Tag: HSA

April 19, 2021By Paula Pant

#312: Ask Paula – How Should I Invest $5,000 Per Month?

After paying basic living expenses and maxing out their 401k’s and Roth IRAs, Caroline and her partner have $4,000 – $5,000 left each month. Where should they put this money if their goal is to simply have their money work harder for them?

Sanjay is torn between selling his townhome or renting it out. The rental numbers don’t work on his 15-year mortgage — should he refinance to a 30-year mortgage instead?

“Olivia” has two unrelated questions: what are our thoughts on the housing market in relation to the moratoriums on mortgage payments and emergency bans on evictions? What will happen when they go away? Additionally, what tools, questions, or resources do we recommend to have a productive financial conversation with your partner?

Kyle wants to construct a portfolio with the highest Sharpe ratios and wants to know: would the risk parity model work? What are the downsides?

“Priyanka” wants to know: do you need to submit receipts for the HSA contributions you make?

G is curious: does the stimulus check received for their children count as earned income for the kids? If so, can they put it toward the Roth IRAs they opened for their children?

My friend and former financial planner, Joe Saul-Sehy, joins me as usual to tackle these questions. Enjoy!

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March 6, 2020By Paula Pant

#245: Ask Paula – I’m 24 and Won a $1 Million Settlement. How Should I Handle This Money?

Joe has a 24-year-old friend who won a $1 million settlement. How can she use this money to set herself up for financial independence?

Jay is 52 years old and wants to retire at 59.5. He began investing in individual stocks to achieve this goal, and has had excellent returns so far. Is this a sound plan for early retirement? Or should he work until age 62 for Social Security?

Steve is 54 years old. He plans to retire at 60, which is when he can collect 67 percent of his pension. A Vanguard advisor suggested that he direct some of his 403b contributions as Roth contributions, rather than pre-tax contributions. Should he act on this suggestion?

Brit wants to know: is it possible to invest in the S&P 500 Fossil Fuel Free Index through Vanguard?

Anonymous in New York City wants to invest their HSA contributions this year, but the expense ratios seem high. Can they move their HSA to a different provider? What fees are normal for HSAs?

My friend and former financial advisor, Joe Saul-Sehy, joins me on the show to answer these five questions. Enjoy!

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December 16, 2019By Paula Pant

#231: Ask Paula – How Can I Get My Spouse Interested in Frugality?

Avie is looking for help in deciding between two good options: paying off a rental property, or funding a retirement account. Which option should she go with?

Sofia’s parents have been living with her for the past few years, but her job is taking her out-of-state. How should she transition her home to a rental property for her parents?

Lisa has a question about HSAs: when do you actually fund your HSA account?

Jim grew up frugally and has no qualms with this lifestyle, but his wife doesn’t share his views. He’s curious about how he can bring her to the frugal side, and how he can approach opening her eyes to starting a business so that she can stay at home with their kids.

Candice asks: what are your thoughts on online real estate investment crowdfunding platforms?

Kristen has a mortgage on her primary residence and a rental property. They’re both at similar interest rates. Which one should she focus on paying off first?

I answer these questions in today’s episode of the show. Let’s dive in!

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March 4, 2019By Paula Pant

#181: Ask Paula – How Should I Plan a Mini-Retirement?

Imagine that you’re going to take a 6-month to 9-month mini-retirement. How should you plan? What should you do? Sure, you’ll need to have enough savings to cover your expenses. You might want to find some part-time work. You may need to sell off a few investment. And of course, you’ll need to think about health insurance.

But what else should you consider? And how will your first taste of voluntary unemployment impact your mental and emotional health?

Former financial planner Joe Saul-Sehy and I discuss this in today’s podcast episode.

We also answer a question from a New York-based father of two who’s trying to choose a health insurance plan.

We talk to a woman who wants to roll her six-figure SEP-IRA balance into a Roth IRA account.

We answer a question from a listener who’s moving back to Amsterdam with his wife and two children, and is wondering what to do with his 401k in the U.S.

And we answer a question from a man who’s wondering if he should invest in a taxable brokerage account, rather than focusing on so many tax-advantaged retirement accounts, so that he can more easily access this money before he turns 59 and a half.

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January 14, 2019By Paula Pant

#172: Ask Paula – Should I Buy a Nice Car or Save My Money?

Should a 25-year-old homeowner with healthy savings and no debt (other than his mortgage) upgrade his car? Should he make this choice if his current car is fine, and upgrading puts him into new debt?

Should a couple without access to an employer-sponsored retirement plan put their savings into a taxable account, or should they save for a downpayment on a rental property?

The market is fluctuating like mad; if someone has a lump-sum of cash, should they invest it now or should they slowly meter it in?

Should someone without an emergency fund enroll in an HSA-qualified health insurance plan? Or should they stick with a plan that has a smaller deductible?

How should a husband-and-wife team that’s self-employed and running a company together handle their health insurance?

Former financial planner Joe Saul-Sehy and I answer these five questions on today’s podcast. Enjoy!

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November 2, 2018By Paula Pant

#159: Ask Paula – I Have Three Kids and I’m Hoping for Financial Independence

Should a 36-year-old father of three invest primarily in Traditional or Roth retirement accounts? Should Rose, a grandmother of four, open a Vanguard account for each of her grandchildren?

Should Nancy, who lives overseas and is the sole breadwinner in her family, invest in a Traditional or Roth TSP?

Should Scott’s wife rollover her 403(b) from her former employer into an IRA?

Should Patrick, age 35, cancel his life insurance plan?

Former financial planner Joe Saul-Sehy and I answer these five questions in today’s episode.

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July 30, 2018By Paula Pant

#142: Ask Paula – How Can We Downsize from Two Incomes to One?

How can a family of four shift from earning two incomes to one, while still pursuing financial independence?

How would a 55-year-old couple with $2 million saved know if they’re ready to retire?

Can parents use leftover money in their 529 plan to help their daughter with her college loans?

If you start a job […]

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September 11, 2017By Paula Pant

#94: Ask Paula – The Early Retirement Episode

Early retirement? Yes please.

This week, I answer questions from the audience around early retirement planning, health savings and debt pay-off.

Question #1: How can I avoid early-withdrawal penalties?

Our first caller is Christianna, who asks two questions:

I’m interested in early retirement. How can I avoid early withdrawal penalties? How does early retirement impact the […]

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March 3, 2011Written By Paula Pant

One Type of Health Insurance to Avoid

Many people assume that if some health insurance is good, more health insurance is better. That’s not always true.

Sometimes, having a little LESS coverage is the smarter move.

To understand why, keep in mind that the purpose of health insurance is to safeguard you against risk. The purpose is NOT to pay your medical […]

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