AUTHOR: John Katz on 2/27/2025 FIRST: Jonathan Clements on 2/27/2025 | RECENT: 1michaelm on 3/5/2025
Comments
Where I worked, if we wanted to create a new position, we had to budget the salary of the person, of course, and also had to add 35% of the position's salary for benefits. Very, very few people who got hired, I imagine, had any idea of the value/cost the organization placed on those benefits. It took a while for me, at least, to fully understand how valuable they were.
On the subject of 'expect to change jobs and careers', I would add, "Life is not a straight line. Expect lots zigs and zags in all areas of your life, not merely your career. It will not go as planned."
In your last paragraph, Richard, you apparently make an assumption about the financial literacy on the part of a lot of people. You seem to assume that they know, or should know, how to determine what income they need to supplement their social security payments. I know many people, some of whom are college educated, who have no idea how to figure out when to claim social security, let alone how much additional money they will need to finance a particular lifestyle. They are clueless. Meaning, for some, it's an information deficit - not necessarily one of priorities and financial discipline (though I suspect that misguided priorities and lack of discipline are along for the ride). We can say it's their responsibility, it's their problem to figure this out. And that's true. But it's also society's problem. This country does little to prepare people for even the most rudimentary financial planning.
I agree with your general approach. But how does one know when they will need social security most? Life isn't a straight line. That said, I agree that many people treat this issue of when to claim as a traditional investment account where they want to "get their money back" as quickly as possible. Viewing it as a hedge against outliving your assets is a much more robust strategy for long-term stability. That was my approach.
I can see why people might be getting a little upset over the increase in the HOA monthly fee. It's approaching, in some instances I imagine, what they pay in property tax. The difference is that the HOA fee is directly re-invested in the place they live, while the property tax is not. I don't like paying $100 for an oil change, but it preserves the value of my car. I am less fond of paying $6000 for a new engine. Sometimes you need to pay a little (relatively) now to avoid paying a lot later. But some people are more about limiting the monthly budget than protecting/enhancing the long-term value of their assets.
Whatever the solution is, it needs to be simple and easy to communicate, understand and most of all, implement. The government has a tendency to over-engineer things, whether its income taxes, Medicare, Social Security, etc. Lots of people leave money on the table because they simply don't know to navigate the details - and lack the understanding, motivation or money to hire someone who does. I suspect, though don't know, that it is the very people who most need the money that don't know how to maximize their benefits.
That's a lot to go through. Seeing a loved one in that state. And perhaps even worse, sharing with a mother that she survived her own daughter. All this in the context of Jonathan's struggles. What you have been through of late! My condolences. 15 years ago, I gritted my teeth while my wife and I spent several thousand dollars getting an estate plan done with a law firm that specialized in them. I am highly confident, knowing the owner of the firm, that all is buttoned down. I don't even think anymore about the money we spent to get it done, only that my son and daughter hopefully will not have to worry about that part of their mom and dad passing on. There are many things we can do to make our departures easier for those we leave behind. Making sure these affairs are taken care of is near the top, if not at the top.I realize that not everyone needs or wants an estate plan; for my wife and me, it was the way to go, however.
I think that coming in with an offer $125K over list, after just two days, and waiving an inspection tells me all I need to know about these buyers. Perhaps I missed it, but did you mention if they were represented by an agent? Hard to imagine an experienced, ethical agent recommending the course of action taken by these buyers. But ... no one put a gun to their heads.
Comments
Where I worked, if we wanted to create a new position, we had to budget the salary of the person, of course, and also had to add 35% of the position's salary for benefits. Very, very few people who got hired, I imagine, had any idea of the value/cost the organization placed on those benefits. It took a while for me, at least, to fully understand how valuable they were.
Post: Benefits Young Adults Should Look at Before Taking a Job
Link to comment from May 13, 2026
On the subject of 'expect to change jobs and careers', I would add, "Life is not a straight line. Expect lots zigs and zags in all areas of your life, not merely your career. It will not go as planned."
Post: Jonathan’s Advice for 2026 Graduates
Link to comment from May 8, 2026
In your last paragraph, Richard, you apparently make an assumption about the financial literacy on the part of a lot of people. You seem to assume that they know, or should know, how to determine what income they need to supplement their social security payments. I know many people, some of whom are college educated, who have no idea how to figure out when to claim social security, let alone how much additional money they will need to finance a particular lifestyle. They are clueless. Meaning, for some, it's an information deficit - not necessarily one of priorities and financial discipline (though I suspect that misguided priorities and lack of discipline are along for the ride). We can say it's their responsibility, it's their problem to figure this out. And that's true. But it's also society's problem. This country does little to prepare people for even the most rudimentary financial planning.
Post: The great COLA debate-maybe not the expected solution.
Link to comment from April 27, 2026
I agree with your general approach. But how does one know when they will need social security most? Life isn't a straight line. That said, I agree that many people treat this issue of when to claim as a traditional investment account where they want to "get their money back" as quickly as possible. Viewing it as a hedge against outliving your assets is a much more robust strategy for long-term stability. That was my approach.
Post: Rethinking the “Right” Time for Social Security
Link to comment from April 24, 2026
I can see why people might be getting a little upset over the increase in the HOA monthly fee. It's approaching, in some instances I imagine, what they pay in property tax. The difference is that the HOA fee is directly re-invested in the place they live, while the property tax is not. I don't like paying $100 for an oil change, but it preserves the value of my car. I am less fond of paying $6000 for a new engine. Sometimes you need to pay a little (relatively) now to avoid paying a lot later. But some people are more about limiting the monthly budget than protecting/enhancing the long-term value of their assets.
Post: The condo, HOA, senior citizen conundrum
Link to comment from April 20, 2026
Whatever the solution is, it needs to be simple and easy to communicate, understand and most of all, implement. The government has a tendency to over-engineer things, whether its income taxes, Medicare, Social Security, etc. Lots of people leave money on the table because they simply don't know to navigate the details - and lack the understanding, motivation or money to hire someone who does. I suspect, though don't know, that it is the very people who most need the money that don't know how to maximize their benefits.
Post: Fixing Social Security once and for all
Link to comment from April 16, 2026
That's a lot to go through. Seeing a loved one in that state. And perhaps even worse, sharing with a mother that she survived her own daughter. All this in the context of Jonathan's struggles. What you have been through of late! My condolences. 15 years ago, I gritted my teeth while my wife and I spent several thousand dollars getting an estate plan done with a law firm that specialized in them. I am highly confident, knowing the owner of the firm, that all is buttoned down. I don't even think anymore about the money we spent to get it done, only that my son and daughter hopefully will not have to worry about that part of their mom and dad passing on. There are many things we can do to make our departures easier for those we leave behind. Making sure these affairs are taken care of is near the top, if not at the top.I realize that not everyone needs or wants an estate plan; for my wife and me, it was the way to go, however.
Post: My sister’s will and what it taught me.
Link to comment from April 13, 2026
You sure hit the lottery that day. Right place, right time (for you at least).
Post: The Home Ownership Gamble
Link to comment from April 6, 2026
I think that coming in with an offer $125K over list, after just two days, and waiving an inspection tells me all I need to know about these buyers. Perhaps I missed it, but did you mention if they were represented by an agent? Hard to imagine an experienced, ethical agent recommending the course of action taken by these buyers. But ... no one put a gun to their heads.
Post: The Home Ownership Gamble
Link to comment from April 6, 2026
You could put a lot worse things into your body than chocolate. If you want to make it 'healthier', and enjoy it more, make it dark.
Post: Lent, Chocolate, and the Art of Retirement
Link to comment from April 3, 2026