 746
mutual funds, 746, 845–46, 850–53
taxable distributions, 784
types of, 750–51
Individual Retirement Accounts (IRAs), 217, 1047–66
age limits on, 1058
automatic, 1066
borrowing against, 314
changing, 1057–58
for college costs, 682
contributions to, 1047–48, 1059
and divorce, 117, 169, 1058–59
eligibility for, 1053–54
getting the most from, 1059–60
inherited, 181–82, 1015, 1027n, 1039, 1060–63
loopholes, 1064–65
penalties, 1056
records of, 34–35
rollovers into, 1056–57, 1060, 1115–16
Roth, 1048–53, 1054, 1055, 1058, 1115
safety of, 1063
setting up, 1055
simple, 1044
spousal, 1059
withdrawals from, 205, 1058, 1061, 1064–65, 1142
Individual Retirement Arrangements (IRS), 1117
inflation:
and investments, 701
and retirement plans, 1014, 1109
and savings, 218
Inflation Kids, 3
ING Direct, 797–98
inheritance, and investment, 730, 878
inheritance checklist, 180–82
inheritance laws, 102
initial public offerings (IPOs), 40–41
REIT, 1007
innocent spouse relief, 167
in-service distribution, 1102
insurance, 333
in basic security package, 15–16
and financial plan, 1189
gap, 325
from lenders, 329–30
longevity, 1127
state commission of, 1186
see also specific types
insurance companies:
customer service, 395
failure of, 380, 403–7, 446, 521, 549–50
Interactive Brokers, 797
interest:
APR (annual percentage rate), 329–30, 575
APY (annual percentage yield), 67, 72
default or “penalty” rates, 245
“fixed” rates, 244
mystery rates, 244
periodic payment rate, 73
residual, 245
saving, 216
simple, 329
teaser rates, 244
variable rates, 244
international funds, 978
international investment, 975–84
ADRs, 983–84
asset allocation, 976
bond funds, 980–81
costs, 982
and the dollar, 976–77
foreign stocks trading in U.S., 983
forex (foreign exchange) market, 963
mutual funds, 978–81
reasons for, 975–76
and risk, 977
stock fund types, 978–90
U.S. multinational corporations, 983
intestate (without a will), 97–98
investment, 691–736
asset allocation, 709–10, 719–21, 752
author’s rules for, xviii
average rate of return, 1109
break-even time, 722
capital gains and losses, 783, 870–71
churning, 820–21
commodities, 761
diversification, 694–95, 714–19, 722, 840, 842, 844, 864–65, 1027
dollar-cost averaging, 732–33, 842
and early retirement, 1100–1101
enemies of, 723–25
fearless, 733–34
first principles, 694–96
hyped, 970
and inflation, 701
information sources about, 818–20, 837–38, 910
international, 975–84
“learning account,” 820
managing your portfolio, 815
and marriage, 729–30
maxims, 734–35
money sources for, 727
nervousness about, 733
outlook, 735–36
paying down debt vs., 213
personal advisers, 1186–87
personal qualities for, 736
quality of, 17
rates of withdrawal, 1193–1200
record-keeping, 39–41
recovery time, 721
for retirement, 1139–50
and risk, 212, 700–706, 708, 726
risk/reward, 718–21
saving vs., 212–14
socially conscious, 853, 858–59
tax-loss swapping, 926–27
total-portfolio approach, 722–27
unsafe, 969–71
unsuitable, 820
your personal policy, 694
see also bonds; mutual funds; stocks
Investment Adviser Representative, 1185
investment advisers, 794–95, 796, 1170, 1186–87
investment debt, 294–316
affordability of, 295
refinancing, 305–7
on retirement fund, 313–14
second mortgages, 297–301, 585
self-supporting, 295
and taxes, 315–16
tests for, 332
types of, 294–95
investment newsletters, 837–38
irrevocable trusts, 76, 93–94, 368
iShares, 787
janebryantquinn.com, 408
job-hunting expenses, 204
job insecurity, 158
jobs:
and benefits, see employee benefits
and bonuses, 204
and divorce, 171
and early retirement, 1101
identification with, 160
loss of, 204–8
new, and investment, 730
planning for a raise, 203–4
premarital talk about, 145
temporary, 207
with children, 93
with right of survivorship, 81, 86, 98, 156
for unmarried people, 90–91
keepers (single owners), 80–82
Kelley Blue Book, 328
Keogh plans, 1044
borrowing against, 314
and divorce, 170
and spouse protection, 1121–22
withdrawals from, 1116
KnowYourStuff.org, 544
land, buying, 997–98
landlord, risks of, 996–97
“latte factor,” 193
LEAPS (long-term equity anticipation securities), 968
LegalZoom, 105
LendingTree, 296
letters of testamentary, 27
leverage, 789, 821, 890, 995–96
liabilities:
in balance sheets, 892
liability insurance, 538–39, 586, 1155
LIBOR (London InterBank Offer Rate), 566, 651
licensing, business, 184
life at any cost, 128
life care community, 478
life expectancy, 357, 401, 1109, 1117, 1118, 1125, 1151–52, 1205–7
life insurance, 15, 17, 335–407
accidental death benefit, 32, 375
agents, 342–43, 348, 367, 389–96, 1170
blended premiums, 372–73
borrowing against, 307–9, 379–80, 388, 397, 402
burial policies, 384
cash-value, 335–36, 341, 355–67, 373–74, 385–87
churning, 392
collecting, 381–82
and college savings, 687–89
computer-generated, 369–70
conversion, 347
cost of living, 375
dividends on, 358, 360, 376–77, 386, 402
and early retirement, 1101
extended term, 380
guaranteed insurability, 375–76
how to buy, 407
how much, 338
individual policies, 345–46
and interest rates, 362–63, 377
and job insecurity, 158
living benefits, 397–98
and living trusts, 134
and long-term care, 477
modified endowment contracts, 374–75, 402
mortgage, 350–51
and new baby, 150
no-lapse universal, 335, 341, 352–54, 373
no-load, 370
no-turndown, 384
and pension max, 1122–24
piggybacking, 392
premarital talk about, 145
premiums, 377, 378–79, 383, 392
private pension plan, 396–97
purpose of, 342
riders to policy, 375–76
sales expenses, 370–71
scams, 391–96
second-to-die, 367–69
single-premium, 374–75
stranger-initiated, 401–2
subaccounts, 365
and suicide, 377
surrender value, 357, 359, 361, 369
survivorship, 368
switching, 385–88
tax-free 1035 exchange, 353, 368, 381, 387
term, 330, 335, 341, 343–50, 363, 376, 385–87, 407
viatical settlements for terminally ill, 400–401
waiver of premium, 375
where to keep policies, 31–32
whole-life, 357–60
who needs it, 336–38
widow/widower checklist, 178
for women, 384–85
life settlement, 398–400
limit orders, 868
line of credit, 312
overdraft, 50
listed shares, 868
alternatives to, 137–38
changing the terms of, 135
choosing a trustee for, 136
costs of, 133–34
of elder parents, 162
facts about, 134–36
lawyer for, 136–37
reasons for, 131–33
revoking, 135
standby, 137
and taxes, 133
living will, 31, 42, 126–28, 164
Lloyd’s of London, 542
loans:
auto, 316–28
bridge, 576
call clause, 304
collateral for, 312
consolidating, 241, 655–56, 657
cosigners, 331–32
costs of, 1161
debt consolidation, 295
and financial statements, 330
installment, 329
and insurance, 329–30
interest charges on, 329–30
“liar’s,” 559–60
“lifetime,” 1158
mortgage, see mortgages
refinancing, 216
rejected application, 331
from relatives, 207–8
unsecured, 312
see also debts; investment debt
lobby notes, 70
long-term care insurance, 468–80
coverage, 472–75
as employee benefit, 475
and Medicaid, 464, 469–70, 480
and Medigap, 476
policy types, 471
preexisting conditions, 474
premiums, 474
prenuptial agreements on, 148
and retirement, 1106
tax breaks for, 476
when to buy, 470–71
where to keep policies, 32
Low Load Insurance Services, 1130
luxuries, 16
macro funds, 953
MakingHomeAffordable.gov, 580, 589
margin accounts, 799–800
market capitalization, 750
market orders, 868
market timing, 696, 714, 752, 842, 861–63
market value adjustment, 1076
checking accounts, 82–83
community property, 87–88, 89, 114–15, 135
and estate taxes, 121–22
investment decisions, 729–30
investment portfolios, 723–24
and IRAs, 1059–60
joint bank accounts, 149
joint ownership, 88–91
life insurance, 337
and long-term care, 476
and Medicaid, 479
new-baby checklist, 149–52
one paycheck, 84
and pensions, 1112–13, 1119–22
postmarital checklist, 149
premarital checklist, 144–48
prenuptial agreements, 84, 89, 114, 146–48
property ownership, 82–88
and retirement, 159, 1015, 1104, 1111
and Social Security, 1134–36
spending plan for, 197
splitting expenses, 83
spousal protection, 1201–4
and wills, 97
mediation, 827–28
Medicaid, 400, 401, 467, 479–80
applying for, 1139
long-term custodial care, 464, 469–70, 480
Medical BillingAdvocates of America, 453
medical bills:
paperwork management, 453
savings tips, 433–36
storing, 37
Medical Information Bureau, 383, 482, 483–84
appealing denials, 464–65
application for, 1139
changing plans, 462
coverage, 462–64
leaving the US, 462
out-of-pocket costs, 462–64
for parents, 162–63
Part A, 453–54
Part B, 454–55
Part C (Advantage), 456–58
paying claims, 467
signing up for, 460–62
Medicare Select, 467
first-dollar coverage, 467
and long-term care, 476
mergers and buyouts, 888
military:
college cost aid, 661–62
disability insurance, 488
life insurance, 32
military records, storage of, 34
momentum, 875
money:
access to, 218–19
cash advances, 245, 246, 247, 248, 256
and divorce, 165–70
doubling, 214
hiding, 201
inherited, 180
premarital talk about, 144–45, 148
ready, 22
sources of, 16–17
survivor’s usable cash, 20–21
windfall, 731–32
MoneyGrams, 64
money management:
online, 52–53
premarital talk about, 143–44
money manager, professional, 132
money market accounts, 49, 66, 219–20
money market mutual funds, 51, 66, 220–24, 950
criteria for choosing, 221–23
“enhanced cash,” 223–24
tax-exempt, 222–23
U.S. government, 223
Monroney labels, 33
Monster Learning, 641
Monte Carlo simulation, 706
Morningstar, 753, 755, 756–58, 780, 787, 789
mortality table, 357
mortgage brokers, 572–73
Mortgage Insurance Companies of America (MICA), 583–84
Mortgage101.com, 594
mortgages, 559–85
application for, 575
balloon, 565
and bridge loans, 576
buying, 1008–9
caps, 566–67
counseling for, 1161–62
and credit score, 558
Fannie Mae/Freddie Mac, 556, 561, 577, 580, 584
fees, 574–75
fixed-rate, 563
how big, 559–60
inability to pay, 588–91
information sources, 594
interest-only (IO), 564
and job loss, 207
length of term, 568–69
and life insurance, 350–51
loan modification, 588–89
negative amortization, 562, 567
offset, 571
paid-up, 1162–63
points, 568
preapproval for, 560
REITs, 1007
reverse, 1156–61
scams, 593
second, 297–301, 585, 588, 1003–4
servicers, 592–93
simple-interest, 577
subordination, 303
subprime borrowers, 561–62
tie-in insurance, 576
tips, 575–77
VA, 556
Mortgagex.com, 594
moving:
alternatives to, 1155–56
and downsizing, 1154
in retirement, 1153–54
tax breaks for, 1154
MSCI Emerging Markets Index (EEM), 861
Mtgprofessor.com, 301, 560, 572, 584, 594
Multiple Listing Service (MLS), 586
municipal bonds, 938–45
individual, 944–45
insured, 942–43
mutual funds, 945
and taxes, 940, 941–42, 943–44
types of, 939–40
wrong things to do with, 906–7
of your own state, 938–39
Municipal Securities Rulemaking Board (MSRB), 910
mutual funds, 71, 713–14, 737–92, 845–53
actively managed, 739–40, 751–59, 844
alternative, 760–61
automatic investments, 774–75
automatic withdrawal plans, 777–78
average cost basis, 783
balanced, 856
benefits of, 738
bond, 899, 901–2, 903–6, 907, 910, 914–15, 937–38, 980–81
borrowing against, 310–12
capital gains and losses, 783
closed-end, 788–92, 905, 979–80
commodity, 857
costs, 764–70
defined, 737
distributions, 739, 773–74, 790
exchange-traded, 785–88, 859–61, 905, 922
expenses, 769–70
and financial planners, 1171, 1179–80
following the prices of, 780
foreign-currency, 981
frequent trading limitations, 761–62
Fund Analyzer, 769
growth, 853–54
holding period, 895
income, 855–56
for income investors, 923
index, 710, 740, 745–52, 784, 845–46, 850–53
international, 978–81
leverage, 789
life-cycle, 849–50
managing by mail, 776–77
Morningstar ratings, 756–58
municipal bonds, 945
net asset value (NAV), 739, 788
online and phone management, 775–76
online statements, 777
open-end, 739–40
passively managed, 740, 745, 844
portfolio turnover, 770–71
prospectus, 761–73
rating chart, 740–45
real estate, 857
record-keeping, 40
reports, 773
research tools, 753–54
and retirement plans, 775
safety of, 780–81
sales literature, 773
sector, 856–57
shopping for, 779
small-company, 855
strategy, 792
target-date, 846–49
and taxes, 782–84
value, 854
when to sell, 781–82
naked puts, 968
name, premarital agreement about, 146
nanny, 153–54
NASDAQ, 867
NASDAQ 100 index, 861
National Association of Consumer Advocates (NACA), 264, 826, 1186
National Association of Health Underwriters, 421, 449
National Association of Insurance Commissioners, 513
National Association of Investors Corporation, 819
National Association of Personal Financial Advisors, 1178
National Association of Professional Geriatric Care Managers (NAPGCM), 164
National Association of Unclaimed Property Administrators (NAUPA), 29
National Center for Retirement Benefits, 1068
National Conference of Insurance Guaranty Funds, 549–50
National Pension Lawyers Network, 1068
National Reverse Lenders Association, 1160, 1162
negative amortization, 562
net profit margins, 894
net sales/operating revenues, 894
net worth, 17–20
new-baby checklist, 149–52
New York Stock Exchange (Big Board), 867
NoLoad.info, 835
no-load stock buys, 834–36
nursing homes, 164
costs of, 471
and health insurance, 416
and life insurance, 393
and long-term care insurance, 473
and Medicare, 464
private pay, 480
Octameron Associates, 661, 663
odd lots, 869
older people, 8
activities of daily living, 472–73
bankruptcies of, 430
elder care, 160–65
long-term care, 468–80
Medicare, 453–68
130/30 funds, 953
operating income, 893
opportunity costs, 831
OPTOUT, 271
organ donors, 31
Overseas Citizens Services, 64
over-the-counter market (OTC), 867–68
Owners.com, 585
partners:
in civil unions, 111–12
cohabitation agreements, 85–86
and health insurance, 420
leaving property to, 111–12, 113, 115
and property ownership, 85–86, 90–91, 156–57
and retirement plans, 1015
partnerships (business), life insurance, 338
passbook accounts, 220
passively managed (index) funds, 740, 745, 844
paycheck stubs, storing, 35
pay on death (POD) beneficiary, 82, 100
payroll deduction plan, 215
pay yourself first, 214
P/E (price/earnings) ratio, 873–74
penny stocks, 956–57
Pension Benefit Guaranty Corporation (PBGC), 1021–22, 1067, 1113
Pension Rights Center, 1068–69
pensions:
annual reports, 1070–71
changing laws, 1068
contributions to, 217
corporate, 1111
and death, 1119
defined benefit plans, 1018–23, 1111–14
disclosures about, 1069–71, 1112
and divorce, 168–70, 1021, 1038
and early retirement, 1100
failure of, 1021
for highly compensated employees, 1022–23
in-service distribution, 1103
and job-hopping, 1019–20, 1021, 1024, 1026
joint-and-survivor, 1201
lifetime only, 1201
mistakes in, 1067–68
payout options, 1111–19
relative value disclosure, 1112
and retirement planning, 1016, 1017–23
risks, 1123–24
for self-employed persons, 217, 1041–44
SIMPLE, 1041–42
and spousal protection, 1112–13, 1119–22, 1201
storing records of, 35
survivor’s benefit, 1020–21
periodic payment rate, 73
personal finance, xvii
Personal Financial Planning Center, 1179
personal goals, 14–15
personal papers, storage of, 33–34
Peterson’s, 641
pets, inheritance by, 107
phone file, 39
planned giving, 141–43
platinum coins, 974
poolers (common funds), 82
portfolio:
defined, 844
see also investment
power of attorney, 30, 117, 125–26
PowerShares QQQ, 787
pregnancy:
before, 149–50
during, 150–51
prenuptial agreements, 84, 89, 114, 146–48, 177–78
PriceGrabber.com, 328
principal-protected notes, 963
private care manager, 163–64
private purpose securities, 223
probate sales, 993
probating a will, 124–25, 129–30, 134
for real estate, 132
profit and loss statement, 893
property, 80–94
in children’s names, 92–94, 109, 111
community property, 87–88, 89, 114–15, 135
couples as owners, 82–88, 156–57
disposed of by contract, 98
and divorce, 167–68
in estates without a will, 96
joint ownership, 81, 86, 88–91, 156
and living trusts, 94, 131, 134
mutually owned, 112
and prenuptial agreements, 146–48
and probate, 124–25
single owner, 80–82
tenancy by the entirety, 87, 89, 133
tenancy in common, 85, 86–87, 993
unmarried people as owners, 90–91, 156–57
of your estate, 100
Public Investors Arbitration Bar Association, 826, 1186
Qubes, 861
raise:
planning for, 203–4
saving, 216
RBC Dain Rauscher, 796
real estate:
absentee owners, 992
buying mortgages, 1008–9
clouded titles, 993
and college savings, 687
environmental risks, 999–1000
expiring options, 992–93
financial parameters, 1001–2
foreclosures, 993–95
high-risk conditions, 1000–1001
and IRAs, 1055
landlord risks, 996–97
land risks, 997–98
leper houses, 990
leverage, 995–96
losing money in, 986–87
in low-priced cities, 989
making money in, 987–88
one-bedroom houses, 990
probate sales, 993
properties to be flipped, 992
rent with option to buy, 990–91
rental properties that pay, 989–92
rules for investing, 988–89
and taxes, 1002–3
tax-sale redemptions, 992
tenancies in common, 993
two-family houses, 990
two houses on one lot, 990
zoning, 991
real estate mutual funds, 857
Realtor.com, 586
receivables, 39
record-keeping, 24–43
bankruptcy, 42
business expenses, 184
charities and gifts, 41
computer backup, 39
credit card statements, 37–38
debts, 38
deeds; titles, 38
durable power of attorney, 30
employee benefits, 35
filing system, 29–30
health care proxy, 31
home business, 41
household help, 39
household inventory, 33
insurance policies, 31–33
investments, 39–41
last-wishes file, 42
living will, 31
master list, 42–43
medical and drug bills, 37
online, 28
paycheck stubs, 35
personal papers, 33–34
phone file, 39
receipts, 37
receivables, 39
retirement plans, 35–36
safe deposit key, 42
tax records, 34–35
trust documents, 41
unclaimed money, 28–29
uniform donor card, 31
warranties; instructions, 38
where to keep records, 25–28
will, 30
Reed, John T., 1004
refinancing, 216, 305–7, 580–83
regional funds, 978
registered domestic partners, 111–12, 113
Registered Investment Adviser (RIA), 1170
REITs (real estate investment trusts), 851, 1005–8
relatives, borrowing from, 207–8
rental houses:
losing money in, 986
in retirement years, 1163–64
residence:
and divorce, 173–74
in retirement, 160
retail debentures, 70
retirement:
author’s secret for, 1071
bear market strategy, 1149
bond or CD ladder strategy, 1147–48
deflation strategy, 1149
early, 1016–17, 1099–1104, 1105–9
4, 5, and 6 percent rules, 1141–42, 1143, 1145
front-loaded strategy, 1146–47
and health insurance, 159, 430–32, 1100, 1106
higher-payout strategy, 1146
for homeowners, 1016, 1101, 1153–64
interest-and-dividends-only, 1147
investment for, 1139–50
and investment portfolios, 724–26, 731
investments-plus-annuity, 1147
and living expenses, 1101
no longer saving, 238
one-pot strategy for, 1143–45
order of payouts in, 1150–51
phased, 1102–3
preretirement checklist, 159–60
rule of 110, 1017
save-your-spouse strategy, 1149–50
“senior specialists,” 1172, 1181
spending plan for, 1105–10
and taxes, 1140
three-pot strategy, 1146
two-act strategy, 1148
two-pot rebalancing strategy, 1145–46
Retirement Income Calculator, 1107
retirement plans, 1011–98
as bank deposits, 76
and college savings, 684–86
company stock in, 1057
contribution limits on, 1047
defined benefit, 1018–23, 1111–14
defined contribution, 1023–25, 1114–16
keeping records of, 35–36
leaving money in, 1114–15
lump sum distribution, 217, 1115–16
payout options, 1111–19
periodic installment payments, 1114
and prenuptial agreements, 147
private pension, 396–97
rebalancing, 711
required minimum distribution, 1117–19
rollover into IRA, 1056–57
safety vs. growth, 1014
saver’s credit on, 1047
for small business, 185–86
and trusts, 134
what can go wrong, 1066–69
see also specific plans
retirement savings, 16, 200, 1017–23
borrowing against, 313–14
and job insecurity, 158
target-date, 846–49
tips for, 217
withdrawals from, 205–6, 1110–19
return receipts, 38
revocable trusts, 130
right to die, 126–28
right to life, 128
risk:
assessment of, 717–19
aversion to, 728
call, 916–17
credit, 919
deception, 919
default, 917–18
dollar, 702
economic, 700–701
error, 702
expense, 705–6
and financial plan, 1190
foreign currency, 977
and holding period, 696–700, 704–5
holding-period, 915–16
interest rate, 703
investment, 212, 700–706, 708, 726
investment book, 706
levels of, 726
limiting, 700–706
liquidity, 703–4
reinvestment, 703
of second homes, 603
Roth 401(k)s, 1029–30, 1040, 1052
Roth IRA, 1048–53, 1054, 1055, 1058, 1115, 1117
round lot, 869
Roundup Day, 22
rule of 72s, 214
rule of 78s, 329
rule of 110, 1017
safe-deposit boxes, 25–28, 30, 37, 42, 61
Savingforcollege.com, 677–78
savings, 209–38
automatic plans, xiv
in cash-value insurance, 355
cycle of spending and, 4–6
early vs. late, 215
earnings on, 218
and financial plan, 1189
individual, 156
and investment, 17, 159, 212–14
and job insecurity, 158
and life insurance, 238, 376–77
liquid, 219–24
long-term, 230–38
painless methods, 214–17
passbook accounts, 220
by paying off debts, 211–12
premarital talk about, 145
purposes of, 706
retirement, 16, 158, 159, 1110
six months to five years’ access to, 224–30
tithing, 209–10
when to stop, 238
where to keep, 218–19
savings accounts:
CDs, 66–69
lobby notes, 70
money market, 66
money transfer from checking to, 215
regular, 66
and spending plans, 200–201, 210–11
Savings Bond Informer, 237–38
Savings Bond Processing Site, 237
savings bonds, 230–38
angles for, 233–37
in children’s names, 234
forced savings via, 231
fractions of, 236
hold for five years, 231
how to buy, 231
information sources, 237–38
inherited, 234–35
joint ownership, 233–34
maturities, 232–33
payroll deduction for, 231, 236–37
redeeming, 237
replacing, 236
Series EE, 230, 231, 232–33, 237
SavingsBonds.com, 237
Savings Incentive Match Plan for Employees (SIMPLE), 1041–42
SCAN (Shared Check Authorization Network), 59
Schiavo, Terri, 127
second homes, 599–613
alarm systems, 605
as business property, 607–8
caretaker, 605
country property, 604
financing, 604
insuring, 604–5
as rental property, 600–603, 606–7
risks, 603
and taxes, 605–7
second trust, 297
Section 457 plans, 1046–47
securities:
abandoned, 889–90
annual reports, 891–95
borrowing against, 310–12
calls, 886
definition, 843
discovering value in, 836–37
distressed, 953
government, 933–34
LEAPS, 968
on margin, 890–91
replacing the certificates, 803
state commission of, 1186
terminology, 843–44
unit trusts, 958–62
unregistered, 822
warrants, 885–86
where to keep, 801–2
see also investment
Securities and Exchange Commission, 824–25, 826, 1183–84
securities arbitration, 825–27, 828–33
Securities Industry and Financial Markets Association, 910
Securities Investor Protection Corporation (SIPC), 798, 801
securities mediation, 827–28
security, basic package, 15–16
security freeze, 272–73
self-employment:
and disability insurance, 493
and health insurance, 418, 429–30
and life insurance, 338
seniors, see older people
shareholders’ equity, 892–93
silver, 974
Simplified Employee Pensions (SEPs), 217, 1023, 1043
single-country mutual funds, 979–80
single persons, 7–8
disability coverage, 486
investment portfolios, 723–24
joint ownership, 90–91
life insurance, 336–37
and Medicaid, 479
as property owners, 80–82
retirement, 159–60
and Social Security, 1133–34
Slott, Ed, 1051
small business, see business; self-employment
Social Security, 1095–98
applying for benefits, 1138
disability, 340, 400, 424, 460, 488, 500
and divorce, 176–77, 1133, 1135
and early retirement, 1138
and eligible child, 1136
full retirement age, 1132–33
information from, 1139
and Medicare, 460–61
payments, 1139
and privatization, 1097–98
and retirement plans, 1016, 1021
and return to work, 1137–38
spousal benefit, 1134–36
statements, 1096–97
when to withdraw, 1132–39
Social Security Online, 1139
speculators, 229
spending and saving cycle, 4–6
spending plan, 189–208
after being fired, 204–8
bare-bones, 204
checking account, 201
cutting spending, 198–200, 216
drawing up, 194
excuses for avoiding, 191–92
form for, 196–97
how to begin, 192–95
for irregular incomes, 202–3
keeping accounts, 197
“latte factor,” 193
no money available, 201
no withholding taxes, 203
planning for a raise, 203–4
reasons for, 190–91
for retirement, 1105–10
retirement account, 200
savings account, 200–201, 210–11
for working couples, 197
spigot trusts, 142
spin-offs, 886
splitters (separate accounts), 82
springing power of attorney, 126
Standard & Poor’s:
Depositary Receipt (Spider), 785, 786–87, 861
S&P 500, 746, 784, 845, 852–53
top performers, 864n
State Department, U.S., and money transfers, 64
statehealthfacts.org, 421
state high-risk pools:
statutes of limitations, 33
Stockbroker Analysis, 814
stockbrokers, 793–839
account agreement, 811
and arbitration, 825–27, 828–31
buying Treasuries via, 229
cold calls from, 816–17
complaints against, 823–25
falsification of documents by, 821–22
and financial planners, 1170
liabilities of, 820–23
and mediation, 827–28
misrepresentation by, 821
negligence of, 822
reparations from, 823
replacing, 815–16
theft by, 822
unauthorized trading by, 821
unregistered, 822
what they are not, 794–95
what they do, 795
who needs them, 838–39
see also brokerage houses
stock certificates, storage of, 39
stock-index options and futures, 965–68
stock market collapse, 730–31
stock market drop, recovery from, 224, 871
stock markets, 867–68
stock options, 40
stock purchase plan, 217
stock research services, 837
stock rights, 887
stocks, 840–97
borrowing against, 310–12
buybacks, 876
buying and selling, 868–70
class action suits, 887
company failure, 890
covered calls, 879
discount buying, 836
fear of, 1150
foreign ordinary shares, 984
gold-mining, 972
growth vs. value, 874
holding period, 696–700, 717, 877, 895
illusions about, 870
individual, disadvantages, 863–65
inherited, 878
large-cap, 751
limiting losses, 699–700
market timing, 861–63
mergers and buyouts, 888
micro-cap, 751
mid-cap, 751
in mutual funds, see mutual funds
net earnings per share, 893
new issues, 880–82
no-load, 834–36
online tip sheets, 957
over-the-counter, 310
owning, 844–45
penny, 956–57
P/E ratio, 873–74
preferred, 882–83
price targets, 812
purposes of, 706
rising and falling prices, 224
secondary offerings, 882
selling, 895–97
selling short, 883–85
spin-offs, 886
splits, 880
tender offers, 888–90
value, 700
see also investment; securities
street name, 88
STRIPS, 946
Struggle Kids, 3–4
Student Lending Analytics, 653
Student Loan Borrower Assistance, 646
StudentLoanJustice.Org, 646
student loans, see college
subordinated debt notes, 70
suicide, and life insurance, 377
Supplemental Executive Retirement Plan (SERP), 1023
surrogate mothers, 103
tax attorneys, 1169
taxes:
and annuities, 1074–75, 1093–94, 1128–29
and bankruptcy, 291
capital gains and losses, 783, 870–71
and debt forgiveness, 291
depreciation recapture rules, 606
and disability insurance, 502–3
and DRIPs, 836
estimated, 203
and financial plan, 1190
529 plans, 667–80
and investment loans, 315–16
and life insurance, 338, 402–3
and living trusts, 133
Loophole 9, 1064–65
and mortgages, 571–72, 579, 591
and moving, 1154
and municipal bonds, 940, 941–42, 943–44
and mutual funds, 782–84
and real estate, 1002–3
and retirement, 1140
on second homes, 605–7
and second mortgages, 297–98
and Social Security, 1096, 1139
tax-free 1031 exchange, 1003
tax-free 1035 exchange, 353, 368, 381, 387, 1092
tax records:
and IRS audits, 34
and IRS transcripts, 34
tax-sale redemptions, 992
tenancy by the entirety, 87, 89, 133
tenancy in common, 85, 86–87, 993
tenants insurance, 526, 546–48
where to keep policies, 32–33
Term4Sale.com, 340, 348–49, 384
TIAA-CREF, 340, 366, 369, 371, 1126, 1130
tiered rate, 56
time-shares, 608–13
TIPS (Treasury Inflation-Protected Securities), 226–27, 916, 929
tithing, 209–10
titles, where to keep, 38
Total Annual Loan Cost (TALC) rate, 1161
Total Return Annuities.com, 1079
townhouses and condos, 595–98
toxic waste, 999–1000
TRACE (Trade Reporting and Compliance Engine), 910, 919
transferable on death, assets, 138
TransUnion, 250, 260, 273, 274
travel:
auto rentals, 521–22
and credit cards, 254
and extra money, 65
and health insurance, 439–40
medical tourism, 428–29
Treasury bills (T-bills), 225–26, 230
Treasury bonds, 227–29, 928–30
unit trusts, 962
yields, 929
TreasuryDirect, 225, 226, 228, 231, 232
Treasury notes, 226
T. Rowe Price:
for frontier funds, 979
for mutual funds, 754, 779, 847, 849, 850–51, 923
for retirement services, 1107, 1179–80
for solo 401(k)s, 1042
trust deeds, 1003–4
trust departments, bank, 1171
trustee:
successor, 136
trusts, 117–43
challenges to, 133
charitable, 141–43
in children’s names, 93–94, 117–19, 133
for college costs, 94
costs of, 133–34
and divorce, 117
and domestic partners, 157
dual, 135
escape clauses in, 120
and estates without a will, 96
lawyers for, 136–37
living, see living trusts
for pets, 107
and pour-over will, 100
as private documents, 133
reasons for, 100
revocable, 130
spigot, 142
storing documents about, 41
testamentary, 110–11, 115, 117–19
unit, 958–62
unclaimed property, 28–29
unemployment, 204–8
and bankruptcy, 207
benefits for, 204–5
and credit history, 206
and health insurance, 204
and investment, 731
loans, 205
and mortgage, 207
and retirement plans, 205–6
starting or buying a business, 207
temporary jobs, 207
uniform donor card, 31
Uniform Law Commission, 103, 104
Uniform Probate Code, 129n, 133
Uniform Transfers (or Gifts) to Minors Act (UTMA/UGMA), 92, 93, 110, 636, 686
unit trusts, 958–62
equity, 959–60
record-keeping, 40
in Treasury bonds, 962
U.S. savings bonds, 230–38, 681–82
U.S. Treasury bills, 221, 225–30, 717
coupon-equivalent yield, 226
discount rate, 226
how to buy, 228–30
laddered, 230
long-term zero-coupon, 227
shorter-term zero-coupon, 227
TIPS, 226–27
ValueForum.com, 866
value funds, 751
Vanguard Group:
for annuities, 369, 1126, 1130
for bond mutual funds, 910
for ETFs (“Vipers”), 860–61
for mutual funds, 754, 779, 847, 849, 850–51, 853, 860
for payout funds, 1144–45
for REITs, 1008
for retirement services, 1144–45, 1179–80
for socially responsible investing, 858
vendor number, 183
Veterans Affairs:
college costs, 661–62
disability insurance, 488
life insurance, 32
viatical settlements, 400–401
Vice Fund, 859
Virgin Money, 654
volatility, 844
wage earner plans, 262, 289–90
Wall Street Journal, The, 910, 934
warranties, 38
warrants, 885–86
wealth, cycle of, 4–5
Web site, business, 183
Wells Fargo, 797
widows and widowers:
checklist for, 178–79
sexism and wills, 116
Social Security benefits, 10–12
wifi, and identity theft, 272
Wikinvest.com, 866
will, 95–129
absence of (intestate), 96–99, 235
and advancements against inheritance, 102
assets passing via, 98–99
avoiding probate, 137–38
bequests in percentages, 114
cancelling, 112
changing, 115
and children’s inheritance, 96–98, 108–9, 110–11, 113, 117–19, 133
codicils of, 112–13
communicating to others about, 108–9
and domestic partners, 157
of elder parents, 162
executor for, 105–6
forgiving debts in, 114–15
homemade, 103–5
“I love you,” 101
inheritance checklist, 180–82
inheritance laws, 102
joint, 105
lawyer for, 101–3
more facts about, 112–15
and move to new state, 112
named bequests, 106–7
and names different on deeds and forms, 99–100, 102
and new baby, 151
one copy of, 112
online with digital signature, 104
oral, 104
and personal property, 106–7
pour-over, 100
probate of, 124–25, 129–30, 131, 132, 134
as public document, 133
reasons for, 100
self-proving, 103
and sexism, 115–16
and spouse’s inheritance, 114, 118
and state inheritance laws, 102
and testamentary trusts, 110–11, 117–19
unequal shares in, 108
where to keep, 30
widow/widower checklist, 178, 179
witnesses to, 104
Will to Live forms, 128
Wilshire 5000 index, 746
windfall, 731–32
wish list, see financial plan
women:
and disability insurance, 493
and health insurance, 413, 450–51
and life insurance, 384–85
workers’ compensation, 487–88
working capital, 893
writing covered calls, 967
writing naked calls, 967–68
www.janebryantquinn.com, 408
auto insurance, 515–16
investment portfolios, 723–24
life insurance, 336
zero-coupon bonds, 687, 898, 923, 968–69
zero-coupon CDs, 69
zero-coupon Treasuries, 227, 229–30
zero-interest offer, 248
zigzag markets, 842–43
Zipcar, 328
ZipRealty.com, 585
Zweig, Martin, 876