Retirement

[Nomad.2nd]

http://news.coinupdate.com/us-depar...iscation-of-private-retirement-accounts-0431/

I discount the source, since he sells Gold... but I think 'it' is just a matter of time.

 

[leVieux]

The problem with retirement planning is that, as one reaches their goal, the currency is being de-valued, so it isn't enough to retire on, after-all.

First time I retired, I had what anyone would have thought plenty cash and no debt.

After two weeks, I had to go back to work again.

The "price of Gold" is actually a mirror of the health of the dollar.

One more thing, while on this "rant": A diversified portfolio of US equities is not real "diversification". I know this the hard way.

Try to have some metals, some real estate, some international equities / bonds, some collectibles, an annuity or two; and then, maybe, some US equities. Also, keep your home up properly.

Rant over,

leVieux

 

[DuckYou]

contact a professional financial planner that has clients that have similar incomes and wants.

You do want a diversified portfolio, but that will be different for everyone depending on your personal situation.

 

[ridgerunner1488]

I cashed mine out and payed the tax and bought gold at $485.00 per oz and silver at 6.35 per oz.
the rest i bought other metals brass and lead

 

[my-rifle]

Recently my wife and I came to an epiphany. A neighbor reached an age where she became seriously infirm, unable to walk, cook, etc., and her long-term care insurance kicked in. She was provided with a 12-hour-a-day caregiver who took her to the bathroom, cleaned her, cooked for her, and was a damned good companion up to her (the patient's) death. Our neighbor stayed in her house and was able to receive company (like me), eat what she wanted, and generally control her life until she died.

We also have a close relative who did not have long term care insurance, who retired, then was diagnosed with Alzheimer's syndrome, and soon thereafter lost her mind. Two years later she ran out of all her money as we attempted to keep her in her home with 24-hour care, so she wouldn't have to go into a nursing home. We kept her afloat for another year, but the birth of our daughter made us cut back. She is now a Medicare patient in a nursing home sharing a room with a crazy woman - until she dies.

Do you want this to happen to you? We don't. We've begun researching long term care insurance, to take care of us in our dotage. I'm 46 and my wife is, um, 29 We're making hard decisions. LTC ins. costs $1600 a month for 10 years for us. It's a mortgage, basically.

I'm bringing this up for up for our younger members. For you guys it's cheap. For us old folks it's expensive. I know it seems like a long time from now, but when you wake up tomorrow, and you're 60 you'll be REALLY glad you spent the money.

 

[ryan]

so you pay $1600 a month now for 10 years of car in the future? What are the limits on that and do you pay that $1600 up until you use it? Heck, that could be 30 years!

I might have to look into that LTC stuff, that seems like a good idea. My grandma is in the same situation. Basically when my grandpa died, my grandma "should have" had enough for 10 years or so. Shortly after she needed to go into a assisted living place, then a few years later a nursing home, not all of that money is basically gone.

 

[my-rifle]

The policy we're considering requires us to pay $1600 a month for the next ten years. If at any time during our lives one of a certain pre-defined events happens (can't walk, can't bath, can't cook, etc.) the policy begins to pay out up to $5000 every month for each of us. We have a "lifetime limit" of around $1,000,000 then that we can use until either we no longer need the money or it's used up.

That's the meat of the policy. An alternative policy allows us to pay about $400 every month instead of $1600, but we do it until age 65 or until we start withdrawing. It's essentially an annuity, but you are gambling that you'll need the money before you've paid up to the tipping point of diminishing returns.

For younger people the premiums are lower than they will be for us in our 40s.

 

[ryan]

where would one start looking for something like this? I think now would be the time for me and my fiance to consider something like this rather than when we have kids, are older and have less disposable income.

 

[CEHollier]

Yea, confiscate peoples private retirement savings for "safe keeping" by a Federal government going bankrupt. Talk about a **** storm...

 

[Nomad.2nd]

The policy we're considering requires us to pay $1600 a month for the next ten years. If at any time during our lives one of a certain pre-defined events happens (can't walk, can't bath, can't cook, etc.) the policy begins to pay out up to $5000 every month for each of us. We have a "lifetime limit" of around $1,000,000 then that we can use until either we no longer need the money or it's used up.

That's the meat of the policy. An alternative policy allows us to pay about $400 every month instead of $1600, but we do it until age 65 or until we start withdrawing. It's essentially an annuity, but you are gambling that you'll need the money before you've paid up to the tipping point of diminishing returns.

For younger people the premiums are lower than they will be for us in our 40s.

Are you saying it's like an annuity where the $192,000 you will pay the life insurrance comppany over the next 10 years will provide up to $1 million, and nothing else out of pocket?

Doesn't sound that great, that's less than a 7% annual return. Not too bad right now, but in years past and what people figgure will happen in the future... It's not that great of a return.
And that's 1/2 mil per... wouldn't take too long to go through that!

Long term care insurrance is something I'd agree is a good thing. Guess I should look at the details now.

Problem is, trusting that the company would be around and make good. I'd bet alot of people didn't expect GM to screw people over like they did!

 

[my-rifle]

Here's the guy we're talking to.

Robert McClure
Senior LTC Insurance Specialist
14802 N. Dale Mabry Hwy. #200
Tampa, FL 33618
Office: (813) 379-3683 begin_of_the_skype_highlighting**************(813) 379-3683******end_of_the_skype_highlighting
Mobile: (813) 293-9899
Fax: 888-600-9223
mac.mcclure@ltcfp.net

He's a broker, not a salesman for a particular company. He gave us rates for several companies' products not just one. I wish like hell that I'd known about this when I was in my 20s instead of finding out about in now in my 40s.

Nomad, I agree with you about the rate of return, but these days my wife and I are squirreling away money everywhere we can find. We figure that if one fails others will survive. Considering that most folks aren't savvy investors, and they tend to lose everything in market downturns, a product like this can look very attractive.

 

[Nomad.2nd]

Nomad, I agree with you about the rate of return, but these days my wife and I are squirreling away money everywhere we can find. We figure that if one fails others will survive. Considering that most folks aren't savvy investors, and they tend to lose everything in market downturns, a product like this can look very attractive.

I hear ya on that one.

My path also, don't go for 'the big money' or to ride a wave to the top or the bottom.

A chunk out the middle and diversifying is my pick.

Priciate it, I'll look into long term care insurrance sooner than I had planned.

 

[my-rifle]

Nomad, I just realized that you were thinking it was $1/2 mil per person. No. It's $1mil per person. Sound better?

 

[Nomad.2nd]

Nomad, I just realized that you were thinking it was $1/2 mil per person. No. It's $1mil per person. Sound better?

Yea, if it's $192K total, and 2 mil total...

It's closer to 14%... Better, but your still restricted to what you can spend it on and vonerable to the company going under or defaulting.

As I said, need to read...

 

[leVieux]

The policy we're considering requires us to pay $1600 a month for the next ten years. If at any time during our lives one of a certain predefined events happens (can't walk, can't bath, can't cook, etc.) the policy begins to pay out up to $5000 every month for each of us. We have a "lifetime limit" of around $1,000,000 then that we can use until either we no longer need the money or it's used up.

That's the meat of the policy. An alternative policy allows us to pay about $400 every month instead of $1600, but we do it until age 65 or until we start withdrawing. It's essentially an annuity, but you are gambling that you'll need the money before you've paid up to the tipping point of diminishing returns.

For younger people the premiums are lower than they will be for us in our 40s.

You had better have an independent expert review the policy.

About 15 years ago, I bought a policy with the understanding that, if I Paid $1,000.00/month for 10 years, I'd never have to pay any more.

Guess what?

After 10 years, I completed the payments. About two years later, I got notice that if I didn't pay $2,500.00 per quarter, the value would start to decline.

Don't trust ANYONE. One of my (late) lifelong closest friends sold it to me.

leVieux

 

[leVieux]

contact a professional financial planner that has clients that have similar incomes and wants.

You do want a diversified portfolio, but that will be different for everyone depending on your personal situation.

"Diversification", real diversification, doesn't mean a wide spread of US industrial equities.

I know this the hard way.

Diversification means having real estate, international equities, precious metals, offshore deposits, bonds, and a way to escape.

Things like boats, cars, camps, regular jewelry are not real assets. An asset is something that, if you become disabled tomorrow, would give you an income or security. Boats & camps will cost you to keep up.

If everything goes to hell, just who do you think would buy your used boat, anyway?

leVieux

 

[El Rubio]

"Diversification", real diversification, doesn't mean a wide spread of US industrial equities.

I know this the hard way.

Diversification means having real estate, international equities, precious metals, offshore deposits, bonds, and a way to escape.

Things like boats, cars, camps, regular jewelry are not real assets. An asset is something that, if you become disabled tomorrow, would give you an income or security. Boats & camps will cost you to keep up.

If everything goes to hell, just who do you think would buy your used boat, anyway?

leVieux

Who would buy the precious metals or real estate, and with what, dollars? I guess it depends upon how close to hell it would actually go. I don't totally disagree with your diversification advice but question whether they are really any more secure than the typical stocks, bonds, and treasuries. International investments could be one of the worst places to be invested if everything "goes to hell". Offshore deposits could disappear in good times. Your plans sound more like you expect an apocalypse and could somehow insulate yourself by investing in things that rely upon stable governments which is no safer than US stocks and equities. The "way to escape" is curious as well. Escape to where?

You mentioned in an earlier post that you retired and within two weeks discovered you didn't have enough cash saved to support yourself and therefore returned to work. What happened in those two weeks that devalued the dollar? What were you invested in? I ask because all of the retirement investment advice I've been given follows a typical path of moving more of your investments into interest paying accounts or funds that aren't as volatile as stocks as you approach retirement age. An average person nearing retirement shouldn't have a significant portion of their nest egg in stocks.

 

[Nomad.2nd]

Who would buy the precious metals or real estate, Someone always does... maby not the property at a price you wish to sell, but that's what the PM's are for. Someone ALWAYS wants PM's, and thye can be instantly converted into 'coin of the rhelm' and used that day. SOP in high inflation areas/times.and with what, dollars? Whatever is usedI guess it depends upon how close to hell it would actually go. I don't totally disagree with your diversification advice but question whether they are really any more secure than the typical stocks, bonds, and treasuries. Yes. Ask the Jews in 1941. Not saying have all PM's, but some is a good thing (And has done me well last few years) International investments could be one of the worst places to be invested if everything "goes to hell". Could be. A mix is interesting to me, but I havn't reached those numbers where it's viable yet.Offshore deposits could disappear in good times. depending on the country... The swiss have a good track recoed.Your plans sound more like you expect an apocalypse and could somehow insulate yourself by investing in things that rely upon stable governments which is no safer than US stocks and equities. The "way to escape" is curious as well. Escape to where?
.

Sometimes anywhere.


I pretty much agree with your 2nd paragraph, but believe in hedging your bets...

Shouldn't buy gold now, but should have a realistic overall view IMHO.

 

[my-rifle]

With the economy strengthening as it is, it looks like the apocalypse everyone was afraid of is becoming less and less likely to occur. Precious metals are soon going to be a disaster for anyone hoping to make money off them. Holding them for an apocalypse is starting to look pretty silly too.

 

[Nomad.2nd]

With the economy strengthening as it is, it looks like the apocalypse everyone was afraid of is becoming less and less likely to occur. Precious metals are soon going to be a disaster for anyone hoping to make money off them. Holding them for an apocalypse is starting to look pretty silly too.

While Ihope PM's drop through the basement so i can buy more of them (I have a 'sell point' on the way down which will make me 'much' money.)

I don't see it so cheery.

Why don't you get pangris in here... he doesn't share your pleasant outlook, and I'd like to watch that discussion.
(Since they are still havn't done the extention of the 'bush tax cuts' and they have already broached taking over people's 401K's... can't say I agree with you ether.)

strengthening... how?
Our economy is in the crapper, Morgage situation is absurd, country's in debt over our head, idiots are running the asylum, things that actually PRODUCE wealth are overseas....

HOW are things improving?


I don't see an apocalypse so long as there is no other 'world currency' and we have our military might, but I see a long slow slide down. (Or have you not grocery shopped lately?)