suggestions for my risk-averse mom

[cute fuzzy bunny]

So this forms the "little old lady" corollary to the process of investing. If you're a little old lady, presume you're near death, plan accordingly, and towel snap anyone that suggests otherwise...

[Bikerdude]

Quote:

Originally Posted by cute fuzzy bunny So this forms the "little old lady" corollary to the process of investing. If you're a little old lady, presume you're near death, plan accordingly, and towel snap anyone that suggests otherwise...

Just make sure to stand sideways when she comes after you. Some of those "little old Ladies" have good aim..

[clifp]

Quote:

Originally Posted by Bikerdude OK, I'll admit maybe your stash is not THAT good. However, I think one has to determine the difference between "frail health" and just being “frail" but otherwise healthy. Ultimately that task is up to the relatives to determine. Based on the information provided in the original post, I stand by the CD ladder recommendation.

Are you kidding? We have Maui Wowi over here. A couple of my friends smoked a joint from their son's stash (a recent college grad who finally left the nest), and they said that pakalolo, was way more potent than it was in the old days, a few hits and they were both knocked out My stash of course is safely in the hands of others, until I have medical needs.

I don't disagree that a CD ladder is fine choice, but I don't think my suggestion of a conservative income fund is a bad one either.

[cute fuzzy bunny]

MJ is up to five times more potent now than it was in the 60's-80's.

[HFWR]

Quote:

Originally Posted by cute fuzzy bunny MJ is up to five times more potent now than it was in the 60's-80's.

BS...

[MasterBlaster]

Well you can't say with certainty, but here is but one example of someone who has been adversely influenced...

[old woman]

My mom is 80 and refuses to consider anything as risky as t-bills. She has about 200K and income including interest of about 30K. With no house payment and low income senior discount on property taxes she lives as well as she wants. She got a new car 3 years ago but should quit driving soon. Her hips hurt she doesn't feel up to going shopping or traveling. If she outlives her money I will give her some. I buy her things she wouldn't waste the money on like a LCD tv when her 19 inch or less old TV wouldn't pay DVDs so she has to use a tiny tv meaning two tvs next to each other. She didn't need a big tv but a 24 in LCD wasn't too big and she could toss the two old analog tvs. Her big financial treat is a new restaurant that has $9 taco salads that are huge, she has gone 3 times already.
Sometimes it isn't about the money, leave her alone to not worry and if she down to eating ramen remember grocery stores have gift certificates and mothers day, her birthday and Christmas are coming.

[Moemg]

My Mom is 91 and really conservative (CD's ) .I hope at that age (if I get to it ) I'm going to Vegas and putting a bundle on red .

[Independent]

I may have missed it, but I don't think anyone has said this:

If she's spending all the "interest", then she really is "spending principle".

Her principle is going down at the rate of inflation.

My mother was in a CD ladder after my dad died. She spent all the interest. Inflation ate up some of the principle (she outlived him by 20 years). Her real spending went down as her health declined. She never worried about the market. I think it worked out fine for her.

[haha]

Quote:

Originally Posted by Independent I may have missed it, but I don't think anyone has said this: If she's spending all the "interest", then she really is "spending principle". Her principle is going down at the rate of inflation.

Yeah, I think we are mostly aware of this also. But maybe better to "go down with inflation" than to go down in flames.

Ha