Personal Finance: Ask the Experts

Here's a money-management milestone: Mint.com, the personal finance website, announced this week it's landed 10 million users. Once a tiny startup that was purchased by Intuit in 2009, the Mountain View-based website enables consumers to manage their finances online: setting budgets, tracking spending, charting financial goals, sending bill alerts, etc.

While it's not the only money-management site out there, Mint.com is probably the biggest and most widely known. And it's free. In past years, it's landed on Kiplinger personal finance magazine's "Best Of" lists.

Among other money-managing sites: MoneyStrands.com, Yodlee.com, as well as many banks and credit unions that offer their own online budgeting/savings tools.

Q: I have a revocable trust but do not know how to advise my trustees how to handle my trust after I am gone. Is there a list of where to start? The only option I know is to hire an attorney, which a trust is supposed to eliminate or at least reduce. --Gaylord, Placerville, CA

Q: I am recently divorced. My ex and I still own a house together, listed on the grant deed as community property with rights of survivorship. Is it necessary to change the deed and if so, how should we be listed? Thank you. -- Jim, Lincoln, CA

Q: I am writing for my Aunt A. My grandmother died in the 90's. She had a living trust that gave her house to her two daughters, Aunt A and Aunt B. Aunt A took care of my grandmother towards the end of her life, and the trust was changed to give her 3/4 interest in the house. Grandmother died in a nursing home, paid for by the county. Aunt A has lived in the house all these years, taking no action to close the trust or anything. She was afraid she couldn't afford to pay the attorney to do the administrative work required, afraid that the county would want some money for grandmother's care, and afraid Aunt B would find out she got more interest in the house. So she's done nothing at all. Aunt A is having health problems and needs to refinance the house for money to take care of her health and because the house is in disrepair.

Any information or advice you can give us would be greatly appreciated! --Joy, Sacramento, CA

Want to be an IRS tax preparer? The IRS is seeking volunteers to provide free tax help to seniors as well as taxpayers who are low-income, disabled or with limited English skills.

Calling it "people helping people," the IRS requires no previous experience. Volunteers will be trained and certified in how to prepare simple individual tax returns that can be filed electronically. Other volunteer jobs, such as greeters at tax centers, also are available.

"Yes, anyone can sign up. ...The only skill needed is the desire to help people in your community," said IRS spokesman Richard Panick in an email.

Good news for those who want to be an FBI special agent: Extending its deadline by another two weeks, the FBI is now accepting job applications until Friday, Aug. 31.

Specifically, the FBI is seeking candidates who are CPAs, Chinese-Mandarin speakers and those with computer skills in cyber-network administration.

As reported in my recent column on law enforcement jobs, the FBI is among the few law enforcement agencies currently hiring, at least in California. Nationally, it accepts only FBI special agent applications for two weeks twice a year - in March and August.

Applicants must be between 23 and 36 years old, with a four-year college degree and at least three years of full-time work experience. To apply, go to: www.fbijobs.gov.

Q: I own mineral rights to land in North Dakota and have been leasing those rights to oil and natural gas prospectors for approximately seven years. In February of this year I began receiving disbursement checks for the oil and gas recovered from two wells. I would like to know how this money is taxed by the federal and CA state governments. Thank you for your assistance. -- Wayne Karlstad, Elk Grove, CA

Q: How do i clam gambing loss for IRS and federal taxes? -- Rick, Fresno, CA

Q: My 94-year-old father now lives with my eldest sister and she is also the executrex/trustee of his $1.2 million estate which is in a trust. If Congress does not move to keep the current exemption level at $5 million, will he be taxed only on the amount over $1 million or the full amount? Second question: Is there any way to reduce the amount over $1 million? Third question: Can she/he gift each of us $13,000. Without paying gift taxes? Is that $13,000 for children only or is it OK to gift another $13,000 to my spouse? Please help. Thank you. -- Sherry, Rancho Murieta

Q: Sir, We are having a very difficult time trying to pay my taxes that we owe the IRS, currently at a total of approximately $12,888.00 for two years, 2010 and 2011. I have made arrangements with the IRS and am making a payment of $100 per month for a period six years for the first period, which owe I believe 2010 $4,200. The second period is 2011 and is owing at $8,600 and the IRS is asking for double the monthly payment for six years which we cannot afford. I have already used everything that I have available in paying off other bills. My wife has a 401(k) that she can take out $5,000 against this. Is there any way the IRS could possibly take this and call it even? Would they consider this as a settlement for back taxes? -- Dirk, Folsom, CA

Q: I own two investment properties with my dad in Sacramento. I live in Seattle and am thinking of purchasing a residence here, but have some questions on a 1031 Exchange:

Thanks for any assistance. -- Scott, Seattle, WA

"Q:" I will be getting around $80,000 in cash from the sale of a property. I have 13 years left on my mortgage, with $70,500 remaining in principal. The house desperately needs a new roof and a new driveway. If I pay off now, I will be saving $1,000 per month to use for the repairs. Should I invest the $80,000 or pay off the mortgage?
-- Zia, St. Peters, MO

Q: I'm retiring in 43 days, when I cash in my vacation time it will amount to close to $19,000. If I take the money (cashing out) it will be taxed about 40%. So need to know should I put the money in a 457K or a 401K? Not sure which is the better option or if there is a better option. Please advise, thank you.

-- Terry, Sacramento

"Q:" I have my 401(K) in an investment management company that has been wonderful through the recent financial crises. They have managed my funds well and diversified as the market fluctuated. I will be retiring in six months and will need to move my pension funds from my employer's account. As pleased as I am with my investment company I'm reluctant to put my pension in the same "bucket". Is it safe to do so or would it be better to put my pension into separate company altogether?

-- Jackie, Fair Oaks

I have a question about a 22-year-old recent college graduate who was fortunate to secure a job before graduation. Can you suggest a retirement investment? With the long investment horizon, I assume a Roth IRA would be best? Is there a particular product that allows monthly investments of $50 - $100 and has low fees? Do you have an opinion on ING Direct IRAs? Thank you!
MommaC - Roseville, CA

Q: I'd like to start a Roth IRA that is invested pretty conservatively, since I have other investments that are more aggressive and growth oriented. I've heard a lot about paying attention to expense ratios and management fees to ensure your money isn't eaten up by high fees. What is an average expense ratio or fee, and do you have any suggestions for finding a Roth to meet my needs? Denise - Elk Grove

Q: I am entering a graduate program not related to my current job. Are there any tax deductions or any write-offs for the large expense I will be incurring? Do you have any ideas on handling this large expense? There is money in my IRA plan from my retirement in 2008. Or should I get a student loan? Thanks -- Carrie, Orangevale

Column Extra: My Sunday column on "freshmen finances" covered money-management advice from college families and financial experts. Here are a couple more resources/suggestions:

Get campus help

Don't overlook campus financial aid offices, which have numerous resources for students. Hundreds of universities, including UC Davis and CSU Sacramento, offer their students free access to CashCourse.org, which has tips on budgets, saving money, even how to "eat cheap" in college.
Sac State's website also has "Financial Aid TV" videos on money basics.

Q: I am near the end of my unemployment benefits, including federal extensions and I am way past the cutoff for requesting approval for job training. I am still looking for a job while I am still eligible for benefits. If I don't get one by the time I reach the end of benefits, I am planning to go back to school. I would like to enroll in one or two courses now, rather than waiting. These classes, offered at the Placer School for Adults would be either online or night classes, and they would not interfere with looking for or accepting a job. However, they are not on the EDD list of approved job training providers. If I enroll before the end of my benefits, should I mark "yes" on the continued claim form where it asks about beginning any kind of school or training? If so, would I be approved to continue receiving benefits?
Thank you, Sally- Auburn, CA