1. Will
2. Durable Power of Attorney
3. Living will or Healthcare Proxy
4. Family trust/Real Estate Trust

Talk with an attorney that specializes in these matters in your state.

With regards to LTC planning, look at AARP.org,
http://aspe.hhs.gov/daltcp/home.shtml

"Michael Grinnell" <msgrinnell[at]charter.net> wrote in message
news:237a8ae7.0401181053.1f2af346[at]posting.google.com...
- quote -

- quote -

Any good suggestions for information on LTC?
- quote -

Other than a will what is advised?

"Planning on looking at that, but have read that it's not worth it to
look into Long Term Care insurance until one is on one's fifties
(given typical circumstances, not current ill health etc)."

Not knowing what you read, be proactive in your LTC planning, look around at
both sides your parents of the family medical. Look at the new breed of
annuities that can also provide in their living benefits some LTC cover for
self-insuring.

Also, make sure your Estate documents are in place.

- quote -

Actually, I have been discounting entirely any SS. While it will
probably still exist in some form once I retire, I have never made it
part of my calculations since I don't want assume something so far out
of my control. The pension where I work, however, is rather good.
They don't match anything in the 403b, which is irritating, but they
have maintainted a defined-benefit pension.


- quote -

I have spread sheets that assume 6, 7, etc. rates of return. I have
always gone with about 7 since that is what I have read recently as
what is more to be expected versus the extrememly high rates of return
through the '90s.

- quote -

I actually want to change jobs late 50s and work much longer than
that, perhaps into late 60s or even later. But, this will certainly
pay less than I will be when I quit my current job (assuming I keep
this one 'till I retire).

- quote -


I have always guessed at how much inflation will eat into what I save.
If I have a dollar now, if I remember right it will be worth about
$0.30 in three decades given historical rates of inflation.

- quote -

Planning on looking at that, but have read that it's not worth it to
look into Long Term Care insurance until one is on one's fifties
(given typical circumstances, not current ill health etc).

Now for the secure retirement and not being a burden.

With all that you are saving and the expected rate of return will it provide
enough income to keep in the life style that you want?

Take your next Social Security birthday letter, as I like to call it, and
use that as a base and add to it what you need to maintain your lifestyle.
An alternate way or a check is to see if it matches about 80% of your
current income.

There are a lot of retirement calculators out there that will do this next
step, but this is the simple mechanics if you want to use a financial
calculator or Excel to see it yourself. Now take your annual savings, apply
the rate of return, say 8.5% (historic rate of the NYSE), to the number of
years until retirement (30?). This will get you to the bucket of cash you
will have on the day you want to hang it up (future value of an annuity).
Now, armed with the number you need to pull out of your investments each
year, take the rate of return (5%?) and the number of years you expect to be
hanging around (present value of annuity) and does that number end up as the
result? If yes, your almost done, if no how can you adjust it? Realize that
inflation has not been considered, that for the purposes of the demo we are
talking real rates. Retirement calculators will toss in an inflation rate.

Last steps, what are your plans for disability and Long Term Care? Not
accounting for these can lay waste to your planning. At 37 DI, LTC and Life
Insurance is low cost and worth considering here.

Your first responsibility is not to be a burden.

"Michael Grinnell" <msgrinnell[at]charter.net> wrote in message
news:237a8ae7.0401162310.1acc76bc[at]posting.google.com...
- quote -

======================================= MODERATOR'S COMMENT:
Please trim the post to which you respond.

I responded to this, but it apparently never made it to the list. I
am rather interested in this since I have been putting about 30% of my
savings into my kids' 529s.


- quote -

Just turned 37.

- quote -

Yes.

- quote -

Yes. The house will be paid off the year my first born turns 18. I
have a 15 year fixed at 4.875 with about 30% equity.

- quote -

What's a secure retirement? I'm working towards it, but right now I
am fully funding my Roth IRA and about 50% funding my 403b. At the
latest, once my wife goes back to work (in 3-6 years??) we should be
able fully fund my 403b. Another tangential question here is whether
my wife (say she gets a job at the same place I do) will also be able
to fully fund a 403b (i.e. I put away $11K [today's max] and she is
also able to put away $11k [today's max])? I have been under the
impression (but never looked into it since it is not feasible anyway)
that if even if a couple is filing jointly they can contibute together
$22K now max if they are both working. Is this right?

- quote -

None at all.

- quote -

What are satisfactory answers? Once my house is paid off we'll have
that cash flow to pay directly for college, but is that wise? It
would be great to put everything away for our retirement, but as you
noted, it makes me feel negligent.

- quote -

- quote -

I am 37 and my house will be paid off the year my daughter (first
born) could theoretically first attend college.

- quote -

Yes

- quote -

See above.

- quote -

Working on it. Fully funding Roth IRA and about 50% funding 403b.
Could do more if I was not saving anything in 529s. Should be able to
fully fund 403b and 401k or 403b for wife when she goes back to work
once the kids get a little older. An aside: I have just assumed that
I can put $11k this year in 403b and if my wife were working she could
also put $11k. The $11k limit is not per married couple if filing
jointly is it?

- quote -

None at all.

- quote -

Are my answers satisfactory? Is having a secure retirement in the bag
a pre-requisite for putting something in a 529?

How old are you?

Do you have an emergency fund? Own a house? Have a secure retirement? Credit
Card debt? When you have satisfactory answers to these types of issues, then
College Savings plans are in order.

There is a marketing push for 529 plans that makes it seem that if you
aren't doing one you are negligent. Make sure first that you won't be a
burden to them.


"Michael Grinnell" <msgrinnell[at]charter.net> wrote in message
news:237a8ae7.0401151956.4d693ea[at]posting.google.com...
- quote -

List,

I have heard it said, I believe on this list, and elsewhere to save
for retirement before college. What are the pros and cons of putting
away for college in a 529 (in my case that is all I have for an 8
month old and 3 year old so far)? Is there some sort of point between
saving everything for retirement and nothing for college that is
appropriate? Are there any metrics for this?

Thanks,

Mike