Blog
How to Avoid Taxes on Life Insurance | Bill Bischoff
Life Insurance The main reason most people have life insurance is to replace income that would be lost if they die prematurely. Life insurance death benefit payments can generally be received by policy beneficiaries free of any federal income tax (and usually free of any state income tax too). That’s great, but what about the federal estate tax? If the tax rules treat you as the owner of a policy on your own life, the death benefit is included in your taxable estate — unless the money goes to your surviving spouse, and he...
read moreCredit Score Confusion Leads to Controversy | Smart Money
For a key to your financial future, $7 to $20 doesn’t seem like much to pay – which is why consumers regularly pony up for a peek at their credit scores. Now a new lawsuit suggests that what they’re getting may not be worth it. Consumers can now order their credit scores from more than 20 web sites, up from around five just a few years ago. But while consumers tend to think of one, uniform credit score, there are actually seven different scores for sale, each of which relies on its own magic mix of payment history, credit...
read moreTime to End Our Love Affair with Social Security | Matthew Bliss
Do you love Social Security? Apparently most Americans do, because it’s considered the “third rail” of American politics: touch it and you die. We Americans love Social Security because it provides income for life and cost of living increases (your 401K can’t do that), and it’s guaranteed by the government and isn’t at the mercy of the stock market or the high fees of Wall Street “fat cats.” But, alas, like the beauty you met in the dark bar last night after your 10th beer, Social Security...
read moreIt’s Just a Matter of Perspective | Chuck Winn
How many of you have ever been to Vegas? In my experience, many of us have. We often go to escape our daily lives and hope to live in the fantasy world of the rich and famous… even if it is just for 48 hours. The trip usually starts with a joyful plane full of people who are happily making new friends with each other as they etch their way across the skies to Sin City. Now, how many of you have expected to come back with the cash you took to live out your fantasy? Most of us live in reality and realize that the money we take is...
read moreDid 401(k) Reform Help? | Jilian Mincer
Five years after sweeping legislation altered the landscape for retirement savers, more workers are participating in 401(k)s and other workplace-savings plans. Success? Not so fast, critics say: Workers aren’t necessarily better prepared for retirement than they were back in 2006. Controversial at the time, a small provision in the Pension Protection Act of 2006 allowed companies to “auto-enroll” employees in a 401(k) plan – basically, to get them started saving unless they actively declined. The goal was to use...
read moreThe Real Cost of Play Money | Kelli Grant
While some Americans are concerned about the strength of the dollar and others are watching the international currency markets, a growing number are preoccupied with new currencies like Smufberries, Monopoly Gold, and Farm Cash. These and other kinds of “play money” are used in online games, but as some of the estimated 50 million players are discovering, it can pack an off-line wallop. As anyone with a Facebook page or a computer-savvy child knows, there are now thousands of games to play via social network and mobile app,...
read more