Planning on dropping Health Insurance. Change my mind.

[Travelover]

That is a "stepped up basis" to market value.

Yes, thanks, I couldn't think of the correct term, but bottom line that appreciation goes untaxed if it is left to the next generation.

 

[plowhog]

Can you elaborate on what happened? I pay my property taxes on an auto withdrawal.

At one property we had AT&T land line and DSL internet. I (foolishly) signed up for the convenience of AT&T autopay. Then they automatically deducted the monthly fee from my credit card.

After a while we did not need the landline, which was $50/mo. I canceled the landline, kept the DSL internet only. They kept billing the same amount. I tried to sign into my AT&T account-- it was deleted by them (they did not tell me) when I cancelled the landline. I called AT&T-- after hours on the phone they said I had to go to the AT&T store to sort it out. I went there-- their advice was to sign into my AT&T account. We tried that there-- which did not work since they had cancelled the login (without telling me.) Now I am 6 months into this, no end in sight.

I disputed the charge on my credit card. AT&T responded by doubling the amount they billed the next month. NOBODY at AT&T could even find my account since it represented only a deleted account number. Desparate, I reported the credit card stolen and asked that the card company send me a new card. They did-- with a new number-- and AT&T somehow kept billing me even though all that had changed. I am now into this 18 months.

I finally called again (probably the 10th time) and refused to get off the phone until it was fixed. It was nearly a 3 hour phone call. All seemed fine-- they fixed it, credited back the charges. A month later I received a notice from a collection company-- saying I owed AT&T a potful of money. I wrote a long letter, attached all copies, and then heard nothing for 4 months. Then a different collection company started chasing me.

I finally contacted a friend who works for AT&T. He got me the "back number" to a senior person at AT&T. One phone call, it all got fixed. Only took nearly two years.

Today, I use online banking, which I control. Nobody has permission to debit my bank account or credit card account. I manage who I send money to, and when.

 

[D2Cat]

Yes. That's why I asked in this thread a long time ago if the OP had ever done a net worth statement for himself.

The net worth statement will tell you exactly what you have at stake to lose.

Many, my guess is, do not do a net worth statement because the answer they come up with is not pleasing!! However, have you ever seen a class in HS or college teach anything about financial management? Once again, many would have to look up on the internet what it is and how to proceed.

I learned a real simple statement that you don't have to have a PHD to understand. When your outgo exceeds you income, you upkeep becomes your downfall!!

 

[MossRoad]

Many, my guess is, do not do a net worth statement because the answer they come up with is not pleasing!! However, have you ever seen a class in HS or college teach anything about financial management? Once again, many would have to look up on the internet what it is and how to proceed.

I learned a real simple statement that you don't have to have a PHD to understand. When your outgo exceeds you income, you upkeep becomes your downfall!!

Both of our kids were required to take a personal finance course in high school. :thumbsup:

 

[plowhog]

When your outgo exceeds you income, you ...

You can become very popular with the opposite ***, and lots of friends and hanger's-on. And when you run out of money, they scatter like cockroaches when the light is flipped on.

 

[MossRoad]

I use a program called "Mint" to keep track of our finances. It's free. You enter all of you accounts, investments, personal property, etc... and all of your debts. It keeps track of everything. You can't make changes to your finances through this program, you can only monitor it. I keep that app on my phone. It updates with my credit union, investment firm, etc... automatically. It gives you a net worth statement, shows spending by categories like food, entertainment, automobile, etc... tracks your income. It's a really handy app to see everything in one place. :thumbsup:

 

[buckeyefarmer]

I use a program called "Mint" to keep track of our finances. It's free. You enter all of you accounts, investments, personal property, etc... and all of your debts. It keeps track of everything. You can't make changes to your finances through this program, you can only monitor it. I keep that app on my phone. It updates with my credit union, investment firm, etc... automatically. It gives you a net worth statement, shows spending by categories like food, entertainment, automobile, etc... tracks your income. It's a really handy app to see everything in one place. :thumbsup:

Sounds neat, but dont think i want one program having access to all accounts, even if only monitoring.

 

[MossRoad]

Sounds neat, but dont think i want one program having access to all accounts, even if only monitoring.

It can't make any transactions, only reports. It's made by Intuit.

Mint: Money Manager, Personal Finance, and Budgeting

 

[goeduck]

Both of our kids were required to take a personal finance course in high school. :thumbsup:

That was probably the best course they could have taken in high school. Hopefully they absorbed it. And I sure hope the class did not teach how to obtain a credit card.
:shocked:

 

[MossRoad]

That was probably the best course they could have taken in high school. Hopefully they absorbed it. And I sure hope the class did not teach how to obtain a credit card.
:shocked:

No. You hope it DOES teach them how to obtain a debit/credit card and use it responsibly. Both of our kids have had debit/credit cards since age 16. Used as a debit card, it's just a plastic check book. You have to have the money in the account before you can spend it. Used as a credit card, you can get into trouble IF you don't have the means to pay it off at the end of the month. Great lessons. Low limits at first! :laughing:

 

[goeduck]

No. You hope it DOES teach them how to obtain a debit/credit card and use it responsibly. Both of our kids have had debit/credit cards since age 16. Used as a debit card, it's just a plastic check book. You have to have the money in the account before you can spend it. Used as a credit card, you can get into trouble IF you don't have the means to pay it off at the end of the month. Great lessons. Low limits at first!

First of all, debit and credit are two different things, I referred to credit cards. Maybe there is a hybrid out there but that is besides the point. I understand and use a debit card. I would never advise the use of a credit card other than for emergency use or savings on purchase. No one should use a credit card for the intended use that the CC companies have (piling up debt), I think we agree there. There are way, way more important financial strategies and mind sets that should be taught to kids in high school before opening a credit card. Debt should be reserved for owning a home, maybe starting a business, etc. Teach responsibility yes. Teach how to open a credit card, no. I do not have a credit card, the kids do not either and we are all well off with no debt.

 

[Travelover]

........ I would never advise the use of a credit card other than for emergency use or savings on purchase. .........

I think it depends on the restraint of the person using it. I use two credit cards for everything and get 2 to 5% back on every purchase, which counts up at the end of the year. I even have my utilities on autopay, on the 2% card. Credit cards give you leverage if a merchant tries to cheat you and liability is limited if the card is stolen or hacked. But I agree that, in the hands of a spendthrift, credit cards are the road to ruin.

 

[Pirate]

The cost of medical care is sick. We were in a bad wreck. Idiot rear ended us as we waited to make left turn. Wife was in hospital a while. Bill was 75K. I asked hospital to lower the bill down, they said they would not do it. Turned around as asked them to bill wife's medicare and coinsurance. They did, for the tune of 25K. Why can't they negotiate prices down for uninsured instead of demanding full price? The entire system sucks. Medical and nursing care are 2 areas that should not be for profit. Yes, I believe in universal medical coverage for all. Why should someone lose their home because their child needs medical care?

 

[ultrarunner]

Even those with Universal Care often pay EXTRA for additional coverage speaking from my experience in Europe...

Kind of like here... go to county hospital or private hospital?

 

[Jstpssng]

First of all, debit and credit are two different things, I referred to credit cards. Maybe there is a hybrid out there but that is besides the point. I understand and use a debit card. I would never advise the use of a credit card other than for emergency use or savings on purchase. No one should use a credit card for the intended use that the CC companies have (piling up debt), I think we agree there. There are way, way more important financial strategies and mind sets that should be taught to kids in high school before opening a credit card. Debt should be reserved for owning a home, maybe starting a business, etc. Teach responsibility yes. Teach how to open a credit card, no. I do not have a credit card, the kids do not either and we are all well off with no debt.

I don't and won't use my debit card for point of sale purchases for two reasons. It's tied into my checking account, which is where my paycheck is deposited. That also gives access to my savings account and line of credit; I stand to lose a lot of money if somebody gets hold of that card #.If somebody gets hold of your credit card and uses it fraudulently it's a lot easier to dispute it; plus it isn't money immediately out of your pocket. It's also a lot easier to get your money back if a merchant doesn't deliver as promised.
Twice last year I took advantage of this; the first time while on a trip to my parent's house somebody somehow got hold of my CC# and bought a $90 Macy's gift card. Two weeks later on the next trip to my parent's house I used my card at a car wash, only to find the machine was broken. The vendor didn't seem interested in talking to me, and if I had paid cash I would have been SOL. It was only a $5.00 charge, but that money is better in my pocket than theirs.

I use my Discover for gas and most of my other truck needs, and pay it off every month; doing that helps me track how much the truck is costing me to run.

 

[Fuddy1952]

I think it depends on the restraint of the person using it. I use two credit cards for everything and get 2 to 5% back on every purchase, which counts up at the end of the year. I even have my utilities on autopay, on the 2% card. Credit cards give you leverage if a merchant tries to cheat you and liability is limited if the card is stolen or hacked. But I agree that, in the hands of a spendthrift, credit cards are the road to ruin.

I'm with him. I use a card with 2% cash back all the time. Average about $3,000/ month on auto pay through bank. I've never paid a finance charge, late fee, interest, etc. $700+/ year bonus...it's cheaper than cash.
Sometimes 5% bonus for groceries or fuel.

 

[Travelover]

I'm with him. I use a card with 2% cash back all the time. Average about $3,000/ month on auto pay through bank. I've never paid a finance charge, late fee, interest, etc. $700+/ year bonus...it's cheaper than cash.
Sometimes 5% bonus for groceries or fuel.

Yea, and tax free so add on another 25%.

 

[MossRoad]

First of all, debit and credit are two different things, I referred to credit cards. Maybe there is a hybrid out there but that is besides the point. I understand and use a debit card. I would never advise the use of a credit card other than for emergency use or savings on purchase. No one should use a credit card for the intended use that the CC companies have (piling up debt), I think we agree there. There are way, way more important financial strategies and mind sets that should be taught to kids in high school before opening a credit card. Debt should be reserved for owning a home, maybe starting a business, etc. Teach responsibility yes. Teach how to open a credit card, no. I do not have a credit card, the kids do not either and we are all well off with no debt.

Well, we'll just have to disagree. My kids use their debit card and credit card responsibly and pay the credit card off each month. They reap the rewards and points, flyer miles, etc... It's all about common sense and responsibility and we're pretty happy with the way they handle their finances.

 

[buckeyefarmer]

I tell my kids NOT to pay with a debit card. I use credit for the protection it offers, and pay my balance every month.

 

[3Ts]

Bill was 75K. I asked hospital to lower the bill down, they said they would not do it. Turned around as asked them to bill wife's medicare and coinsurance. They did, for the tune of 25K. Why can't they negotiate prices down for uninsured instead of demanding full price? T

This is probably the best reason to have insurance. Those monthly premiums are going to be a lot less than the $50k negotiated price difference. I've noticed a big difference even in a routine doctor visit between what is billed and what is actually paid. I guess those without insurance are paying for all those indigent people that show up and can't pay their bill as was posted earlier.