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Fixing Social Security once and for all

"Ram, You are aware that the US Social Security system is tweaked by the government, especially to benefit "the poor," paid for by "the well-to-do," aren't you?"
- Mike Lynch
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What Bangladesh Taught Me About Enough

"Thank you Kristine, I appreciate you reading my article"
- Andrew Clements
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Social Security Survivor Benefits for Spouses

"Thank you. I suspect my own benefit (taken at 70) is greater than a survivor benefit, but you never know."
- mytimetotravel
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Recency Bias (or: You’re Running Buggy Software)

"That's a fun challenge. How about Post-Contribution Depression (PCD)? Or maybe Dry Powder Blues (DPB)? I was getting pretty excited recently about buying the dip when I thought I was going to hit my 15% rebalance threshold on an Asia-Pacific tracker I own... unfortunately—or should I say fortunately?—it never breached the 15% mark and I didn't get the thrill of buying into a falling market!"
- Mark Crothers
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Buying and Selling our Condo (Our Big “Little” Move, Part 2)

"We definitely hired the right realtor. It makes a huge difference."
- DrLefty
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Nothing Like a War To Bring Folks around to Personal Financial Planning

"I like the concept "Pay yourself first". When I started practicing I set my savings rate and this determined what I could spend. This plan was simple, easy to stick with and effective. Some years later I tracked my expenses for a while and noticed that while my overall spending was under control, the amount spent proportionately on certain areas was not what I would have preferred. So I implemented a spending plan, or budget which improved the efficiency of my spending. Like any tool, a budget can be used wisely or otherwise."
- Jack Hannam
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Penny Wise, Pound Foolish

"Most likely it’s the level of the state gas taxes. That has a great deal to do with gas prices from one state to another. In certain regions bulk gas is the same per gallon. As an example most of the gas in that region is probably refined in the Delaware river port areas. The stations then have to add their mark up and in addition their state gas tax per gallon. OOPS, missed Howard’s post below."
- David Lancaster
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Avoid the noise, buy the market and stay invested

"Alan, As to your title the S and P hit an all time high yesterday and never reached correction territory. I fear for what some investors will do when another bear returns. To quote another Jack Bogle, “Don't just do something, stand there!” As for me I used the drop in the market to move forward a few months of Roth conversions incrementally at a lower valuations. During the COVID drop I did the same buying incrementally as the market dropped. The lesson learned is market drops it creates opportunities to take advantage of. The key is not to try to figure out when the market hits bottom but to make small incremental changes as it swoons."
- David Lancaster
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AARP tax calculator changed to 2025

"Thanks for this, Bill. I used it to double check the work I had done on the IRS web site. I did notice about the $2k charitable contributions not being there yet. It was on the IRS site. Happy for you that tax day is over and hoping you are getting some well deserved R & R in the next few weeks. Chris"
- baldscreen
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Tools/calculators for monthly retirement cash flow and tax estimation

"Maybe I have missed something, but there was no listing they collect sale taxes on the site. Then, when I get the email from their billing service and I email to ask why there was a difference in the pricing, there was no reply, & the ticket didn't indicated there is sales taxes added on. Either way I think that as these tools are getting much attention and popular, their charges has been going up and up. Are the increasing pricing justifiable? I think not, they have already build out the tool, just making more profit. No Thanks."
- achnk53
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Financial Planning

"Here is a useful link to flat fee financial advisors: https://saragrillo.com/2026/01/24/flat-fee-financial-advisor-list/"
- Manoj Sharma
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One Good Call?

"I have a bit of a philosophical issue with financial advice in general. My thinking runs along the same lines as restaurants. I'd never hand over sixty dollars for a steak I can cook just as well at home, with minimal fuss, for a fraction of the price. But that same sixty dollars for a perfectly executed Peking duck? No hesitation — because that's a dish that takes three days of preparation, a specialist oven, and a chef who's done it a thousand times. You're paying for something you can't replicate yourself. The hard part is figuring out if you're paying for steak or duck."
- Mark Crothers
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Fixing Social Security once and for all

"Ram, You are aware that the US Social Security system is tweaked by the government, especially to benefit "the poor," paid for by "the well-to-do," aren't you?"
- Mike Lynch
Read more »

What Bangladesh Taught Me About Enough

"Thank you Kristine, I appreciate you reading my article"
- Andrew Clements
Read more »

Social Security Survivor Benefits for Spouses

"Thank you. I suspect my own benefit (taken at 70) is greater than a survivor benefit, but you never know."
- mytimetotravel
Read more »

Recency Bias (or: You’re Running Buggy Software)

"That's a fun challenge. How about Post-Contribution Depression (PCD)? Or maybe Dry Powder Blues (DPB)? I was getting pretty excited recently about buying the dip when I thought I was going to hit my 15% rebalance threshold on an Asia-Pacific tracker I own... unfortunately—or should I say fortunately?—it never breached the 15% mark and I didn't get the thrill of buying into a falling market!"
- Mark Crothers
Read more »

Buying and Selling our Condo (Our Big “Little” Move, Part 2)

"We definitely hired the right realtor. It makes a huge difference."
- DrLefty
Read more »

Nothing Like a War To Bring Folks around to Personal Financial Planning

"I like the concept "Pay yourself first". When I started practicing I set my savings rate and this determined what I could spend. This plan was simple, easy to stick with and effective. Some years later I tracked my expenses for a while and noticed that while my overall spending was under control, the amount spent proportionately on certain areas was not what I would have preferred. So I implemented a spending plan, or budget which improved the efficiency of my spending. Like any tool, a budget can be used wisely or otherwise."
- Jack Hannam
Read more »

Penny Wise, Pound Foolish

"Most likely it’s the level of the state gas taxes. That has a great deal to do with gas prices from one state to another. In certain regions bulk gas is the same per gallon. As an example most of the gas in that region is probably refined in the Delaware river port areas. The stations then have to add their mark up and in addition their state gas tax per gallon. OOPS, missed Howard’s post below."
- David Lancaster
Read more »

Avoid the noise, buy the market and stay invested

"Alan, As to your title the S and P hit an all time high yesterday and never reached correction territory. I fear for what some investors will do when another bear returns. To quote another Jack Bogle, “Don't just do something, stand there!” As for me I used the drop in the market to move forward a few months of Roth conversions incrementally at a lower valuations. During the COVID drop I did the same buying incrementally as the market dropped. The lesson learned is market drops it creates opportunities to take advantage of. The key is not to try to figure out when the market hits bottom but to make small incremental changes as it swoons."
- David Lancaster
Read more »

AARP tax calculator changed to 2025

"Thanks for this, Bill. I used it to double check the work I had done on the IRS web site. I did notice about the $2k charitable contributions not being there yet. It was on the IRS site. Happy for you that tax day is over and hoping you are getting some well deserved R & R in the next few weeks. Chris"
- baldscreen
Read more »

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Get Educated

Manifesto

NO. 1: THE GOAL isn’t to beat the market, prove we’re clever or grow absurdly rich. Rather, the goal is to have enough to lead the life we want. We should favor the path most likely to get us there.

think

SIGNALING. How we spend and invest our money often has less to do with what we want—and instead it's driven more by the signals we want to send to others. Owning a hedge fund signals we’re wealthy. Driving a Prius signals we’re concerned about the environment. Going to a classical music concert tells our friends that we’re cultured.

act

PONDER WHEN to claim Social Security. Start with Mike Piper's calculator. Many folks are inclined to claim benefits as soon as they retire, but often it makes sense to wait until as late as age 70. To understand why, learn more about Social Security, including the advantages of delaying and the different strategies that couples might use.

humans

NO. 71: WE FIND strength in faith. Research has found that, on average, folks who are religious report greater happiness. This finding is especially strong among those with lower incomes or who live in less prosperous nations. Perhaps religion helps us to focus less on our own wants and struggles, and more on helping others and leading a life of purpose.

Borrowing

Manifesto

NO. 1: THE GOAL isn’t to beat the market, prove we’re clever or grow absurdly rich. Rather, the goal is to have enough to lead the life we want. We should favor the path most likely to get us there.

Spotlight: Advisors

What a Drag

ONE PERCENT IS THE average annual cost charged by actively managed stock mutual funds. One percent is also the typical fee charged by financial advisors for managing a client’s portfolio. Paying 1% means keeping 99% for yourself. What’s the harm in that?
Here are some pictures of Lower Manhattan. It’s dotted with the skyscrapers that comprise the financial district, home to some of Wall Street’s largest firms. Just the seven largest U.S. banks together are worth more than $1.5 trillion (yes,

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Finding Flat-Fee Financial Advisors

I noticed that in the post by Dick Quinn – beyond-fees-is-using-a-financial-advisor-advisable , couple of folks had mentioned having flat-fee advisors. I see that it is lot easier to find advisors that charge a % of the assets under management but one that I am not fond of.
Have read mixed reviews about FACET, have found two sites that have flat-fee FAs

https://www.flatfeeadvisors.org/
https://saragrillo.com/2022/03/14/flat-fee-financial-advisors/

Are there other resources that one can look up?
Part of the “holistic”

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No TIME Left For You

On my way to better things
(No time left for you) I found myself some wings
(No time left for you) Distant roads are callin’ me
(No time left for you)
– The Guess Who
It had been a while since I had been mailed the opportunity to “get guaranteed income that you can’t outlive,” “preserve your capital,” and most importantly “enjoy a complimentary dinner.” I was concerned that there might have been some sort of cosmic shift away from financial planners who charge 1% of assets or even worse that my name had fallen off the free steak mailing list.

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You Aren’t Listening

WHEN IT COMES to communication, I’m kind of a fanatic. (My wife would say I should drop the “kind of.”) More specifically, I’m a fan of responsive communication.
Back in my working days, when I practiced criminal law, I made it a point to return phone calls and emails from clients promptly. It was rare that I didn’t do it the same day. If that meant staying late at the office until I caught up,

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Morningstar’s Best Robo Advisors of 2025

I don’t utilize a Robo Advisor, but here is Morningstar’s assessment of the best providers. This may be of value to some Humble Dollar participants.

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Spotlight: Ferris

Aging in Place: Count the Cost(s)

My mother-in-law has Alzheimer’s. It’s very advanced, and over the last year, her husband (my husband’s stepfather) has been unable to keep handling her care on his own. We would help, but they live 400 miles away from us, and we’re still working. His plan was to move them into a senior living community (just a 55+ community, not a CCRC), remodel the unit, and hire in-home caregivers as needed. He even added an extra bed and bath to their new unit so a caregiver could live in or sleep over. That was the plan. It didn’t work, for several reasons. First, he only had minimal part-time care, about 15 hours a week. Then he had a medical emergency and had to be hospitalized for three full days, leading to a frantic scramble to get my mother-in-law’s care covered. This was a wake-up call for him that his Plan A (himself as primary caregiver with occasional relief shifts from the caregiving agency) was based on some very dubious assumptions—for example, that an 82-year-old man with a history of heart issues and cancer could handle the stress, mentally and physically. After he got out of the hospital, he went up to nearly full-time in-home care, including most nights. This wasn’t great for my MIL because she was confused and upset by the rotating cast of strangers coming into her home. She’s always been a sweet and easygoing person, but some of the caregivers rubbed her the wrong way—too bossy—and she’d mix it up with them. What my father-in-law didn’t understand is that with a dementia patient, one size doesn’t fit all with caregivers. Some of the people the agency sent just didn’t know how to deal with her. Most significantly, the in-home care cost a fortune. The agency charges $35/hour. For…
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Final Arrangements: A Learning Curve

As I’ve written here before, my mother-in-law has been dealing with Alzheimer’s, and this last year has been a constant learning curve of navigating long-term care policies, trying out in-home caregivers (pretty major fail), and finally a memory care residential facility. Well, this past week was a new challenge. My MIL passed away suddenly on Tuesday night. We got a call from the memory care facility that she’d fainted several times,  so they’d called an ambulance. We were concerned, but she’d had issues with fainting before. 20 minutes later, a hospital nurse called and said she’d arrested (she had an DNR order) and died on the way to the hospital. It was very abruptly conveyed, and the nurse barely took a breath before asking which local mortuary we’d like the body transferred to.  We said we’d have to call her husband (my husband’s stepfather) and get back to them. It was a traumatic few minutes. Alzheimer’s notwithstanding, she’d otherwise been in good health and had never had heart problems. She was 84. Anyway, the real drama involved the final arrangements. My in-laws had purchased cemetery plots in Palo Alto, CA, where other family members have been laid to rest. But they live in Southern California, some 400 miles from this cemetery. Nothing had been set up with a local mortuary. We had to really quickly find one that (a) would take the body from the hospital (b) prepare the body for a 400-mile road trip and (c) transport the body. Then we had to figure what would happen on the other end after the transport. My father-in-law also had to go to the local mortuary and fill out lots of paperwork as next-of-kin to get the body released. He’s 82 and gets easily confused and frustrated. My husband had offered…
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Buying Time

"I'D BE HAPPY TO JUST come here every year," I told my husband. We and our two daughters had arrived on Maui 72 hours earlier. It was May 2000—and our first trip to Hawaii. We’d signed up for a timeshare presentation in return for discounts on tours and activities. By the time we got to the meeting, I’d fallen head over heels in love with the place. The timeshare salesperson had an easy time persuading me to buy. I had a harder time persuading my husband, but we ended up signing on the dotted line. Between 2000 and 2008, we acquired more time at our original resort—now owned by Hilton Grand Vacations Club (HGVC)—and also bought time from Marriott Vacation Club (MVC). We now own two deeded Marriott weeks per year and the equivalent of two more weeks at HGVC. [caption id="attachment_1538814" align="alignright" width="300"] Sunset from the author’s balcony at Hawaii's Marriott Maui Ocean Club[/caption] Back in 2000, when I told my husband that I wanted to come to Hawaii every year, I wasn’t kidding. We live in California, and it’s a less-than-five-hour flight to Maui from our home airport in Sacramento. With the exception of 2020, when Hawaii closed down tourism due to the COVID-19 pandemic, we’ve been to Hawaii at least once a year since we purchased our first timeshare. In fact, as I write this article, my husband and I are enjoying a two-week stay at Marriott's Maui Ocean Club on Ka’anapali Beach. Even though we’ve enjoyed our timeshares and made good use of them, I’ve always felt sheepish about having fallen for the timeshare pitches. Everything I read about timeshare ownership reminded me that timeshares are not a good investment. Recent events, however, have made me reconsider my sense of regret. Hotel prices have skyrocketed in…
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Improving My Habits

THE PROLIFIC MR. QUINN recently wrote that people who were irresponsible in one area of their life, such as failing to return shopping carts, also tend to be irresponsible in other areas, like managing their finances. He’s probably right. Still, I’ve had times when, even though I’m a “responsible person”—I’ve had a successful career, my kids lived to grow up, and so forth—I nonetheless had pockets of disorder in my life. For me, the two biggest areas of chaos were managing money and maintaining a healthy diet and exercise regimen. I’m embarrassed to think back on the bounced checks, late fees, and even the checks I accidentally threw away because I was distracted and disorganized. I’m even more horrified to think about how many fast food and vending machine “meals” I ate because I hadn’t been to the store or found time to eat a proper breakfast or pack a lunch. There was even the gym membership that I had for seven years, which I paid for—but never once used. These unacceptable patterns needed to be changed. Responsibly managing one’s finances is important. Ditto for attending to one’s health, as Rick Connor has written in several pieces. Thus, I’m happy to report that I have restored order in both of these important areas. Our bills are paid on time, our credit scores are pristine, we have no debt beyond our mortgage, and we have savings, insurance and an estate plan. As for health and fitness, I’ve lost nearly 60 pounds since 2020, I’m absolutely devoted to working out and I’m now at a healthy weight for my height. When I had recent lab work, my doctor told me everything looked great, and “just keep up the good work.” How did I do it? The short answer is habit formation—James Clear’s…
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Oops!

I received an email from my previous employer a few weeks ago. I’ll paraphrase: “Ooops. When we processed your last paycheck in June, we failed to deduct your elected contributions to your 403B and 457 accounts.” Now, I knew this because my final paycheck was quite a bit larger than I’d expected, but I thought I’d just misunderstood how the dates worked. (I separated from my employer on June 28, retired on July 1, and my final paycheck, in arrears for June, was processed somewhere between June 27-30.) Oh, well, I’ll just pay a bit more in taxes because of this. Or so I thought. Nope. Apparently if the employer makes that mistake, they have to compensate the employee: “In accordance with Internal Revenue Service (IRS) guidelines, [my employer] will correct this by making a Qualified Nonelective Contribution (QNEC) for the plan(s) listed below…” It turned out to be 50% of what I would have contributed that month to the two accounts. To be clear, it was my employer’s money, not mine. They’re just required by this IRS guideline to give it me. With the two contributions put together, it came out to just under $3000 of free money! It landed in my Fidelity accounts a couple of days ago. Now, as I’ve shared here before, I’d already rolled those accounts over to my Schwab IRA, which was quite an involved process. For this extra little bonus money, I decided to ask Fidelity to just withhold federal and state taxes and withdraw the money and direct-deposit it to my checking account. That turned out to just take a couple of minutes and a few clicks. It will take another day or two, and the take-home amount is just over $2200. Again, this is totally “found” money, so I plan to do something…
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Estrangement & Estates

I've been thinking about family dynamics and how they affect financial decisions, and this will be the first of several posts on various applications of this topic. This first one is a hard one to talk about: It's family estrangement, specifically a family member(s) going "no contact" with or otherwise walking away from other family member(s). It's not as unusual as you might think--there is growing research on the topic, and some estimate that more than 30% of American families have an estranged family member. The reasons for this alarming trend are sociologically complex. One expert on the topic is psychologist Joshua Coleman, who's written a couple of books and many articles based on insights from his own practice and his research. He notes that while about half of the estrangement situations happen for reasons we'd all consider legitimate (e.g., clearly abusive behavior), others are harder to peg, and what one adult child might consider a "toxic" on the part of their parents might be incomprehensible to their sibling. As I said, it's complicated. Sometimes, according to Coleman, the estranged family members might find a way back to each other. In other cases, the person is (most likely) gone forever. The question arises as to the implications estrangement has for one's estate. Coleman urges parents with an estranged adult child not to cut them out of their will, arguing that this will just exacerbate an already painful situation. However, others might argue that if a family member has chosen to exit the family, causing pain by so doing, they are no longer entitled to family resources--and including them in an estate plan might even seem or be disrespectful to other family members who have been hurt by their actions. I'll be vague, but we have an estrangement situation in my…
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