Morality of Special Needs Trusts and Benefits

A question one undoubtedly will ponder about Special Needs Trusts ( alternately Supplemental Needs Trust ) is about the morality of the instrument.   This may not be pondered until the trust is actually funded.  It may be pondered by the trustee, by the beneficiary, by anyone who has knowledge of the trust. The question naturally... Continue Reading →

Advertisements

Real Estate Recovery

One of the things not highlighted during the last campaign season is that real estate prices have generally recovered. The fiscal crisis was not the making of President Obama. It was the inheritance of a disaster that came to fruition in the tale end of President George W. Bush.

Good News For Disabled Americans

On December 13, 2016 President Obama signed the "Special Needs Trust Fairness Act" into law. This law makes a simple amendment to 42 U.S.C. 1396p(d)(4)(A)adding the phrase "the individual" so that it now reads. (A) A trust containing the assets of an individual under age 65 who is disabled (as defined in section 1382c(a)(3) of... Continue Reading →

Fed or White House

The surprise election of Donald Trump to the White House has produced another surprise.  Sharply rising interest rates.  What was for 10 year treasuries an interest rate of 1.783 on Monday is on Friday 2.113 % as I type this article. The FED has made no announcements, this interest rate swing is purely based on... Continue Reading →

Bank of Japan In Wonderland

According to financial news today the Bank of Japan has announced a couple key things.  First it wants to set a 10 yr bond target of zero percent.  Second it wants to hit its inflation target of 2% or perhaps slightly higher.   This is surrealism brought to finance.  Its not limited to Japan. The ten year bond... Continue Reading →

Life Expectancy and Retirement Planning

Managing retirement funds for yourself or for another is a challenge.   Part of challenge of answering "do I have enough money" or "how much money can I withdrawal each year" lies in knowing how long the person will live.   Its a very impolite and seemingly immoral question to ponder "When are you (... Continue Reading →

Zero and Negative Yield Opportunity

As negative interest rates spread, Germany is also now offering negative bonds, an opportunity is created.   The longer rates stay near, at or below, zero the more a sovereign nation can finance its debt at zero interest.    Unlike consumers the sovereigns can than, to the extent debt is financed in their own currency,... Continue Reading →

Gold Coinage Can Still Cause Inflation

There is a certain myth that if we valued our money in gold instead of fiat it would have a stable value.   The history of coinage and minting shows that this is not true.   Consider this short summary of coinage history from Adam Smith in the 1700s. The denominations of those coins seem... Continue Reading →

Blog at WordPress.com.

Up ↑