how to split up money

[Buddy_Christ]

CDs

can someone give me the lowdown on CDs? security is what i'm mostly interested in. thanks.


i've got a situation that i'm not discussing on an open board. i'll handle it via PM or e-mail or something along those lines. so could someone knowledgable in managing money over a semi-long term time frame contact me and give me some advice? it would be greatly appreciated. thank you.

 

[georgie24]

how much did you get?

 

[Buddy_Christ]

http://www.elitefitness.com/forum/showpost.php?p=3890361&postcount=4

there's your answer. that's about as close to releasing a number on an open board as i'm going to get. and as i said, it's not my money, so i didn't get anything.

hope someone on the late night/morning crew can answer this before i head off to the bank. i just want to get it all tucked away ASAP. there's a financial advisor at the bank that i'm sure will help me out on this as well, but i was trying to see what type of answers i could get before hand so maybe i'd be better armed with knowledge going in.

 

[Razorguns]

don't rush. allow us to ascertain what your needs are, interests, variables, goals, risk potential, etc. etc to give proper advice. Take your time on proper research and guidance before putting money into anything concrete and permanent.

 

[georgie24]

yup i worked for the largest bank in my state for 3 years! we see you guys from a mile away! DO NOT GO INTO A FINACIAL INSTITUTION W/OUT KNOWING WHAT YOU WANT...they will eat you alive

 

[Synpax]

First, no on the CD.

I'll be honest. These boards are great but you probably won't get as difinitive an answer here as you would with an honest financial advisor/planner. We may be able to give you some guidelines.

I agree with Razorguns - don't go to the bank today. Don't rush it.

So basically your grandmother sold her house and needs to ensure she has enough income to last her the rest of her life, and she is in an assisted living institution?

 

[Buddy_Christ]

georgie - you havn't seen guys like me all the time. i will take the time to read the fine print, formulate questions, and make sure i fully understand what's going on, otherwise i won't get involved. if i was to get ripped off on an investment, it would be because someone was doing something highly illegial, not because of a technicality or something i failed to read in any agreements/contracts. high yeild investments are not even being considered, because with high yeild comes high risk. i'm going lower yeild, lower risk, and it's got to be insured and gaurenteed or else i'm not going near it. period.

Synpax - yes, assisted living home. if she runs out of money (and it's been spent wisely) she'll be allowed to stay on a reduced rent.

Razorguns - exploring some options through the bank. see below.

i did go to the bank today, but i made an appointment with one of the bank's financial advisors. this situation isn't just as simple as making an investment. the money needs to be protected. i'm living month to month, so planning my future financially is pretty simple. we bring in X amount per month, we spend X amount per month on bills. done. i need to plan the next 5-7 years financially for my grandmother though, and this is something i've never done before.

these are not the numbers i'm dealing with. i'm tossing them out though so maybe someone can give me an idea of what they'd do.

$75K in assets.
$15K/year income.
$25K/year in known expenses. estimated $5-10K/year in other expenses.
$10-15K set aside for emergencies.

age 84 and in decent health. on the plus side, as long as the money is handled wisely, the home will allow her to stay and reduce her monthly rent to meet what her income level is.

as i said, those aren't the numbers we've got, but maybe from this someone can generate some ideas.

 

[georgie24]

invest it all with google.

 

[zxe003]

i did go to the bank today, but i made an appointment with one of the bank's financial advisors. this situation isn't just as simple as making an investment. the money needs to be protected.

EXACTLY!! You took a step in the right direction. These are assets that need planning and proper management. Does she have any type of Long Term Healthcare in place. Ask the financial advisor about this.....very important considering the cost.

 

[zxe003]

Also, ask about estate planning. Does she have a living trust in place? If something happens to her (God forbid), you want to protect against taxation when those assets are transferred to her successors. The financial consultant should be bringing all this up with you anyways....but I mention all this so that you are aware of the direction in which you should and will be going.

 

[bran987]

did you meet with the bank?

 

[Buddy_Christ]

bank meeting is on Thursday bran.

ZXE003 - all i'm really concerned about is that she gets through the rest of her life w/out needing money. the money will need to be in some sort of a trust or something similar. the security of the funds is what has me worried. if her daughter gets ahold of the money, it'll all be blown in a few months, leaving my grandmother with nothing.

if there's nothing left over when my grandmother does die, i could care less. as long as i'm in control of her finances, all of her money will get spent on her, and will be done so wisely. it's HER money anyway. if it's all gone when she goes, then i know it was spent how it should've been spent.

grandma had a stroke almost 3 years ago. thankfully, it was mild and she suffered no disabling aliments from it. however, she has no clue how to manage money, and is slightly more absent minded since the stroke, so now it'd be impossible for her to manage her own financial affairs. she's never had to manage her own money either, as my grandfather did everything for her when he was still alive.

i'll see what happens on thursday when i go to the bank. hopefully they can help me plan for the long term for her and protect the money as well. we'll see.

 

[georgie24]

i wasnt trying to say you a sucker, from my banking experience we are trained to sniff out people with money. so that we can attack from every angle. they will hound you and get your phone number ect.. before you sign over funds ask the rep if he has his own investments. if he has NOTHING steer clear.