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Epoch Times
9 hours ago
- Business
- Epoch Times
Over 50 and Still Paying Student Loans? Here's Some Help
By Maurie Backman From Kiplinger's Personal Finance It's easy to think of student loans as a young person's problem. But the reality is that a good number of older Americans, including near-retirees, are juggling student loans, either because they're still paying off their own education or they took out loans to help finance a child or grandchild's education.
Epoch Times
26-06-2025
- Business
- Epoch Times
A Guide to Taxes on Social Security Benefits
By Kimberly Lankford From Kiplinger's Personal Finance On the campaign trail last year, President Trump vowed that he would eliminate taxes on Social Security benefits, and it's still one of several potential tax changes on the table. Here's how taxes on Social Security benefits currently work, who has to pay them, steps you can take to reduce the taxes, and what you can do to bypass an unpleasant surprise at tax time. How Benefits Are Taxed Social Security benefits were not taxable for the first few decades of the program's existence. But in 1983, up to 50 percent of benefits became taxable for single taxpayers whose 'combined income'—also known as provisional income—was higher than $25,000 annually and for joint filers earning more than $32,000. Congress added another level of taxation in 1993, when up to 85 percent of Social Security benefits became taxable for single taxpayers earning more than $34,000 and joint filers earning more than $44,000.
Epoch Times
27-05-2025
- Health
- Epoch Times
Get What You're Owed From Your Health Insurance Plan
By Kimberly Lankford From Kiplinger's Personal Finance Depending on your health insurance policy, you may have noticed that you need to get permission from your insurer before it will pay for a medication, treatment or procedure your doctor prescribes—even if it's covered by your plan. This extra step, called prior authorization, is becoming more common with most types of health insurance, including Medicare Advantage, employer coverage, and individual plans sold through or your state health insurance marketplace. When your health plan requires prior authorization, your doctor must provide evidence that the specific care is medically necessary and is the best course of action in your situation. Prior-authorization requirements have increased significantly over the past few years. For example, virtually all enrollees in Medicare Advantage plans are required to obtain prior authorization for some services, and these insurers made nearly 50 million prior-authorization determinations in 2023, up from 37 million in 2021, according to health policy research organization KFF. Insurers don't always approve these requests. In 2023, for example, Medicare Advantage insurers fully or partially denied 3.2 million prior-authorization requests, according to KFF. Insurers say that prior authorization provides a vital screen to ensure patients receive safe, evidence-based care and to reduce low-value and inappropriate services so that coverage is as affordable as possible. The American Medical Association, however, calls prior authorization 'an overused process that interferes with patients receiving timely care, or even any care at all.' More than one in four physicians report that delays or denials related to prior authorization have led to a serious adverse event, such as hospitalization, disability or even death for a patient in their care. And prior authorization isn't the only obstacle you may encounter. You may face a denial of your claim after you receive a procedure or treatment if the insurer decides that your coverage doesn't include it or you didn't get the necessary prior authorization first. Related Stories 5/1/2025 1/13/2025 But you don't have to take no for an answer, and perseverance often pays off. Less than 12 percent of Medicare Advantage prior-authorization denials were appealed in 2023, but more than 81 percent of the appealed denials were partially or fully overturned, KFF found. Only 1 percent of in-network denials were appealed for policies sold on but 44 percent of the denials were overturned at the first level of appeal, KFF found. You may also be able to successfully appeal denials from employer health insurance plans or traditional Medicare—whether for prior authorization or for a service you already received—although few people know their appeal rights. 'Never accept the first denial letter you get, because it is often just the default reaction to treatment protocols, especially if it's something new,' says Suzanne Garner, 47, of San Diego, who was first diagnosed with breast cancer seven years ago. 'It doesn't matter if the treatment is fully FDA-approved and, in the case of oncology care, even if the National Cancer Coalition and ASCO [the American Society of Clinical Oncology] have endorsed it to be a piece of standard of care,' she says. 'If it's new, for a while, it's likely to be denied.' By appealing, Garner has successfully reversed more than 20 prior-authorization denials and five denials for claims after receiving a bill. 'At the beginning, I was very intimidated when I would get these denials and big cost estimates, and I remember crying and saying to my husband that we would have to go into our daughter's college fund or our retirement fund,' Garner says. 'For the most part, we figured it out, but it took being brave, advocating for myself and waiting on hold a lot. Don't be afraid to appeal, and don't be afraid to ask a lot of questions.' Here's what you need to know to appeal a health insurance denial, whether it involves a prior authorization request or a big bill following a procedure or treatment that you believe your insurance should cover. Help From Your Doctor The procedure for appealing a denial varies depending on the type of health insurance. 'You have to follow the timeline and the instructions on the explanation of benefits or the Medicare summary notice,' says Tatiana Fassieux, education and training specialist for California Health Advocates. Whatever the appeals process, you should contact your doctor's office right away after you receive a denial. 'There's a certain amount of time to appeal—sometimes it's 30 to 60 days, depending on your insurance plan. But we might not be alerted to that denial until 21 days have passed, and sometimes it's a fight against time,' says Michelle Vanderwaall, who spent more than 20 years as an operations manager for several surgical specialties in a San Diego hospital system. Your medical team may regularly deal with appeals, developing expertise in navigating them. The staff at the office of Garner's oncologist were instrumental in overturning denials for PET scans, breast MRIs, an oophorectomy (ovary removal surgery) and other procedures. Several of the denials were reversed after her oncologist got on the phone with a doctor at the insurance company and explained her specific needs, a step called a peer-to-peer review. Bruce A. Brod, a physician and clinical professor of dermatology at the University of Pennsylvania Perelman School of Medicine, says that he sometimes can get a denial reversed through a peer-to-peer review. But the conversation isn't necessarily with other dermatologists, so he may need to take extra time to explain the patient's needs. Other Sources of Assistance Some doctor's offices are more helpful with appeals than others, and you may need to advocate for yourself. But that can be difficult to do when you're learning new medical terminology while dealing with a major diagnosis. Garner learned a lot from other cancer survivors in support groups, and she shares the knowledge she has collected, too. For example, she helped a neighbor who was diagnosed with breast cancer get 14 months of coverage for an infusion her oncologist recommended. The insurance company wanted to pay for only eight months. Garner used Outcomes4Me, a cancer-support app that aggregates medical research for patients based on their specific diagnosis (Garner now works for Outcomes4Me), and they looked through PubMed (a resource of medical literature from the National Institutes of Health) and Google Scholar to find newer studies. 'We were able to pull together a compelling case with numerous studies that showed it was more effective to have the full 14 months,' she says. You may get help from a nurse navigator or a social worker at the hospital or your doctor's office. Additionally, nonprofits and advocacy groups specializing in your disease may provide resources and help with claims. You may also get help from organizations such as Triage Cancer ( 'I think one of the major challenges is that there is an overarching lack of awareness about the appeals process,' says Monica Bryant, a cancer-rights attorney and chief operating officer for Triage Cancer. Bryant has helped reverse denials in a variety of situations. She helps gather the evidence to build the patient's case, which can include medical records, test results, literature, clinical trial results, a personal narrative or a letter from the doctor. ©2025 The Kiplinger Washington Editors, Inc. Distributed by Tribune Content Agency, LLC. The views and opinions expressed are those of the authors. They are meant for general informational purposes only and should not be construed or interpreted as a recommendation or solicitation. The Epoch Times does not provide investment, tax, legal, financial planning, estate planning, or any other personal finance advice. The Epoch Times holds no liability for the accuracy or timeliness of the information provided.
Epoch Times
13-05-2025
- Business
- Epoch Times
What 401(k) Savers Near Retirement Can Do Amid Market Volatility
By Donna Fuscaldo From Kiplinger's Personal Finance The markets are up, the markets are down, tariffs are in, tariffs are out. Egg prices are soaring, inflation is declining. Stay the course, revisit your portfolio, buy on the dip, ignore the news. For 401(k) savers 50-plus, the last few weeks have served up a dizzying amount of uncertainty. It's understandable if you are confused about what to do in the current climate of extreme volatility, especially if you have your life savings invested in a 401(k) and/or an individual retirement account (IRA). Without a doubt, volatility will likely continue given the uncertainty in the markets, but there are some positives potentially coming down the pike, argues Nick Nefouse, global head of retirement solutions and head of LifePath at BlackRock. Those positives include tax cuts in the United States and deregulation, both of which tend to bode well for the longer-term outlook. 'The bull market is about earnings and the bear market is about feelings,' Nefouse says. 'Over the last two years the market is still up some 80 percent even with the drawdown.' While everyone's situation is unique, we polled financial advisers and asset managers to get a sense of what you should be doing if retirement is ten plus years away, is one or two years out or is in the rearview mirror. The key takeaway in every age group—don't panic but take the time to evaluate where your 401(k) is at. Related Stories 7/2/2023 5/12/2025 'It's time to assess,' says Pam Krueger, founder and CEO of Boston-based Wealthramp, an SEC-registered fee-only adviser matching platform. 'The volatility handed you a gift. It's forcing you to pay attention. You want to make the ship as watertight as you can and the way you can do that is by assessing everything.' If You Are in Your Early 50s, Do This People in their early 50s are typically still working and saving for the foreseeable future, which means they don't have to react when markets are whipsawing between huge upticks and steep declines. 'Someone in their 50s still has seven to ten years, if not longer, of working and saving,' says Nefouse. 'When you get to retirement you have a 20 plus window in retirement based on life expectancy.' If the choice is to focus on a week's worth of trading versus twenty years on the horizon, you have to focus on the twenty years on the horizon, he says. Don't Try to Time the Markets Now is not the time to sell stocks and move to cash. After all, timing the market doesn't pay off. It usually ends with selling low and buying high. 'Fifty percent of the best days in the equity markets happened in bear markets,' says Nefouse. 'If you got out of the market Tuesday you would have missed Wednesday.' Nefouse was referring to the 1,000 point plus decline and 2,000 point plus increase in the markets between the two days in early April. 'It's about staying invested,' he says. Scott Smith, senior director, advice relationships at Cerulli Associates knows first hand how trying to time the market can hurt your 401(k) and investment portfolios. In March of 2020, when stocks were tanking in the early days of the pandemic, he decided to sell, betting the markets would keep falling. But they didn't, they soared, making it hard for Smith to find an entry point back in. 'Anticipating the market is really a fool's errand. The only person suffering is yourself,' says Smith. A better approach is to take a look at your asset allocation and how it meshes with your time horizon and risk tolerance to ensure you are well diversified. One way to get a diversified portfolio is to consider shifting to a target date fund if you aren't already in one. A target date fund does the diversification and asset rebalancing for you. It's geared toward your age and what your risk level should generally be at that point in your career. If you aren't in a target date fund but are debating as to whether you want to switch, Sharon Carson, executive director of J.P. Morgan Asset Management, says to use your 401(k) plan's target date fund as a gauge. See how the fund is invested, based on your age, and then consider what other sources of income you'll have in retirement, including Social Security, a pension or your spouse's pension. If you will have a lot of guaranteed income in retirement, you may be able to take more risks, which means more exposure to equity markets. It's a good idea to discuss your options with a financial adviser or the plan sponsor, notes Carson. If Retirement Is a Year or Two out Assessment is the name of the game at this point. Is your 401(k) diversified, is it in sync with your spouse's 401(k) if you are married, and does your asset allocation jive with your overall retirement plan? These are the assessments you need to make with retirement in the not too distant future, says Krueger. 'Without assessing, you don't know if you have too much money invested in Nvidia or big tech stocks like Apple and Tesla that are down a lot more than the overall market,' she says. It's also a good time to assess where other money is coming from in retirement, whether it's Social Security, real estate, a brokerage account or a pension. When you have a good read on what money will be available, compare that to what you think your spending levels may be when you do stop working. Don't forget to factor in inflation, debt and potential tax implications when evaluating your current state. That assessment may give you peace of mind or prompt you to continue working if you can. 'It's always better if you can plan to work more,' says BlackRock's Nefouse. 'It is always better to retire in a bull market than into a bear market.' If You Are Already Retired Retirement can easily last twenty plus years, which is why financial advisers say you have to stay invested. Selling off your stocks and moving to cash could set you up for shortfalls, or worse—a situation where you outlive your savings. Smith at Cerulli says to have a cushion of one to five years of expenses in a low volatility vehicle, such as fixed income, high yield savings accounts, or certificates of deposit (CDs). That will give you a buffer if volatility continues, or for the next time the markets go south. 'Don't forget about Social Security, pensions, annuities and other sources outside of your retirement accounts,' says Michael Liersch, head of Wells Fargo Advice and Planning. Relying on those sources of income while the stock markets are tanking will give you time for your 401(k) investments to recover, especially if you need distributions beyond Required Minimum Distributions or RMDs. With the markets down, it may be a good idea to see if there is an opportunity to make some changes in your spending patterns, so as to avoid selling holdings in your 401(k). 'Time in the market is people's friend,' even in retirement, says Liersch. ©2025 The Kiplinger Washington Editors, Inc. Distributed by Tribune Content Agency, LLC. The views and opinions expressed are those of the authors. They are meant for general informational purposes only and should not be construed or interpreted as a recommendation or solicitation. The Epoch Times does not provide investment, tax, legal, financial planning, estate planning, or any other personal finance advice. The Epoch Times holds no liability for the accuracy or timeliness of the information provided.
Epoch Times
07-05-2025
- General
- Epoch Times
Reasons to Disinherit Someone and How to Do It
By Donna LeValley From Kiplinger's Personal Finance What if you no longer want to include someone in your will? Well, how you choose to divide your estate is a personal decision and entirely up to you. There may come a time when you need to update and change the beneficiaries in your will because you no longer want to leave them a bequest or have them inherit anything from your estate. To show your intention to disinherit someone, there has to be actual language in the written will stating that this person is disinherited. No reasons have to be given, but the language that is used has to be clear and easy enough to understand to prove that this is in fact your intention. Those considering how to disinherit can use either a disinheritance clause or leave a bequest with a no contest clause to cut off any challenges from anyone dissatisfied with what was left to them. What Happens if You Die Without a Will If you die without a valid will, you die intestate, and your state's intestacy laws determine how your assets are distributed, typically to close relatives. Intestate succession laws would then dictate the order in which your assets are distributed to your heirs. The order of intestate succession begins with the decedent's immediate family and extends out to distant relatives. Close relatives like spouses, children, grandchildren, parents, and siblings are typically prioritized. Spouse, children, and grandchildren Parents and siblings Nieces and nephews Grandparents Aunts and uncles Cousins Do You Have to Disinherit All Possible Heirs? Fortunately, the law doesn't require you to name each and every blood heir that could possibly inherit under intestate succession. Laura Cowan, estate planning attorney and founder of 2-Hour Lifestyle Lawyer, says you need to be clear and plan for contingencies or what she calls 'the exploding Thanksgiving turkey.' This is a hypothetical example of what would happen to your estate if all of your heirs died simultaneously. She said you can make sure your money goes where you want it to by naming successors to stand in the place of your heirs, such as allowing your grandchildren to inherit in the place of your children if they should predecease you. This is called a per stirpes designation. Per Stirpes, a Latin phrase meaning 'per issue,' is a legal term that directs that each branch of the family inherits an equal share of the estate in accordance with the wishes of the testator (the person who created the will). As such, the beneficiary's share of the estate will be passed on to the beneficiary's heirs or descendants, even if the beneficiary should die before the testator. Related Stories 2/18/2025 1/22/2025 After exhausting your list of intended heirs and beneficiaries, you can name a charity or another entity to inherit your assets. This demonstrates your intentions and shows that you contemplated what would happen if your heirs/beneficiaries were deceased and where you want your assets to go. People You Can't Disinherit There are some people that you can't disinherit. You have a legal obligation to financially support your minor children and can't disinherit them. As long as your estate has assets, state law would dictate that those assets be used to pay for the care and maintenance of any minor children. And without a prenuptial or postnuptial agreement, you can't disinherit a spouse. Spouses are entitled to their 'elective share' regardless of the deceased spouse's wishes or what was in their will. If a spouse is overlooked or explicitly excluded, they can elect to receive their statutory percentage, typically 30 percent to 50 percent of the estate of the deceased spouse. The size of an elective share varies because it is based on state law. Reasons to Disinherit a Family Member 1) Divorce and Second Marriages Why? A change in marital status should prompt you to look over your estate documents. It's important to update your will after any divorce or remarriage; particularly if you have children from your prior relationship. Your new spouse will have statutory spousal inheritance rights, and depending on the state in which you are married, he or she might be entitled to at least half of your estate. If you have divorced, not updating your estate plan could mean your ex-spouse could still inherit directly from the will or as a designated beneficiary on one of your investment or retirement accounts. How? If you want to leave an equal share to all your children, it might mean your current spouse would receive less than what they are legally entitled to. This is a circumstance where you must put this in writing and get your spouse's consent. This can be achieved with a prenuptial agreement, postnuptial agreement or a separate legal document. 2) Troubled Offspring A parent can disinherit an adult child for just about any reason or even for no reason at all. Why? Sometimes, parents don't have a good relationship with a child. That can be enough. However, one of the most common reasons for disinheriting a child is when the child is erratic or has some specific problems they are dealing with. These could include addictions to alcohol or drugs. In these circumstances, parents may realize that any money, assets, or property left to the child may contribute to or exacerbate the problem. How? Simply leaving the name of your child out of your will is not enough to guarantee that he or she doesn't receive part of your estate. If you want to disinherit an adult child, you must include this explicit information in your will, making it clearly understood that the omission is intentional and not an oversight. Otherwise, a court might assume the exclusion in estate documents was unintentional and award an equal share to the adult child not named. 3) Child or Grandchild With Disabilities Who Is Receiving Benefits Why? There are situations where cutting someone out of your will is the best decision for your heir. If you have a child or grandchild who has disabilities it may make sense to legally disinherit them. The reason for this is benign; the income from your estate may disqualify them from accessing any government assistance they would otherwise be entitled to receive. Most federal, state or local disability benefits include guidelines regarding the amount of money a recipient can earn or type of property a person can own without having it impact their benefits. If you were to leave an inheritance directly to your child or grandchild, they may lose those benefits. That doesn't mean you can't still help them financially and make sure their needs are met. Cowan says the use of a special needs trust or supplemental needs trust would allow you to set aside money for their enjoyment and care without upending their eligibility for government programs and assistance. The trust is irrevocable and is managed by a trustee for the benefit of your heir. By not owning the assets, the trust beneficiary preserves your child/grandchild's eligibility for need-based government assistance programs. It is the best way to ensure your loved one's financial needs will be met, even after you are no longer able to care for them. How? The best option here is the disinheritance clause. Because you can still pass assets to your child/grandchild through a supplemental needs trust and any monetary bequest could disrupt their care plan. 4) Leaving Your Estate to Charity Why? You've decided to leave all or the majority of your estate to a charitable cause. There can be a variety of reasons for this, including the ones listed above. Regardless of the reason, you need to be explicit about your wishes to leave your estate to a charity and not any of your heirs. If you have already designated other beneficiaries to receive any portion of your estate, you will need to disinherit them or revoke your existing will so you can designate the charity of your choice. How? First you must determine your personal and financial goals in making a charitable gift to determine the best gifting strategy. These are three ways to pass assets to a charity: Will or trust. If you want to leave the charity property, be very clear about the name of the charity and include its taxpayer identification number (TIN). This will avoid a mix-up as many charities can have similar names. TIN numbers are usually available on their website. Designate it as a beneficiary. A charity or nonprofit can be the beneficiary on your investment accounts, or life insurance policies. Donor advised fund (DAF). You can contribute cash, securities, real estate or other assets to a DAF. A huge plus to tax planning is that the contributions are considered a gift to charity for tax purposes. ©2025 The Kiplinger Washington Editors, Inc. Distributed by Tribune Content Agency, LLC. The views and opinions expressed are those of the authors. They are meant for general informational purposes only and should not be construed or interpreted as a recommendation or solicitation. The Epoch Times does not provide investment, tax, legal, financial planning, estate planning, or any other personal finance advice. The Epoch Times holds no liability for the accuracy or timeliness of the information provided.
