The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing

URL:  http://boards.fool.com/wisdom-please-15113221.aspx

Subject:  WISDOM PLEASE Date:  6/5/2001  5:41 PM
Author:  inthesonlite Number:  30080 of 76394

HERE'S THE SITUATION, MY MOM IS 74 AND HER HEALTH IS NOT THE GREATEST SHE HAS 23,000 INVESTED IN CD'S PAYING ROUGHLY 5.5%. WE WANT TO PROTECT THIS FROM GOING TO A NURSING HOME SHOULD SHE NEED TO GO TO ONE IN THE FUTURE. SHE WAS GOING TO GIVE IT TO ME TO INVEST IN AN VARIABLE ANNUITY WHERE I WILL DRAW $200.00 PER MONTH AND SEND IT TO HER, JUST LIKE SHE WAS DOING WITH HER CD'S.THIS WOULD NOT BE THE FIXED MONTHLY PAYMENT TYPE ANNUITY WHERE IT'S A SET MONTHLY PAYMENT,THIS WOULD BE A WITHDRAWL OF THE INTEREST THAT IT HOPEFULLY IS EARNING.
MY QUESTIONS ARE HOW WILL THIS EFFECT MY TAX SITUATION, BECAUSE THE ANNUITY WILL BE IN MY NAME AND THOSE $200.00 WITHDRAWLS WILL APPEAR TO THE IRS AS MY INCOME. ALSO IS THERE A BETTER INVESTMENT I COULD MAKE?? MY MOTHER ISN'T COMFORTABLE WITH MUCH RISK AND THIS IS REALLY HER MONEY THAT I AM BEING A STEWARD OF, HOWEVER I THINK SHE COULD DO BETTER INTEREST WISE,THAN THE CD'S SHE CUURENTLY HAS.
IF IT MATTERS WE LIVE IN FLORIDA. MOM HAS NO LIFE INSURANCE AND NO ESTATE TO SPEAK OF AND I AM THE ONLY CHILD.
THANKS, JEANNE
Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us