When considering a college student’s eligibility for financial aid, who owns their 529 account makes a difference. Sarah Mouser, writing for Advisor Perspectives explains. “Parent-owned 529 plans are treated differently than grandparent-owned 529 plans when applying for financial aid and completing the free application for student aid (FAFSA).” “When a 529 plan is owned by…
Month: May 2020
Health Savings Account limits for 2021
Participants in high-deductible health plans (HDHP) can contribute to tax-advantaged Health Savings Accounts. “For 2021, the annual limit on deductible contributions is $3,600 for individuals with self-only coverage under an HDHP (a $50 increase from 2020) and $7,200 for family coverage (a $100 increase from 2020).” “For 2021, the lower limit on the annual deductible…
Lost Your Health Insurance? Check out Affordable Care Act Coverage
As unemployment continues to skyrocket due to COVID-19, a new analysis shows that more than 20 million people losing job-based insurance could get a tax credit on the Affordable Care Act’s insurance exchanges. But nearly 6 million people will not be eligible for such credits and must pay the full cost of coverage, according to…
Got a will? Here are 11 more end-of-life documents you may need
“Anyone remember the death rate in the United States? It’s… one per person. Nobody is getting out of here alive. We never know when death will happen, just that it will,” Amy Florian explained to a group of financial professionals. In these days of coronavirus, the need for detailed instructions for your financial and digital…
Collecting Social Security based on a divorced spouse’s earning record.
“A person born before Jan. 2, 1954, and who has reached her/his full retirement age, can file for just the divorced spouse’s benefit and delay claiming her/his retirement benefit until a later date.”Must be at least 62 and the ex-spouse must be entitled to Social Security. The ex-spouse doesn’t have to be collecting a benefit.…
Indexed Universal Life Insurance
Sales of Indexed Universal Life Insurance policies were hot while the bull market was raging. The appeal is that it promises yearly interest based on a stock index like the S&P 500. “The danger: If the market does down or flattens, all some buyers may be left with is an unaffordable insurance bill” according to…
Airlines where refunds don’t fly
Thanks to The Middle Seat columnist for The Wall Street Journal, Scott McCartney, we know the which airlines to avoid in the future when we start flying again. And for those who are sitting with a voucher that will expire, it’s time to pressure the airlines to refund your fare.When a passenger cancels a non-refundable…