Don't Force Mom Into a Reverse Mortgage
Putting undue pressure on a loved one is unethical, regardless of the merits of the case.
My brother is pressuring our mom to put a reverse mortgage on her paid-up home, to provide her with a monthly income to help with drug and home nursing costs. I think -- and I believe that Mom agrees -- that he and I can and should cover these expenses ourselves and keep her home equity intact. Mom's beneficiaries are my brother and me, our grandchildren, and a few charities. What do you think?
Putting undue pressure on Mom is unethical, regardless of the merits of the case, especially if your brother can afford to pay his share of her expenses. But maybe he feels he can't afford this. Is he willing to forgo his future share of Mom's home equity (and perhaps his children's share, too) in exchange for not contributing to her support now?
The three of you should meet with a lawyer and accountant and calmly examine your family resources and the pros and cons of various approaches to meeting Mom's needs.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Travel reimbursement
I am a consultant who recently landed a client in a city a day's drive from my own. The firm expects me to spend a few days there every week and has offered to pay me a flat $2,000 a month for travel and hotel expenses. I'm thinking that, instead of staying in a hotel, I'll buy a condo in that city and apply the travel reimbursement to my monthly mortgage. Does that sound okay to you?
Yes, but be sure to tell your client of your plan. You would not need lodging except for your relationship with the client, and your client shouldn't care how you spend a legitimate travel allowance. But the accounting for your condo costs and travel allowance -- what's considered a business expense and what's personal -- might be tricky, so be sure to consult a CPA.
To read more ethics advice from Knight Kiplinger, click here.
Have a money-and-ethics question you'd like answered in this column? Write to editor in chief Knight Kiplinger at ethics@kiplinger.com.
To continue reading this article
please register for free
This is different from signing in to your print subscription
Why am I seeing this? Find out more here
Knight came to Kiplinger in 1983, after 13 years in daily newspaper journalism, the last six as Washington bureau chief of the Ottaway Newspapers division of Dow Jones. A frequent speaker before business audiences, he has appeared on NPR, CNN, Fox and CNBC, among other networks. Knight contributes to the weekly Kiplinger Letter.
-
Stock Market Today: Stocks Sizzle Ahead of Apple Earnings, Jobs Report
The Nasdaq outperformed in a strong day for stocks thanks to Qualcomm's post-earnings pop.
By Karee Venema Published
-
Carvana Stock Surges on Surprise Profit
Carvana stock is rallying following a strong first-quarter earnings report. Here’s what you need to know.
By Joey Solitro Published
-
403(b) Contribution Limits for 2024
retirement plans Teachers and nonprofit workers can contribute more to a 403(b) retirement plan in 2024 than they could in 2023.
By Jackie Stewart Published
-
SEP IRA Contribution Limits for 2024
SEP IRA A good option for small business owners, SEP IRAs allow individual annual contributions of as much as $69,000 a year.
By Jackie Stewart Published
-
Roth IRA Contribution Limits for 2024
Roth IRAs Roth IRA contribution limits have gone up for 2024. Here's what you need to know.
By Jackie Stewart Published
-
SIMPLE IRA Contribution Limits for 2024
simple IRA The maximum amount workers at small businesses can contribute to a SIMPLE IRA increased by $500 for 2024.
By Jackie Stewart Published
-
457 Contribution Limits for 2024
retirement plans State and local government workers can contribute more to their 457 plans in 2024 than in 2023.
By Jackie Stewart Published
-
Roth 401(k) Contribution Limits for 2024
retirement plans The Roth 401(k) contribution limit for 2024 is increasing, and workers who are 50 and older can save even more.
By Jackie Stewart Published
-
Best Foreclosure Sites for Finding Properties
Making Your Money Last Wondering how to find foreclosed homes for sale for your next residence or to flip for a profit? These websites will guide you to foreclosures and real estate-owned properties to buy.
By Bob Niedt Last updated
-
Luxury Home Prices Rise as the Rich Dodge High Mortgage Rates
Luxury home prices rose 9% to the highest third-quarter level on record, Redfin reports, growing nearly three times faster than non-luxury prices.
By Kathryn Pomroy Published