Wisdom on Wealth

Q:  When should I begin taking my Social Security?

A: If you’ll tell me how long you’re going to live, I can give you a perfect answer to that question.

For everyone else, we’re going to have to make an informed guess.

Q:  I know I should get on a budget. What’s the best app for that?

A: You say you know you should get on a budget.

But why do you say that?

After all, budgeting can be a pain. You already know that, or you’d already be on one. So why should anyone go to all the trouble of getting on a budget?

A budget is a spending plan. It may be simple enough to write on the back of an envelope. Or it may be so complicated that it fills up an electronic spreadsheet.

Q:  Should I be pre-paying my mortgage?

A: Why would you want to do that?

That’s not a definite “no.” But I do not consider “mortgage acceleration” a one size fits all piece of financial advice everyone should follow.

Q:  My husband and I are still relatively healthy, but we’ve told each other we don’t want to spend any of our days in a nursing home. It seems like it would be cheaper to just care for one another at home. Is that right? Which costs more – getting care at home or care in a nursing home?

A: That depends on whether you are counting just dollars, or whether time, energy and health are among the costs you are considering.

Q: I am getting married soon. As part of our pre-marriage counseling, my fiancé and I prepared a budget, talked about debt and things like that. What else do we need to be thinking about when it comes to being financially prepared for marriage?

A: Assumptions and expectations.

Imagine a couple on their honeymoon and they go out to a nice dinner. At the end of dinner, the husband pulls out some cash to pay the bill.