Comments on: Basics of Estate Planning Part5 http://www.thefinancialblogger.com/basics-of-estate-planning-part5/ This is where your finance takes place Mon, 01 Dec 2008 19:46:05 +0000 http://wordpress.org/?v=abc By: Money Hacks Carnival #25 at The Personal Financier | Money Hackers Network http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2988 Money Hacks Carnival #25 at The Personal Financier | Money Hackers Network Thu, 14 Aug 2008 00:49:59 +0000 http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2988 [...] Financial Blogger continues his discussion of the Basics of Estate Planning. This is a very important series of articles in which The Financial Blogger discusses, in length, [...] [...] Financial Blogger continues his discussion of the Basics of Estate Planning. This is a very important series of articles in which The Financial Blogger discusses, in length, [...]

]]> By: The Financial Blogger http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2915 The Financial Blogger Fri, 08 Aug 2008 00:16:29 +0000 http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2915 Yeah but data from 1915 are old. In fact, banks are managing their inflation rate in a much better way since the 1990 (inflation rate of 2.19% since then). Bretton Woods Collapse in 1973 or 74 I think. Before that time, I don't think it is relevant to consider inflation rate as no mecanism were in place... Yeah but data from 1915 are old. In fact, banks are managing their inflation rate in a much better way since the 1990 (inflation rate of 2.19% since then).

Bretton Woods Collapse in 1973 or 74 I think. Before that time, I don’t think it is relevant to consider inflation rate as no mecanism were in place…

]]> By: Richard http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2913 Richard Thu, 07 Aug 2008 23:06:37 +0000 http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2913 No kidding. I thought all this time it was a low 3%. I'm going to have to update my office on this. No kidding. I thought all this time it was a low 3%. I’m going to have to update my office on this.

]]> By: The Financial Blogger http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2911 The Financial Blogger Thu, 07 Aug 2008 22:05:40 +0000 http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2911 hehehe, I would have to check for Canada but I am pretty sure it's way lower... I am actually surprise to find out how high inflation is in the States! hehehe,

I would have to check for Canada but I am pretty sure it’s way lower… I am actually surprise to find out how high inflation is in the States!

]]> By: Richard http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2908 Richard Thu, 07 Aug 2008 18:35:10 +0000 http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2908 I am still going to have to disagree with the inflation numbers. Take the Avg inflation since '73 (taken from inflationdata.com...again, this is kinda US centric..sorry), inflation has actually averaged 4.726%. However, if I take it back to 1914, it avgerages 3.423%. Since I usually use 3% as inflation, I might need to think about stepping it up to 4.5%. Damn I am a data junkie. I need to get out more. I'm married with a 3yr old and I spend more time on this thing than with my family...geesh. I am still going to have to disagree with the inflation numbers. Take the Avg inflation since ‘73 (taken from inflationdata.com…again, this is kinda US centric..sorry), inflation has actually averaged 4.726%.

However, if I take it back to 1914, it avgerages 3.423%.

Since I usually use 3% as inflation, I might need to think about stepping it up to 4.5%.

Damn I am a data junkie. I need to get out more. I’m married with a 3yr old and I spend more time on this thing than with my family…geesh.

]]> By: The Financial Blogger http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2906 The Financial Blogger Thu, 07 Aug 2008 10:46:16 +0000 http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2906 Richard, it is true that inflation is higher right now but should remain around 2% over a long period. Several people prefer to put 2.5% or 3%, that is really according to your beliefs. Thx for the additional info! Richard,

it is true that inflation is higher right now but should remain around 2% over a long period. Several people prefer to put 2.5% or 3%, that is really according to your beliefs.

Thx for the additional info!

]]> By: Richard http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2901 Richard Wed, 06 Aug 2008 14:19:13 +0000 http://www.thefinancialblogger.com/basics-of-estate-planning-part5/#comment-2901 Another good read. Although I think inflation is around 3.5 maybe 4.0% right now. Other things to consider is if they wish to pay off some or all debts and the house. If they wish that, add the debt and the house balance. Add the 15k for the funeral. Then figure how much income would be needed to pay the bills after all that is paid. Add schooling in as well. If you have no dependents, I usually just recommend a small enough policy to cover final expenses and a funeral (i do state that it is not needed) ... unless you want to play Santa of course. Something else to add, if your estate is big enough to have estate taxes ($2 million minimal in US) add enough to cover them OR transfer assets away just before death to get 1 dollar below the limit. Another good read. Although I think inflation is around 3.5 maybe 4.0% right now.

Other things to consider is if they wish to pay off some or all debts and the house. If they wish that, add the debt and the house balance. Add the 15k for the funeral. Then figure how much income would be needed to pay the bills after all that is paid. Add schooling in as well.

If you have no dependents, I usually just recommend a small enough policy to cover final expenses and a funeral (i do state that it is not needed) … unless you want to play Santa of course.

Something else to add, if your estate is big enough to have estate taxes ($2 million minimal in US) add enough to cover them OR transfer assets away just before death to get 1 dollar below the limit.

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