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165-Friday Q&A: Handling Aging Parents Finances, Roth Rollovers, Thinking More Broadly About Investing, How to Pay for Your Body to Be Frozen Until You Can Be Reanimated and How to Be Rich When That Happens!

165-Friday Q&A: Handling Aging Parents Finances, Roth Rollovers, Thinking More Broadly About Investing, How to Pay for Your Body to Be Frozen Until Yo…

FromRadical Personal Finance


165-Friday Q&A: Handling Aging Parents Finances, Roth Rollovers, Thinking More Broadly About Investing, How to Pay for Your Body to Be Frozen Until Yo…

FromRadical Personal Finance

ratings:
Length:
73 minutes
Released:
Mar 6, 2015
Format:
Podcast episode

Description

It's Friday and on Fridays, I answer your questions. If you'd like me to answer your questions, please email them to me or call them in on the website.
Question #1:
Joshua,
My father, who is 60 years of age, has become a victim of numerous scams over the last year or two. Generally, they involve him receiving calls that he won some prize and needs to wire some money (usually in $500 increments) to the West Indies, Jamaica, etc. His decision making with his finances is not good, to say the least. He continues to fall for these scams despite being told by numerous family and friends, law enforcement, and bank reps that it is a scam and he is never going to receive any "prize."
His financial situation is as follows... he receives Social Security (Disability) for around $1,400 per month. His expenses are only about $700 per month. He owns a very modest house that is paid off. Also, he has a bank IRA worth about $50,000 (earning a whopping 1.3% fixed) which is a rollover from a 401k he had when he was employed.
In my efforts to help him with his finances I got him to give me Power of Attorney and I was added as a signer on his checking account. I am able to monitor his checking account through online banking. However, I live too far away to proactively keep dad from wiring in money for these scams. All I can do is call Dad after I see he has made a large cash withdrawal from his checking account and ask what it was for. I can tell by his evasive answers that it is usually for another scam.
My question is, how can I prevent Dad from wiping out his IRA and spending all his future social security earnings on the dream of the big foreign lottery prize? Does the Power of Attorney allow me to move the IRA to another financial institution (perhaps an online broker, or something out of state). As it stands, Dad can go down to the local bank an withdraw from the IRA with ease. The account could be wiped out before I had the chance to try to talk some sense into him. Also, is there some way for me to become a custodian of the Social Security payment where I could ensure Dad's needs were met, and had the rest of the funds could go into a savings account in his name? I would welcome any other suggestions you have on this matter.
Your response would be appreciated very much!
Take care,
Jason
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Question #2: @21:11
Joshua,
How much can one roll into a roth IRA from a traditional IRA?
Is it true that interest earned in the traditional IRA is treated as principles once rolled into the roth and can be withdrawn without the penalty after 5 years?
I really like the variety of your show. keep it up.
Best wishes,
Brad from Utah
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Question #3: @27:11
Joshua,
A friend (22 y.o. male new grad. just starting his first engineering job) asked me if I had any good resources on investing.
Prior to his question...I sent him your "Become a millionaire working at Walmart" episode as I felt that portrayed a lot of key concepts very well.  I want to recommend another episode that really embodies your take on investing which I think is very helpful....as my friend seems to think investing just means putting money in the stock market.
What would you share with him?
Dustin 
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Question #4: @38:17
Joshua,
I think I have a unique and "radical" financial situation. I figured with your unique outlook on things and the interesting nature of your show this might an interesting question for you to consider.
I want to be frozen after my legal death and reanimated later. I also want to preserve my wealth so that if/when I am brought back I will gain the benefit of at least many decades of compound interest.
My question is:
How should I fund my being frozen and how should I preserve my wealth in perpetuity after my death till my reanimation?
Details:
I currently have a 20 year term $150,000 life insurance policy. The cryonics organization is set the be the beneficiary. Upon my death they will take my body and fly it to their facility where it will be retained.
The cryonics plan
Released:
Mar 6, 2015
Format:
Podcast episode

Titles in the series (100)

Joshua J Sheats, MSFS, CLU, ChFC, CASL, CAP, RHU, REBC is a financial planner who teaches people how to live a rich life now while building a plan for financial freedom in 10 years or less. He mixes creative approaches to lifestyle design, deep-dive financial planning techniques, and hard-core business strategy to equip you with the knowledge and inspiration you need to build financial independence.