3 Ways To Avoid Being Exploited As You Get Older

3 Ways To Avoid Being Exploited As You Get Older

‘They left us with nothing’: This elderly couple was evicted from their home of 20 years — after their son transferred ownership. 3 ways to avoid being exploited as you get older

Serah Louis   Sun, September 24, 2023

An elderly California couple was devastated when they were served an eviction notice in April for the home they’d been making regular payments on for two decades.

Ismael and Angelita Ramirez purchased their home back in 2003 with their son, who told them they didn’t need to include their name on the title.

"He told us they told him it wasn't necessary. And well, since we don't know English, that's where they lied to us," Ishmael told FOX26 News.

The eviction notice reportedly stated that the owner of the home was selling the property and the couple said they later learned their son had transferred the home to a woman who sent them the notice. Although the couple tried to get legal help, there wasn’t much the lawyer could do since the house wasn’t in their name.

“We thought, why did our boy do that to us if he knew the house was ours?" Ishmael said.

Elder financial abuse impacts millions of Americans

The Ramirezes were victims of elder abuse — which is far more common than you’d think.

In fact, the National Council on Aging reports up to five million older Americans are affected each year, while victims of financial abuse are estimated to lose at least $36.5 billion a year.

And in almost 60% of cases, the perpetrator is a family member — often the adult child or spouse of the victim.

The Ramirezes told FOX26 they’ve since been displaced and their Social Security income isn’t enough to buy a new home or even afford rent.

"They left us with nothing," Ismael said.

Their other son, Ismael Jr., created a GoFundMe fundraiser, which has already received more than 1,600 donations to help the couple.

Here are five ways to avoid being exploited as you get older, or to protect your aging parents from predators.

1. Appoint a power of attorney

A power of attorney (POA) allows an individual to act on your behalf in legal or business matters — and you can appoint this person while you’re in control of your mental faculties.

Appointing a financial POA allows someone to manage your financial affairs, like signing and mailing checks, filing tax returns and managing investments on your behalf. They can have specific and limited powers, or more broad capabilities.

But most importantly, be careful who you select to safeguard your finances, as the Ramirezes learned firsthand. You should only appoint someone you really trust — but you can tell your (trusted) friends and family about your POA so they can look out for you. You could also request that your agent report to another person so that they’re held accountable for any transactions they make on your behalf.

TO READ MORE: https://finance.yahoo.com/news/left-us-nothing-elderly-couple-100000273.html

How To Handle Cash Savings Of Deceased Parents

How To Handle Cash Savings Of Deceased Parents

Liz Weston   Sun, March 9, 2025  LA Times

Dear Liz: My mother passed away a little over a year ago, and my father about 18 months prior to her. I discovered that my parents saved up quite a lot of cash (in the six figures), and I'm afraid to deposit it without triggering the IRS.

My parents routinely saved anywhere from $5,000 to up to $20,000 per year for the last 30 years. I read my mom's handwriting on the envelopes with the dates. How can I deposit all this without triggering the IRS? Some of the bills are “vintage” so I will keep them to see if they're worth more than face value. I also thought about using it to buy real estate.

 Answer: You mention “triggering the IRS” as if your deposit might set off an explosion of audit notices and tax liens. In reality, you’re far more likely to cause yourself grief by trying to avoid IRS notice than you are by simply depositing the money.

Banks report large cash deposits — typically those of $10,000 or more — to the IRS as a way to combat money laundering. Anti-money-laundering rules also have been extended to real estate deals. Banks are looking for smaller deposits that could add up to more than $10,000, so don’t think spreading out the deposits will help you avoid scrutiny.

“Depositing the money all at once would probably arouse less suspicion with the bank than making a continuing series of deposits just under $10,000,” says Mark Luscombe, principal analyst for Wolters Kluwer Tax & Accounting.

Luscombe suggests retaining all those envelopes with your mother’s handwriting. If you are questioned by your bank or the IRS, the envelopes could help show your parents were gradually saving the money over time rather than engaging in some money-raising scheme on which taxes were never paid.

You didn’t mention if your parents had wills or other estate documents, or if there are other beneficiaries. Consult with an estate planning attorney to see if the cash needs to be deposited in the name of your mother’s estate.

TO READ MORRE:   https://www.yahoo.com/finance/news/handle-cash-savings-deceased-parents-100048077.html

7 Worst Mistakes Boomers Can Make With Money — and How To Avoid Them

7 Worst Mistakes Boomers Can Make With Money — and How To Avoid Them

Cindy Lamothe    Sun, March 9, 2025   GOBankingRates

Every generation comes with its own set of challenges and opportunities. For boomers, there are certain fumbles they can make with money that will significantly hinder their financial situation in retirement.

 “Boomers often face financial pitfalls that can jeopardize their retirement,” said Stewart Willis, President of Asset Preservation Wealth & Tax.

Below are some of the worst mistakes and how to avoid them.

 Putting All Investments Into Cryptocurrency

According to Melanie Musson, finance expert with Insurance Providers, some boomers make the mistake of putting all their investments into cryptocurrency.

“Crypto has had an impressive run. It could grow rapidly, or it could fizzle. It’s risky. High-risk investments have a place in a diversified portfolio, but they’re not where a boomer should allocate all their savings.”

She noted that boomers’ retirement finances don’t have time to bounce back from a major loss.

Instead of putting everything into crypto, she advised investing in a diversified portfolio favoring Are You Rich or Middle Class? 8 Ways To Tell That Go Beyond Your Paycheck options.

Racking Up Credit Card Debt

Another financial pitfall is racking up credit card debt.

“Credit card debt is expensive. Interest rates are ridiculously high. If you get into credit card debt, you’ll pay back far more than you borrowed, making your retirement savings disappear more quickly than you anticipated,” said Musson.’

TO READ MORE:  https://www.yahoo.com/finance/news/7-worst-mistakes-boomers-money-110043895.html

4 Subtle Signs Someone Is Fake Rich vs. Actually Rich

4 Subtle Signs Someone Is Fake Rich vs. Actually Rich

Cindy Lamothe  Fri, March 7, 2025  GOBankingRates

We all have that one friend who loves to draw attention to their wealth and their flashy lifestyle. “Have you checked out my Prada bag?” they’ll say, or, “I just had the most exquisite meal!”

These friends have perfectly curated Instagram feeds and highlight their luxury items like it’s their job. So, you think, they must be loaded, right? Not so fast, say money experts. Not all that glitters is gold.

 “I once advised a client who drove a flashy sports car and wore expensive watches yet struggled to qualify for a basic credit card,” said Abid Salahi, finance expert and co-founder of FinlyWealth. “Genuinely rich individuals often prioritize financial security over ostentatious displays of wealth.”

This stark contrast between outward appearance and financial reality is a common red flag for fake wealth. Understanding these nuances, Salahi explained, is crucial in today’s society, where social media often blurs the lines between perception and reality.

“True wealth is about financial security and freedom, not just the outward trappings of success,” added Salahi.

Keep reading for a look at more subtle signs that someone is faking their wealth.

Living Paycheck to Paycheck Despite High Income

According to Salahi, the distinctions between fake rich and actually rich individuals are often subtle but telling.

A key sign, he explained, is when someone is spending every dollar earned on maintaining appearances. On the other hand, truly wealthy people try to maintain a modest lifestyle relative to their income to avoid struggling with money.

“Warren Buffett, worth billions, still lives in the same house he bought in 1958 for $31,500,” added Salahi.

Excessive Brand Consciousness

Another sign?

“Constantly showcasing luxury brands, often with visible logos,” said Salahi. “Truly wealthy people tend to focus on building long-term value rather than short-term appearances.”

In other words: they focus on experiences over material possessions.

“The truly wealthy often value travel, education and personal growth more than accumulating luxury items.”

Lack of Financial Literacy

TO READ MORE: https://www.yahoo.com/finance/news/4-subtle-signs-someone-fake-160002739.html

7 Things Wealthy People Do With Their Money

7 Things Wealthy People Do With Their Money (That You Should Also Be Doing)

Jennifer Taylor  Sun, March 2, 2025  GOBankingRates

Wealthy people have a track record of making some pretty serious money moves. When you have that much wealth, a whole world of opportunities opens up for you. For the rest of us, these strategies can feel completely out of reach.

It’s true to an extent, but even the wealthy elite are following some core principles any of us can adopt. If you’re interested in growing your net worth, consider taking a page from their book. These are some tried and true things the super-rich do with their money that any of us can do.

They Live Within Their Means

Many people live a lifestyle that creates the illusion of wealth, without actually having the cash to back it up. But people who are truly wealthy know not to spend money they don’t have.

In fact, it’s common for people with serious wealth to live below their means. They often live in modest homes, drive practical cars and adhere to a strict budget. Their net worth might surprise many people, but this is exactly how they were able to build it.

Of course, this isn’t true across the board. Plenty of wealthy people do live lavishly, but we can all take some inspiration from those rich people known for living like average Joes.

They Secure Future Income

Wealthy people are almost always looking toward the future. Instant gratification usually comes at the expense of long-term stability, and they know this all too well.

That’s why the rich often focus on securing future income, and one good way to do this is with an annuity. Annuities are contracts between you and an insurance company that allow you to earn interest on a lump-sum investment.

Generally speaking, payouts can be offered for life or span a specific time period. This investment option is growing in popularity, and many issuers are currently offering high rates.

They Put Their Money To Work

TO READ MORE:  https://www.yahoo.com/finance/news/7-things-wealthy-elite-money-162850984.html

5 Things Wealthy Parents Teach Their Kids That the Middle Class Might Not

5 Things Wealthy Parents Teach Their Kids That the Middle Class Might Not

Dawn Allcot  Mon, Mar 3, 2025,

It’s often said, especially in the United States, that the rich get richer. It’s obviously easier to build wealth if you already have money to invest, a financial education and successful parents who can guide you.

For instance, Amazon may not exist today if Jeff Bezos’ parents’ had not shelled out close to $250,000 in start-up capital so he could launch the online bookstore in his garage, as widely reported by multiple sources. But it wasn’t just their cash that gave the young entrepreneur a leg up. In an article published by People, Bezos referred to his parents as “loving and supportive.”

Besides start-up capital and a safety net that enables people with more money to take bigger risks, what else do wealthy parents give their children that most middle-class parents don’t?

Real-Life Lessons on the Importance of Earning

While middle-class families may offer children an allowance to teach the basics of saving and compound interest, wealthy families emphasize the importance of earning.

“We don’t recommend that wealthy families just give an allowance — especially if the kids aren’t earning it in any way,” said Brian Weiner, founder of the Family Office Resource Group.

Taryn Pumphrey, president of Ledger Lift, agreed, describing how one local retail business owner she worked with involved her children in the family business.

“Rather than simply giving allowances, she tied their earnings to specific business tasks like inventory counting or organizing receipts, teaching both financial literacy and business operations simultaneously,” she said.

How To View Money as a Tool

Wealthy families often have neutral conversations about money, which can alleviate stress and help children view money as a tool, rather than the end goal.

TO READ MORE:  https://finance.yahoo.com/news/5-things-wealthy-parents-teach-190029751.html

9 Biggest Mistakes High Income/High Net Worth Millennials Make

9 Biggest Mistakes High Income/High Net Worth Millennials Make

Thomas Kopelman

We often associate wealth with financial expertise, but this could not be further from the truth. High net worth people are not immune to making mistakes. In fact, they make just as many mistakes, if not more than everyone else.  And the worst part about it is that these mistakes they make can be even more costly due to higher dollar amounts behind the mistakes.

Let me help you avoid this by walking you through 9 of the most common mistakes I see high net worth millennials make.

Note: Learn from these. You can easily avoid them!

1. Thinking Their Income Will Always Be There

This might apply towards people with high incomes more than people with high net worths. But regardless, this group of people are taking on a huge risk assuming that their income will always be there. There are 3 main ways income can be lost:

Loss of job – Plenty of high income folks get cut when businesses are not doing well. This is why diversifying, building up assets, having an emergency fund, etc. is crucial.

A disability putting you out of work – 1/4 millennials will have a disability that stops them from working. The stats are scary. Having disability insurance in place to protect your income can be crucial!

Business Failing – Many high net worth accumulators are business owners. This means most of their wealth is in the business and their income is tied to it. That concentration brings on a lot of risk. Managing this business well and diversifying as you earn is crucial to keep you on a good path. Do not just use your business as a piggy bank.

2. Making Their Finances Too Complex

This is something I see way too often, people start making good money and their wealth builds. And because of this, they think they need to start investing in anything and everything.

Anytime a friend or someone they know comes with a business idea, they get involved. And then all of the sudden their balance sheet is all over the place. They have little organization or coordination, and oftentimes even lack liquidity.

Be careful doing this! You do not need to invest in anything and everything. Oftentimes the best strategy is to keep things simple. You do not want to get burned.

3. Taking On Too Much Unneeded Risk

https://thomaskopelman.com/2023/08/9-biggest-mistakes-high-income-high-net-worth-millennials-make/?utm_source=apexmoney&utm_medium=dailynewsletter&utm_campaign=keep-it-simple

Get Ready to Pay

Get Ready to Pay for Paris Hilton’s New House [Podcast]

Notes From the Field by James Hickman  (Simon Black) January 14, 2025

In 1913, 24-year-old Charlie Chaplin arrived in Los Angeles, drawn by an offer from Keystone Film Company. Coming from a poverty-stricken childhood in London and a successful vaudeville career, Chaplin found in Los Angeles a place of limitless potential.

The city was largely undeveloped, surrounded by orange groves, open fields and dirt roads where coyotes still roamed. But it offered the perfect backdrop for the burgeoning film industry— mountains, oceans, deserts— and a chance to escape the constraints of traditional theater.

While San Francisco had flourished during the gold rush, Los Angeles was entering its own boom, fueled by filmmaking. Chaplin quickly became the silent era’s most famous actor, transforming the medium while the city grew into the heart of the movie industry.

Like Chaplin, Los Angeles embodied the spirit of creative freedom, shaping modern entertainment for a century.

The city, especially Hollywood, became synonymous with the film industry, and perhaps took that for granted.

Like California in general, LA assumed that however poorly it treated its residents, however burdensome the regulation, however high the taxes, people would still come flocking like there was gold in the hills.

If you ever wanted to be the author of your own decline, follow the example of California, and Los Angeles in particular.

Hollywood has chased away its own industry to burgeoning film locations like Georgia, New Mexico, and Toronto. Georgia especially is raking in the benefits from LA’s decline.

Los Angeles was a one industry town, and they chased it away.

They forced countless lockdowns on the city during COVID, even threatened to cut off water to those who dared to invite guests over. They declared themselves a sanctuary city against federal law, inviting illegals to enjoy a multitude of free benefits— then expected federal dollars to pay for it.

They cut police, and refused to enforce basic laws against things like shoplifting, or keep even serious criminals in prison. They destroyed education, from elementary to university.

And every business and individual is absolutely drowned in useless permitting.

Oh, and with all their idiotic spending priorities, somehow fire fighting, in an area prone to wildfires, seems to be the only thing they were unwilling to properly fund.

Who would want to continue doing business there? Or invest there? Or live there?

And tax revenue and talented workers are part of the exodus.

California ran things into the ground until they no long had money for basic services.

But hey, at least people can still get private insurance when the government fails them!

Oh wait, California has also run them out of town. Because of California’s regulatory burden many insurance companies no longer do business in the state. And that has left a number of people, including those whose homes have burned down, without insurance.

California has long relied on federal bailouts to fund all these idiotic policies. Their COVID lockdowns were paid for with federal tax dollars, and they’ve received bags of cash from the Biden administration to help pay for migrant care.

The damage from these fires could easily exceed $50 billion, and again, since they have chased away insurance companies, I have a funny feeling that California is going to have its hand out to the federal government once again to help people rebuild form a crisis that was not only preventable but a direct result of political incompetence.

Would you be surprised if the federal government came to their rescue, and US taxpayers ended up paying for poor Paris Hilton’s burned out mansion, because no one would give her insurance?

There used to be a saying, "As California goes, so goes the nation."

And to be frank, I think that’s right. The US itself has some deep challenges brought on by the last several years of horrific leadership and terrible priorities.

There is, starting next week, an opportunity to makes things right and get it back on track. And I am certainly rooting for them to pull it off.

If they don’t, we don’t have to wonder what the future of the US looks like— the whole world can see the failures of the left, in Los Angeles today, laid to waste.

And it is a snapshot of what might come if the incoming leadership isn’t able to right the ship.

Tune in to today’s podcast where we talk about this in greater depth, including at the end explaining our whole ethos on building a Plan B.

(For the audio-only version, check out our online post here.)

To your freedom,  James Hickman   Co-Founder, Schiff Sovereign LLC

https://www.schiffsovereign.com/trends/get-ready-to-pay-for-paris-hiltons-new-house-podcast-151973/

Warren Buffett’s Advice For Your Plan B

Warren Buffett’s Advice For Your Plan B

Notes From the Field By James Hickman (Simon Black)  February 24, 2025

On February 27, 2009 the global financial crisis had been raging for five long months.

Many of us remember it like it was yesterday. Entire economies were ravaged. Some of the world’s largest businesses failed. Others only survived thanks to unprecedented government bailouts. Unemployment surged. Countless people lost their homes.

It was brutal— the worst economic crisis almost everyone had ever experienced. But Warren Buffett, aged 78 years young at the time, was still a cheerleader for America despite all the darkness and gloom.

He wrote to the world in his annual letter, which was released that day:

“Amid this bad news, however, never forget that our country has faced far worse travails in the past. In the 20th Century alone, we dealt with two great wars (one of which we initially appeared to be losing); a dozen or so panics and recessions; virulent inflation that led to a 21 1/2 % prime rate in 1980; and the Great Depression of the 1930s, when unemployment ranged between 15% and 25% for many years. America has had no shortage of challenges.”

In short, he wrote, “America’s best days lie ahead.”

Powerful words at such a dark time. Yet optimism has been Buffett’s consistent tone for decades.

But this weekend his 2024 annual letter was released, and it has a significantly different tone, including some very thinly-veiled criticism that politicians need to spend taxpayer money wisely, and to “maintain a stable currency, [which] requires both wisdom and vigilance”.

It’s hard to argue with that point. We’ve obviously been writing about this for 15 years. And it’s nice to see someone in Buffett’s position finally acknowledge that politicians should spend money responsibly and not run multi-trillion dollar budget deficits.

As it stands today, the US national debt exceeds $36.2 trillion. And in the last fiscal year alone, the government spent $2.4 trillion more than it collected in tax revenue.

In fact according to the government’s own financial report, the single largest increase in cost was interest on the federal debt, which ballooned to more than $1.1 trillion— exceeding even military spending.

As we’ve written many times in the past, if this trend isn’t corrected very quickly, the consequences will likely result in extremely painful inflation.

Buffett acknowledges this when he writes, “Paper money can see its value evaporate if fiscal folly prevails. In some countries, this reckless practice has become habitual, and, in our country’s short history, the U.S. has come close to the edge.”

True statement. In fact the US is pretty close to the edge right now.

There is a very narrow window of opportunity for the government to cut the deficit, balance the budget, and restore confidence. And it’s obvious that some people are trying really hard to make this happen.

But there’s certainly no guarantee they’ll be successful... which is why it makes so much sense to have a Plan B.  Coincidentally, Buffett offers some advice on this front.

For starters, he suggests that a great business can be an excellent hedge against inflation, stating that they “will usually find a way to cope with monetary instability as long as their goods or services are desired by the country’s citizenry.”

I couldn’t agree more. We’ve been writing about this for a long time, in particular that real assets make sense because they are the most important, vital, critical resources in an economy.

In more difficult times, including during inflation, people tend to really prioritize how they spend their money. Recreation, luxuries, and frivolous purchases are curtailed. And essential staples like food, energy, healthcare, and other critical categories become the most important.

Businesses similarly cut back on expensive perks and wasteful moonshots and instead invest in productive technologies which enhance their bottom lines.

This aligns entirely with Buffett’s view that “desired” goods and services will still be successful. I would clarify further that “critical” and “essential” goods and services will be successful, especially if they can be exported abroad.

Speaking of looking abroad, Buffett also talks about Berkshire Hathaway’s growing holdings in Japan, under the headline, “Berkshire Increases Its Japanese Investments.”

In my view this is one of the most essential parts of a Plan B— international diversification.

If you live, work, invest and hold all of your savings and assets in the same country, this is the equivalent of putting all of your eggs in one basket. If something goes wrong in that single country, everything you’ve worked to achieve over your entire life can be put at risk.

It’s 2025, not the 15th century anymore. Today it’s easy to diversify around the world. Like Buffett, you can invest a portion of your savings abroad in different economies and currencies.

And money aside, you can also diversify many things in your personal life. You can have a second home abroad, a second residency, and a second passport. You can seek high quality inexpensive healthcare overseas. You can send your children abroad to university to receive a fantastic education at a fraction of the price.

International diversification is a very sensible strategy that rational people take very seriously.

And diversifying abroad doesn’t mean that someone is paranoid, pessimistic, or unpatriotic. I doubt Warren Buffett feels any shame or guilt for diversifying a portion of Berkshire Hathaway’s portfolio in the Japanese economy.

As a final point on the topic of investing Buffett writes that, “often, nothing looks compelling.”

By this he means that many times investments seem very expensive. This has been the case with a number of popular companies whose stock prices trade for outrageously high valuations.

For value investors like Buffett who want to buy “wonderful businesses at a fair price,” the best option is to sit patiently and wait for the right buying opportunity.

Yet “very infrequently”, he writes, “we find ourselves knee deep in opportunities.”

And it is in these moments that he becomes very greedy (his word, not mine) to scoop up high quality assets on the cheap.

We’ve been writing for quite some time that there is such an opportunity now.

Gold is presently hovering at an all time high, and there is scope for it to go much higher. If the current deficit trend in the United States continues, we could see $5,000+ gold over the next few years, due primarily to foreign central banks trading their dollars and Treasury bonds for gold.

Yet, despite gold being at an all-time high, there are extremely efficient, well-managed, profitable gold companies with pristine balance sheets whose shares are trading at laughably cheap valuations.

This mismatch doesn’t make any sense. And it absolutely will not last.

To your freedom,  James Hickman   Co-Founder, Schiff Sovereign LLC

https://www.schiffsovereign.com/trends/warren-buffetts-advice-for-your-plan-b-152129/

5 Bad Financial Habits Americans Don’t Realize Cost Them Thousands

5 Bad Financial Habits Americans Don’t Realize Cost Them Thousands

Emily Fowler  Mon, February 24, 2025 GOBankingRates

More Americans are focusing on their finances in 2025 than they have in the past 10 years, according to a recent study from Allianz Life. But while many plan to improve their financial stability, stress levels around finances are still high, with only 16% of people saying they’re less stressed than last year.

Here are five financial habits that could be contributing to those stress levels and costing thousands.

 Excessive Spending on Nonessentials

An occasional treat isn’t the problem. It’s the frequent, mindless purchases that add up. The study found 30% of Americans admit to spending too much on things they don’t need. Anything from online impulse buys to yet another unused subscription can snowball.

Take that coffee habit. Say you buy a $4.75 coffee every week day. That will cost over $1,000 a year. With coffee prices increasing after having just reached an all-time high, according to Business Insider, that habit could cost even more in 2025!

Neglecting Savings

A significant 28% of Americans save nothing, while 27% save less than they could, per Allianz. Without a habit of consistent saving, even a minor financial setback can lead to debt. And with 49% worrying about their income and retirement income, a lack of savings can be added stress.

Automating transfers to a savings account ensures money is set aside before it’s spent, and even starting with small, regular deposits builds up over time.

Carrying Credit Card Debt Too Long

High-interest debt is a financial sinkhole, yet 23% of Americans aren’t paying down debt fast enough, according to the study. Interest charges quickly inflate balances, making it harder to get ahead. The average credit card interest rate as of Feb. 17 was 28.7%, according to the Forbes Advisor weekly credit card rates report.

Making monthly payments of $200 on a credit card balance of $7,500 with a 28% interest rate (APR) would take nearly eight years to clear and mean more than $10,000 in interest paid.

TO READ MORE:  https://finance.yahoo.com/news/5-bad-financial-habits-americans-170051610.html