Is a Reverse Mortgage Right for You?

reverse mortgage

Why a reverse mortgage should be considered only as a last resort.

reverse mortgageYou may have read articles or seen television commercials touting the advantages of reverse mortgages. You may have even seen Tom Selleck, for those who watch Blue Bloods or remember Magnum PI, on your television asking whether a reverse a reverse mortgage is right for you. Although a reverse mortgage may be appropriate in certain situations, unless you are in dire need of cash or a monthly cash stream, I am generally not a proponent of a reverse mortgage. The reasons why will follow.

With a reverse mortgage, if you are at least 62 years old, you can borrow against the equity in your home to receive a lump sum of cash or a monthly amount. You don’t have to pay it back until you die or move out of your house. You still must stay current on you property taxes, insurance and any HOA fees. If you are in need of immediate cash or need to supplement your monthly income to pay your bills, this may be your only option. Also, if it means little to you what you leave at your death to your beneficiaries, this … Read More... “Is a Reverse Mortgage Right for You?”

Tips on Preventing Senior Financial Abuse. Don’t Let Your Family Get Ripped Off!

elder financial abuse identity theft

Senior Communities Suffer $3.4 Billion In Loss Due to Fraud and Scams in 2020. What can be Done?

elder financial abuse identity theftWhen older adults, especially those in long-term care facilities, become victims of a scam, it is known as elder financial abuse, and it is more common than you’d think.

In 2020, over 62,000 Suspicious Activity Reports filed with the federal government were regarding elder financial exploitation, amounting to $3.4 billion, according to the federal Consumer Financial Protection Bureau (CFPB). The average reported loss by elder financial abuse  victims is around $60,000.

So how does elder financial abuse happen?

“Unfortunately, there can be financial mistakes, fraud, or identity theft that occurs as a result of living in this kind of community. There are also instances of improper or inflated billing, double bill, and identity theft  by ‘bad apples’ on staff,” said Elizabeth Loewy, the former founding chief of the Elder Abuse Unit in the New York County District Attorney’s Office, in an interview with Nextavenue.org.

The COVID-19 pandemic also led to a rise of scams targeting vulnerable adults, as do other “times of crisis”, according to Kelly LaVigne, vice president of consumer insights at Allianz Life.

This kind … Read More... “Tips on Preventing Senior Financial Abuse. Don’t Let Your Family Get Ripped Off!”

Tax Dependency Exemption: Child Support Payments & Obamacare

Effect of “Obamacare” on Tax Dependency Exemption and Required Medical Care for Separated Parents

tax dependency exemption child suuport obamacareParents frequently complain about how their children do nothing but cost them money.   However, when it comes to taxes, children can actually save their parents some money.  Parents are able to receive certain tax deductions for medical care provided to their dependent child as well as receiving certain personal exemptions for each individual they claim as a dependent.  This has the potential to save parents thousands of dollars on their tax returns, since the exemption will reduce their taxable income by a fixed amount.  For 2016, the deduction amount ranges up to $4,050 for each exemption claimed.

For parents that are together and file their taxes jointly, there is no controversy as far as the dependency exemptions and deductions are concerned, as their child is seen as the dependent of both of them.  When parents are separated or divorced, this becomes a bigger issue since only one parent can claim a child as a dependent for tax purposes.   Since child support payments are not deductible or taxable, being able to claim a child as a dependent has important tax implications in regards to parents and the … Read More... “Tax Dependency Exemption: Child Support Payments & Obamacare”

Gay Marriage: The U.S. Supreme Court Tackles Same-Sex Marriage Issues

What Is The Difference Between Prop 8 And DOMA? – Will Gay Marriage Issues Change Family Law?

Questions And Answers To The Issue Of Gay Marriage And The Supreme Court’s Likely Decision

gay marriageThe United States Supreme Court recently granted certiorari to two very controversial gay marriage issues, Prop 8, and DOMA.  Below I will discuss the two different issues, how they came to be here, and what the likely outcome may be.

Proposition 8

What is Prop 8?

Proposition 8 was a 2008 ballot provision in California.  This ballot provision provided that section 7.5 of the California constitution be amended to validate only a “marriage between a man and a woman.”  This ballot provision passed and overruled a California Supreme Court decision just months earlier granting equal marriage rights. Since then, gay marriage has been a hot button issue and has been challenged numerous times.

Why did the U.S. Supreme Court agree to hear this?

In the Supreme Court, it takes 4 votes to hear a case, and 5 votes to decide a case.  There is speculation behind the lines on why and how the Supreme Court accepted this case.  The questioning of the High Court only yields greater controversy.  … Read More... “Gay Marriage: The U.S. Supreme Court Tackles Same-Sex Marriage Issues”