Miscellaneous Take-Aways From Free-Meal Seminars

 

I periodically attend free-meal seminars to see what questions older adults have about their finances to inform future blog posts and classes. Free food is also a side benefit. Unfortunately, most presentations include little, if any, time for participant Q&A. Rather, their emphasis is promoting the program sponsor and sharing “teaser tidbits,” instead of complete explanations, of financial topics.

 

I also noted frequent use of negative statistics about the future of Medicare and Social Security (a 21% to 25% reduction in benefits when the trust fund is depleted). Also, the phrase “come sit down with us” was used repeatedly. Nevertheless, useful information is sometimes shared. Below are some take-aways from several recent “free meal” presentations that I attended:

Probate Process- Ways to avoid probate or reduce the amount of assets that are subject to it were discussed. They include beneficiary designations, payable on death (PoD) and transfer on death (ToD) designations, joint tenancy with right of survivorship, and trusts.

 

Account Minimums- Seminar presenters had minimum investable asset requirements for new clients of $250,000 and $500,000. They stated their minimum requirements up front so attendees could judge if they were a good fit. Remember, some folks were just there for the free meal and there was no income and asset screening in advance.

 

Tax Rates- Presenters noted that “taxes are on sale” with some of the lowest tax rates in recent U.S. history made permanent with the OBBBA law. In 1944, the highest tax rate was 94%. Attendees were urged to monitor income to “fill up their tax bracket” but not move up to the next highest one.

 

Sequence of Returns Risk- This was a very important topic to cover. Sequence of returns risk is the danger that poor investment returns occur early in retirement while withdrawals are being made. Early losses can permanently reduce a portfolio's value, making it harder to recover and increasing the chance that retirement savings will be depleted sooner.

 

IRMAA- IRMAA (Income-Related Monthly Adjustment Amount) is an extra surcharge added to Medicare Part B and Part D premiums for higher-income beneficiaries. The surcharge is based on income reported on tax returns, typically from two years earlier. IRMAA is basically a tax and is only going to go up in future years as health care expenses rise.

 

Beneficiary Designations- Presenters often rightly urged attendees to make sure that their beneficiary designations were up to date on life insurance policies and retirement savings plans and to name contingent beneficiaries as a “Plan B.”

 

Long-Term Care (LTC)- One presenter noted that traditional LTC insurance policies have become “dinosaurs.” Instead, most LTC insurance policies sold today are hybrids between either life insurance or an annuity and LTC insurance. Seven out of 10 older adults will need some type of LTC service at some point during the remainder of their life.

 

This post provides general personal finance or consumer decision-making information and does not address all the variables that apply to an individual’s unique situation. It does not endorse specific products or services and should not be construed as legal or financial advice. If professional assistance is required, the services of a competent professional should be sought.

Four Common Estate Planning Errors

Four common estate-planning errors can cause you and/or your heirs considerable stress and aggravation, family arguments, and unnecessary taxes and legal expenses.  Below is a description of each error and strategies recommended by experts to handle each situation.

Not Planning For the Disposition of Untitled Personal Property

 

Untitled personal property is items people own where the owner is not identified with a written document (i.e., their “stuff”). Examples include tools, furniture, photos, books, dishes, jewelry, collections (e.g., coins), artwork, and more.  Talking about untitled property is “sensitive” because of emotions involved, sentimental meanings attached to various pieces of property, and differing perceptions of what is “fair” in the distribution process. Also, there is often only one of an untitled property item so it is impossible to divide everything equally. 

 

Experts recommend that property donors determine their goals first.  For example, is it important to give more to less affluent children or according to a child’s age, gender, marital status, or birth order? There are several ways that untitled personal property can be distributed including memorandums attached to a will (i.e., a “separate writing”), lists given to a person’s executor or family members, gifts made during a donor’s lifetime, drawing names out of a hat, verbal promises, and labeling items. 

 

Not Writing a Will

 

Many Americans die intestate (without a will) and, by doing so, default to the “one size fits all” will provided by their state of residence.  This state-determined property distribution formula may or may not be appropriate for their family’s situation but there is no choice in the matter.  Estate-planning costs are also increased because a court-appointed administrator must be appointed, and generally bonded, which increases an estate’s administrative expenses.  Some people procrastinate on drafting a will because they do not know who to name to key positions, such as executor and guardian, so they do nothing. 

 

There may also be a mistaken impression that only family members can be named, which is untrue.  It is not unusual for people to name a professional fiduciary, such as a bank trust department, to serve as executor or to name a close friend, rather than a family member, as guardian.  Another reason to have a will is to make gifts to charitable organizations upon your death.  State formulas do not allow for this.  According to the book You’re 50-Now What? by Charles Schwab, less than 6% of Americans leave money to charitable organizations upon their death, most notably because so many die intestate. Expert tip: prepare a will and update it regularly.

 

Conflicts in the Titling of Assets

 

This error is seen especially in remarried households.  People want an asset to go to one person (e.g., a child from their first marriage) and put this in their will, yet they own the asset with rights of survivorship with someone else (e.g., a second spouse).  In cases where provisions in a deceased person’s will conflict with the titling of assets, the title almost always determines the asset’s subsequent owner.  Persons with complex estates and/or family relationships should seek legal counsel to avoid making this error. Expert  tip: check for will-title conflicts.

 

Incorrect Beneficiary Designations

 

Errors in beneficiary designations can lead to the disinheritance of heirs, delays in providing for the financial needs of loved ones, and unnecessary expenses and tax payments.  Three common errors made when naming a beneficiary are: failing to regularly update beneficiary designations, naming an estate as beneficiary, and failing to name a contingent beneficiary. Expert tip: periodically review the beneficiary designations on IRAs, tax-deferred employer plans like 401(k)s, and life insurance policies to make sure they are current, especially if you’ve experienced a major life event such as the death of a spouse, divorce, marriage, remarriage, or the birth of a child.

 This post provides general personal finance or consumer decision-making information and does not address all the variables that apply to an individual’s unique situation. It does not endorse specific products or services and should not be construed as legal or financial advice. If professional assistance is required, the services of a competent professional should be sought.

 

 

 

 

Frugal Travel Hacks for Your Summer Vacation

Many people are taking road trips in July and August for their summer vacation. Unfortunately, their travel plans are coming at a time when food and gas prices have been steadily rising. 

Everyone wants to get as much value as possible for their travel budget and not overpay for goods and services. The following ideas are like items on a menu in a New Jersey diner. There are a lot of money-saving options to select from so pick those that best fit your lifestyle.

Food and Beverages

Eat Out Sparingly- Try to eat only one meal a day at a restaurant, if possible. Pack foods such as granola bars, dried fruits, peanut butter, muffins, and canned juices for breakfast, or select hotels that include a free continental breakfast. Many hotels offer perks (e.g., free breakfast and swimming pools) to attract visitors.

Keep Food Cool- Pack food in a cooler (or buy it when you arrive at a destination) and stay at hotels with a refrigerator and/or microwave oven in the room. This lets you save leftover food from a restaurant or order take-out food rather than a sit-down meal. Pack some re-sealable food storage bags or plastic containers.

Rethink Restaurant Drinks- Consider sticking with complimentary water at restaurants because beverages add to the cost of eating out. If someone skips 208 glasses of soda (four a week) at $3 each- or 104 beers or glasses of wine (2 a week) at $6 each- that’s $624 in annual savings.

Bring Your Own Beverages- Space permitting, bring your own beverages on a road trip. Examples: bottled water, soda, and low-cost wines available at Trader Joe’s and Aldi supermarkets. Another way to spend less on wine and soft drinks is to “stretch” them with a large cup of ice so they last longer and you can buy less. 

Split an Order- Consider sharing an entrée- but check first to see if there is an additional “plate charge” for shared meals. Appetizers and desserts are also great for sharing. Instead of individual desserts at a restaurant, buy a dessert item (e.g., cake or pie) at a supermarket to enjoy afterward.

Eat Out for Lunch- When you eat out, consider going to restaurants at lunchtime, rather than dinner, because the cost is generally less. You might also consider combining lunch and dinner into one meal by having a late afternoon “linner.” Lunch menu meals- and lower prices- are generally in effect until around 3 pm.

Gas

Find Cheap Gas- Gas prices vary from state to state and even within the same town! Gas stations close to major highways often charge more than others…because they can. Use a gas app like GasBuddy and Waze to find the cheapest source of gas where you need it.

Join a Fuel Rewards Program- Sign up for a fuel rewards program at a supermarket or warehouse club and accumulate points to earn free or reduced price gas. When you have earned enough points for a reward, cash in your points to save money.

Check Tire Pressure- All the travel experts agree that underinflated tires decrease gas mileage. Many gas stations have inexpensive “do it yourself” machines where users can check their tire air pressure and inflate tires that need air.

Travel Close to Home- If money is tight, become a “local tourist.” Visit local historical sites or state/federal parks and learn more about where you live. Plan “daycations” (inexpensive one-day trips) and “staycations” (experiences at or near home) in lieu of travel to distant areas. 

This post provides general personal finance or consumer decision-making information and does not address all the variables that apply to an individual’s unique situation. It does not endorse specific products or services and should not be construed as legal or financial advice. If professional assistance is required, the services of a competent professional should be sought.

Strategies to Inspire a More Beautiful World

 

I recently had the pleasure of delivering the keynote presentation for the Spring 2026 meeting of the Florida Association of Family and Consumer Sciences (FAFCS). The title was Inspiring a More Beautiful World: 10 Impact Strategies. Below are some highlights from my presentation:

Show Kindness and Gratitude- Small interactions make a big difference! Make a point to recognize people and thank them for what they do. Also, smiles are infectious. When you smile, positivity is reflected on others. Smile and make eye contact with people 10 feet away and add a verbal greeting when you are 5 feet away.

Inspire Others Through Storytelling- Stories build an emotional connection to people vs. just telling them facts and statistics. They make messages memorable and stories of perseverance inspire hope. Be sure to include details about the “messy middle;” i.e., struggles and obstacles overcome before a successful outcome.

Focus on Solutions- In a time when there is so much chaos and confusion, train your brain to look beyond problems and ask, “what can I do to help?” Then focus on workarounds. Clearly define “pain points” and break problems into small process steps. Next, brainstorm solutions and evaluate and implement viable options.

Be an Early Adopter- Gain new knowledge and learn new skills early on for personal and professional growth and to teach and inspire others. Then share your knowledge freely. A personal example of mine is AI. I started using AI platforms in early 2023 and have made a almost a dozen presentations about AI to teach others.

Be a Mentor and Role Model- Mentoring helps mentees develop their abilities by transferring a mentor’s knowledge/experience. Both parties learn from each other and mentoring often creates long-term relationships beyond its initial purpose (e.g., getting tenure). Role modeling occurs naturally as people watch others.

Work Out Loud- As outlined in the book Working Out Loud by John Stepper, this technique involves openly describing your ideas, work projects, and progress on projects via social media. Working out loud increases visibility, positions you as a thought leader, encourages collaboration, and creates new opportunities.

Work Collaboratively- Working with others increases impact in several ways: diverse perspectives, improved problem-solving and innovation (more minds focusing on an issue), a “divide and conquer” approach for big projects, resource sharing (e.g., skills, technology, funding), and accountability (people counting on each other).

Volunteer Your Time and Talents- Studies show that volunteerism provides learning opportunities, creates a sense of purpose, reduces stress, and increases overall happiness. It also helps non-profit organizations and the clients they serve. For example, I volunteer at a thrift shop that is run by a local hospice organization.

Practice Charitable Gifting- Donating money or goods supports causes that help others or improve society. It connects a person’s generosity with meaningful outcomes which increases personal happiness. Ways to donate include cash contributions, donor advised funds, and qualified charitable distributions (QCDs).

Build Financial Stability- When basic needs are covered, along with savings for future financial goals (e.g., retirement), people have more time, mental bandwidth, and resources to help others through donations, mentoring, or volunteering. Financial resources amplify impact!

This post provides general personal finance or consumer decision-making information and does not address all the variables that apply to an individual’s unique situation. It does not endorse specific products or services and should not be construed as legal or financial advice. If professional assistance is required, the services of a competent professional should be sought.

 

Second Quarter Summary of Webinar Take-Aways

 

We are almost halfway through 2026 and it’s time for another quarterly summary of takeaways from webinars, podcasts, and classes that I have recently attended. Below are nine nuggets that stood out to me as I reviewed notes taken in my personal learning journal:

The Importance of Tax Planning- Reasons include 1. Paying taxes at lower rates because the U.S. has a progressive tax system, 2. The tax code is full of traps (e.g., marriage penalty, NIIT, IRMAA, AMT, kiddie tax, widow’s penalty), and 3. Different parts of the tax code need to be coordinated.

 

RMD Withdrawals- Reducing future RMDs can help avoid being forced into a higher tax bracket. For example, make Roth conversions in your 60s if already retired and your income is lower. Some people, however, may not be able to avoid the high tax rates associated with a large RMD.

 

IRMAA- The Income-Related Monthly Adjustment Amount, an extra surcharge added to Medicare Part B and Part D premiums for higher-income beneficiaries, is not a lifetime sentence. Every year there is a reset. Use form SSA-44 to request a smaller premium due to a life event (e.g., widowhood).

 

Investment Risk- There is no such thing as a “free lunch” in life or investing. In addition, there is no perfect investment (high return, risk-free, and tax-free). Volatility (how much the price of an investment rises and falls over time) is the “cost of admission” for investing.

 

OBBBA Tax Law- There is confusion regarding “no tax on Social Security” and the new senior tax deduction. Social Security IS still taxed and the senior tax deduction is age-based (65+) and income-based (phase-outs apply) and has nothing to do with receiving Social Security. New child savings accounts roll out in July with $1,000 of government seed money for children born from 2025-2028.

 

Financial Education Impact- The best time for financial literacy classes is 11^th grade. Students are interested in financial topics by then but don’t have distracting “senioritis.” Financial education allows students to mess up in a “fake world” (e.g., case studies) to avoid mistakes in the real world.

 

Limiting Beliefs- Far too many people quit far too soon, instead of persisting, due to self-limiting beliefs. They tell themselves they are not capable and don’t even try. The #1 determinant of whether people reach their goals is whether they quit. Break big goals into small achievable steps.

 

Retirement Risks- Key risks facing older adults are running out of money in retirement, the effects of inflation, market volatility and sequence of returns risk (retiring into a down market), longevity risk (living longer than you think), increasing health care expenses, and the cost of long-term care.

 

Late Retirement Savers- The biggest “catch-up” lever for late starters is their savings rate. It takes about 10 to 15 years of aggressive saving to catch up (to typical 40-year savers) after a late starter “wakes up.” The average age of starting to save for retirement is 32. Late start savers and FIRE (financial independence, retire early) proponents have a similar savings timeline.

This post provides general personal finance or consumer decision-making information and does not address all the variables that apply to an individual’s unique situation. It does not endorse specific products or services and should not be construed as legal or financial advice. If professional assistance is required, the services of a competent professional should be sought.