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Author: Vawn Himmelsbach

  • ‘Too old to be having these problems’: Cincinnati mom left ‘confused’ after partner walked out on her when they found out she was pregnant — so Dave Ramsey helped her build a ‘baby budget’

    ‘Too old to be having these problems’: Cincinnati mom left ‘confused’ after partner walked out on her when they found out she was pregnant — so Dave Ramsey helped her build a ‘baby budget’

    Johi called into the The Ramsey Show from Cincinnati, reeling from a week in which her boyfriend of 14 years deserted her — right after she discovered she was pregnant with their second child.

    “He was just not ready to take on that responsibility, so he left,” she said.

    They already have a 12-year-old child together.

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    “I feel like I’m too old to be having these problems,” Johi, 32, confessed.

    While she deals with the emotional fallout of her breakup and the prospect of being a single mom, Johi sought Dave Ramsey’s advice on her next steps financially.

    The good news is that she’s been using the debt snowball method to get her finances in order and only has one debt left: a $14,000 car loan.

    She was ready to “attack it” and pay $1,600 a month “to wipe it out by the end of this year.” But with a baby coming, she doesn’t know if that’s the best plan — especially now that she finds herself in the position of being a single mom.

    “Now I’m just confused on where to go from here,” she said.

    Preparing financially for a new baby

    After taxes, Johi makes about $4,500 a month, though a few months ago she started taking on side hustles so she now brings in about $5,500 a month. She’s not sure that’s sustainable as her pregnancy progresses.

    Normally Ramsey recommends paying off debts first. But with a baby on the way, he says to “stop your debt snowball and pile up cash” for a baby budget.

    “I want you to get the biggest possible pile of cash you can get between now and baby,” he told Johi. “Treat it like you’re paying off debt,”

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    With her side hustle, she could save about $3,000 a month for over five months. She may need to slow down her side hustle as she nears her delivery date, but could save $15,000.

    Fortunately, Johi has health insurance, though she’ll need to contact her provider to find out what her out-of-pocket costs will be for obstetric appointments, labor and delivery.

    Generally for someone with health insurance, those add up to $2,854 — including your health insurance deductible, copayments and coinsurance — according to the Peterson-KFF Health System Tracker..

    If Johi didn’t have health insurance, she’d be looking at $18,865 in out-of-pocket costs.

    Low-income single moms without health insurance can apply for Medicaid or CHIP (Children’s Health Insurance Program) to see if they’re eligible for free or low-cost health coverage. They may also qualify for certain subsidies or tax credits.

    What to do once baby has arrived

    If Johi does as Dave Ramsey advises, she could have up to $20,000 saved when she comes home with her new baby. That gives her options.

    Ramsey told her that if she doesn’t have other expenses, she could write a check for $14,000 and pay off her car.

    “You don’t really lose any ground on your get-out-of-debt plan,” he said.

    From there, she can restart her financial goals. Ramsey’s baby steps include building out an emergency fund, paying off all debt (except your mortgage) using the debt snowball method and investing 15% of your household income for retirement, among other things.

    Johi should also consider contacting her state’s child support agency, which is responsible for child support enforcement. USA.gov offers resources to help.

    Child support could help Johi supplement her income if she’s unable to continue her side hustle in the latter part of her pregnancy or after she gives birth. And it holds her deadbeat partner accountable, Ramsey added.

    “Most states have a law that if you make a baby, you get to help pay for it,” he said.

    The level of child support depends on where you live, according to Custody X Change. The national average is $721 a month but can range from $402 to $1,187 a month.

    Judges can adjust the levels based on evidence, and sometimes parents agree on the amount of child support a partner will pay.

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • This Florida family was left with staggering $700,000 in flood damage after Costco fridge installation turned into nightmare — why ‘free’ service often costs far more than you think

    This Florida family was left with staggering $700,000 in flood damage after Costco fridge installation turned into nightmare — why ‘free’ service often costs far more than you think

    What should have been a straightforward home upgrade has turned into an ongoing nightmare for one family in Jacksonville, Florida.

    The problem started back in November, when Bradley Byrd purchased a $3,500 fridge from Costco. The fridge came with a free appliance installation service, but this “free” service didn’t exactly turn out to be without cost for Byrd: He’s now facing an estimated $700,000 in damages due to a faulty water line installation.

    And a satisfactory solution isn’t on the horizon. “They dropped the ball and are hoping that I foot the bill with my life savings for their bottom line,” Byrd told News4JAX.

    Months later, his family is living in a partially habitable home, without a fully functioning kitchen or bathroom. Many of their possessions were ruined, including furniture, electronics and musical instruments, while the rest is in storage (which he’s covering out of pocket).

    Now Byrd wants to warn other homeowners about the risks of free appliance installation services.

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    A fridge installation gone wrong

    Byrd’s new fridge was delivered on Dec. 2 and the installation appeared to go smoothly. But that didn’t last long.

    “When my daughter got home from school that day, she FaceTimes me and says, ‘Dad, the house is underwater,’” he told News4JAX.

    Byrd then discovered that Costco’s third-party installer had failed to properly install the water supply line. Rather than wrapping the extra line into a coil and taping it to the back of the fridge, they let the extra line run under the fridge — and under the wheels of the fridge — causing the line to crack and eventually burst.

    Byrd has video footage of himself wading barefoot through water and sloshing around on the floor of his home. Aside from ruining many of their possessions, the flooding also caused damage to the home’s structure. The family had to move out temporarily and live in an Airbnb — all right before Christmas.

    An air quality inspection revealed “significant moisture in two-thirds of the first floor of the home and an abundance of mold,” according to the News4JAX report.

    At the time of writing, Byrd was still seeking a resolution from Costco and the third-party installer. Meanwhile, he’s paying out of pocket to repair his home.

    “I have spent about $300,000 on repairs, mitigation, third-party charges for reports and testing and to get our belongings moved out and into storage,” Byrd told News4JAX. Public adjusters say the repairs will cost upwards of $700,000.

    However, the settlement offer he received was just $175,000. He hasn’t accepted the offer, so a lawsuit may be in the cards. He has since said, after his own investigation, that his fridge was installed by an “uninsured installer sent by Costco.”

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    The risks of ‘free’ appliance installation

    In some cases, ‘free’ might cost more than you think. Many retailers offer free installation services as an incentive. But these installation services may be outsourced to third-party contractors, so you should ask a few questions to ensure there are no hidden fees before proceeding with such services.

    For example, there may be a charge for hauling away and recycling your old appliance. If additional parts are required for installation, like hoses or adapters, those may cost extra. There may even be plumbing or electrical upgrades required — at a cost.

    And, like the Byrds, it could result in poor workmanship, property damage and limited accountability.

    Before scheduling an appointment, ask the third-party installer about removal and/or recycling fees, upcharges for custom fittings and any other additional charges that may apply. Also ask whether they’re licensed and insured. In some states, third-party installers are required to be licensed if they’re performing certain types of work (such as plumbing installations).

    Find out who is liable if things go wrong. Do they have liability insurance that covers damage caused by their negligence? How much liability coverage do they have? What is their process for handling claims? Who is responsible for repairs if damage occurs? It’s recommended to get this in writing. If they’re uninsured, they may not be willing or able to pay for damages.

    Also, understand your homeowner’s policy before having any work done on your home, even if it seems as minor as a fridge installation. Your policy may cover certain damages, but not others. And even if your insurer pays for damages, they may not pay for subsequent repairs.

    If damage does occur, document the damage with photos and videos — preferably time-stamped and contact the installation company and/or your insurance company. It’s advisable not to accept any settlement offers until after you’ve spoken with your insurer — and potentially a lawyer.

    If the damages are substantive — like Byrd’s fridge installation gone awry — you may want to consult with a lawyer who specializes in property damage claims, especially if multiple parties are involved and you’re unsure of who to file a claim against. You may even be able to file a claim directly with the installer’s insurance company, if you were able to obtain that information (again, you may want to enlist the help of a lawyer if this is the route you take).

    Costco did not respond to News4JAX for comment on Byrd’s installation issue and the third-party installer said it was Costco’s problem to solve. Unfortunately, this vacuum of accountability has left Byrd with the bulk of the burden — and the bills to fix the damages.

    What to read next

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    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • ‘Trash that is passed as news’: Donald Trump orders funding halt for ‘biased’ PBS, NPR — and even took a swipe at Sesame Street. How this could hurt communities across the US

    ‘Trash that is passed as news’: Donald Trump orders funding halt for ‘biased’ PBS, NPR — and even took a swipe at Sesame Street. How this could hurt communities across the US

    A new executive order signed by President Donald Trump calls for an immediate halt to federal funding of NPR and PBS, citing what he calls “biased and partisan news coverage.”

    A statement from the White House called the outlets “biased” with “trash that is passed as news.” The order directs the Corporation for Public Broadcasting (CPB) to immediately cease funding of the National Public Radio (NPR) and Public Broadcasting System (PBS).

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    The statement accused both organizations of receiving “tens of millions of dollars in taxpayer funds each year to spread radical, woke propaganda disguised as ‘news.’”

    Three CPB board members were removed from their role via email, with just two board members remaining. And that executive order has set the wheels in motion on litigation filed by NPR and three Colorado radio stations, who are now suing the president for violating First Amendment rights.

    Public broadcasting on the chopping block

    The Trump administration listed 24 examples of “biased” coverage, including the production of a film supporting reparations, failure to cover the Hunter Biden laptop story and the suggestion that crime fears are rooted in racism.

    Even beloved puppets weren’t spared.

    “PBS show Sesame Street partnered with CNN for a town hall aimed at presenting children with a one-sided narrative to ‘address racism’ amid the Black Lives Matter riots,” the statement said.

    Patricia Harrison, president and CEO of CPB, responded by saying the organization is not under the president’s authority

    “Congress directly authorized and funded CPB to be a private nonprofit corporation wholly independent of the federal government,” she said, adding that when it was created, it specifically prohibited any government agency or official from directing or controlling its operations.

    For the 2025 fiscal year, the CPB received $535 million in federal funding, with about 70% going to support local radio and TV stations.

    NPR says it receives about 1% of its funding directly from the federal government. Its 246 member institutions receive 8% to 10% of their funds from CPB. PBS and its stations receive about 15% of their revenues from CPB.

    “The appropriation for public broadcasting, including NPR and PBS, represents less than 0.0001% of the federal budget,” Katherine Maher, president and CEO of NPR, said in a statement.

    Maher said that NPR programming is essential to its 246 member organizations, which operate more than 1,300 stations. These stations generate on average 50% of all public radio listening, despite only accounting for roughly 25% of station programming.

    Further exacerbating the situation is Trump’s request of Congress to clawback an additional $1.1 billion it set aside for public broadcasters.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    The impact on smaller communities

    For many rural or remote communities, free public broadcasting is often the only source of news.

    In southwestern Colorado, for example, many communities are considered “news deserts,” meaning they rely heavily on public broadcasting. According to 9News, the local affiliate KSUT in Ignacio would lose about 19% of its budget, or $333,000, while Colorado Public Radio would lose about 7% or $1.5 million.

    Shari Lamki, president and general manager of Pioneer PBS in Granite Falls, Washington, told The Journal the funding — which makes up about 29% of the station’s annual budget — is “irreplaceable.”

    In addition to local and national news, local stations provide public safety information and emergency alerts.

    “I have no doubt that the loss of this critical funding would impact this region and the safety of our citizens,” Lamki said.

    Aside from the inevitable job losses, the disappearance of strong local stations could diminish civic pride, education and cultural connection — all key to neighborhood stability and desirability. Rural and remote communities would be hit hardest.

    Funding cuts “would devastate the public safety, educational and local service missions of public media,” Kate Riley, president and CEO of America’s Public Television Stations, said in a statement. She added that more than 160 local TV stations — particularly those in rural areas — serve as a “lifeline in hundreds of communities where there is no other source of local media.”

    Cutting this content would also mean less access to free, educational programming like Sesame Street — especially for families who can’t afford paid alternatives. That includes more than 50% of American children who don’t attend preschool.

    PBS LearningMedia — a free resource developed by PBS and local stations — serve about 1.5 million educators, students and homeschoolers each month.

    “These are services that American families rely on every day,” Riley said. “In fact, according to a recent YouGov survey, 82% of voters — including 72% of Trump voters — said they valued PBS for its children’s programming and educational tools.”

    According to a Pew Research Center survey, about 24% of U.S. adults say Congress should cut federal funding from NPR and PBS. But 43% say they should continue receiving government support.

    What to read next

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    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • ‘Fight these goobers’: Washington State man has debt collectors coming after him — but Dave Ramsey thinks negotiating with them should be at the bottom of his to-do list

    ‘Fight these goobers’: Washington State man has debt collectors coming after him — but Dave Ramsey thinks negotiating with them should be at the bottom of his to-do list

    Jordan from Spokane, Washington, has collection agencies coming after him, so he called into The Ramsey Show for help negotiating with debt collectors.

    In particular, a repo agent — also known as a repossession agent, who is employed by a collection agency to repossess property over a failure to make contractual payments — has been “coming at me hard.” Jordan said he has also gone into collections with some household bills.

    The repo man wants either $5,000 down with smaller monthly payments or a monthly payment of about $800 a month for a year and a half.

    “I’m the sole provider of a family of four and so that kind of makes it difficult,” Jordan told Dave Ramsey during the episode.

    Jordan makes about $92,000 a year working in construction. He got behind with his payments when he switched jobs, but ultimately said, “I can make excuses all day but really just being irresponsible with my money.”

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    When you’re overdue with a bill — anything from a phone bill to a car loan to a medical bill — your account could be sent to collection after about three months. Companies may sell your debt to a collection agency and they employ agents who may use fear-based tactics to get you to pay up.

    But, what happens if you don’t have the money to pay up?

    Ramsey’s rules for getting out of debt

    Negotiating with debt collectors is way down on Ramsey’s list of priorities for Jordan. Instead, he advises him to start by making a list of everything in his budget. “We’re going to get extremely detailed, extremely organized,” Ramsey said.

    From there, he recommends Jordan follow what Ramsey calls the Four Walls: food, utilities, shelter and transportation.

    “Food is first before you buy anything else,” Ramsey said. That means buying food so your family can eat — before dealing with the repo agent. “He’s way down on my list of things to worry about for you.”

    Buying food means buying groceries, not eating out. “No food at restaurants when you’re in collections,” he said. “You’re broke, you don’t get to go to a restaurant — a restaurant is a luxury.”

    Second is taking care of utilities, such as water and electricity. That’s second only to food. Since Jordan is behind on some payments, Ramsey says he should “catch it up in the next check before you do anything else other than food.”

    Third is covering your rent or mortgage. Jordan’s mortgage is $1,655 a month and is currently in a trial repayment plan, which means he has three months to get caught up. “Until you do that, I don’t care if repo man ever gets another dime,” Ramsey said.

    Fourth is ensuring you have transportation to get to and from work so you can continue to make a living. Whatever is left over can be used to pay down the debt.

    This “emotionally sets the table for you to fight these goobers,” Ramsey said.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Dealing with debt collectors

    Jordan’s first job, Ramsay said, is to take care of his own household because “you’re not going to make it emotionally if you keep putting these idiots at the front of the line because they threaten you.”

    Ramsey says the repo agent’s job is to make you afraid because “that moves him to the front of the line.”

    “I want you angry — and afraid of nothing,” he said. ”Once you’ve got your family covered, then you can fight like a man.”

    If a repo agent is threatening to sue, Jordan can tell him he’ll have to file Chapter 7 bankruptcy, in which case the repo agent will get nothing — though Ramsey isn’t necessarily recommending that.

    Only once Jordan feels financially and emotionally stable, “then and only then do we negotiate with other collectors.” At that point, he can negotiate an offer. Ramsey says debt collectors will typically settle for a quarter on the dollar for a cash offer.

    “What you’re doing is you’re resetting the emotional table here to where we now know who’s in charge of your money and it’s you, not him,” he said, adding “these guys are specialists at emotional terrorism.”

    Know your rights

    Even if you owe money, you still have rights. The Federal Trade Commission’s Fair Debt Collection Practices Act (FDCPA) provides protections to consumers against unfair, deceptive or abusive debt collection practices.

    Understanding your rights — and what debt collectors are and aren’t allowed to do — can help you gain some control over the debt collection process.

    For example, debt collectors are allowed to contact you between the hours of 8 a.m. and 9 p.m. via text or email, even a direct message on social media. They can sue you for payment, try to charge you for old debts and charge interest.

    But debt collectors aren’t allowed to lie about how much you owe or try to deceive you about who they are. If they’re harassing you, you could get a lawyer to send a certified letter asking them to stop contacting you and report them to the Federal Trade Commission.

    If you owe money, you still have to pay back that money — but you should not be harassed or threatened during this process. And, you can refuse any offer a debt collector makes you. Once you negotiate a settlement that works for you, don’t hand over any money until you get the settlement offer in writing.

    What to read next

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    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • I’m 68 and retiring in June after 19 years at my company — should I give many months of notice or just 4-to-6 weeks to avoid a last-minute ‘grunt work’ dump?

    I’m 68 and retiring in June after 19 years at my company — should I give many months of notice or just 4-to-6 weeks to avoid a last-minute ‘grunt work’ dump?

    Mildred has worked as a manufacturing engineer at an auto parts company for the past 19 years.

    Over time, Mildred has become indispensable to her company. She possesses in-depth knowledge of several of the company’s manufacturing processes that few others have. She loves her job, her coworkers and her manager, but she’s worried about remaining healthy enough to travel in her golden years.

    So, at age 68, she’s decided to retire. And while she has a solid nest egg and a budget for retirement, she’s discovered there’s one thing she didn’t plan for: She’s not sure how much notice to give her employer.

    Mildred is concerned that if she announces her retirement too early, she’ll be given last-minute "grunt work" to take it off the plates of staff members adapting to new responsibilities while keeping her tied to the company for training purposes.

    Deciding when to let your employer know about your retirement plans can be a difficult decision, so let’s get into Mildred’s options.

    The pros and cons of giving advance notice

    According to several online resources, three-to-six months’ notice ahead of your retirement is still considered the standard, but your workplace and your position should be considered when making this decision.

    The good thing about giving advance notice is that it can benefit you just as much as it can your employer. For your employer, advance notice gives your company time to hire a replacement and manage the transition. It also gives you plenty of time to help with training the new hire and passing on any valuable knowledge you may have, which is another win for your employer.

    As for yourself, giving advance notice gives you plenty of time to get your personal finances in order while you mentally prepare for leaving the workforce. It also increases the chances of leaving your job on good terms, which could be important if you ever decide to go back to work after you retire.

    But there are drawbacks to giving advance notice ahead of your retirement. For example, you can find plenty of stories online where people describe the backlash they received at work when announcing their retirement, and no one wants to be harassed by their boss or their coworkers for three-to-six months before bowing out of the work force.

    There’s also the potential for the grunt work that Mildred was worried about. While most people who are ready to retire are happy to help train their replacement, no one wants to watch a disgruntled boss drop an influx of repetitious, boring assignments on their desk in retaliation.

    You could also potentially find yourself in a situation where your employer is pushing you out the door ahead of your planned retirement date, which could impact late contributions to your retirement savings.

    The case for giving less notice

    One thing Mildred is also worried about is that announcing her retirement could highlight her age and subject her to increased ageism during her remaining time at the company — and these concerns are justified.

    In a survey from 2023, 48% of Canadians admitted to have experienced ageism in either a workplace, public or healthcare setting, with a further 70% believing that ageism has increased since the pandemic. In another survey from Women of Influence, 80% of women reported facing ageism at work.

    The more time that Mildred gives to that period between announcing her retirement and actually retiring, the greater the chances that she could be subjected to unfair treatment in the workplace.

    It’s also worth considering the potential for Mildred to be pushed into retirement sooner than she had planned as a potential form of retaliation.

    So, let’s say Mildred were to give three months’ notice and she’s relying on that income for her retirement savings. Meanwhile, her employer is less than thrilled with Mildred’s announcement and decides to show her the door two months early. That means Mildred has just lost two months of income that she was depending on for her retirement.

    What should Mildred do?

    The type of position that you have will be an important factor in deciding how much notice to give. In Mildred’s case, she possesses sophisticated knowledge that will need to be passed on, so she likely needs to give a longer notice period in order to leave a good impression with her employer.

    However, if your role consists of rote, repetitive work that a new hire could quickly learn, four-to-six weeks’ notice may be adequate. If your retirement planning includes the income from your notice period, you may want to give shorter notice. As we discussed earlier, some employers may decide to let you go early once they’ve been informed of your retirement plans, and that could impact your retirement finances.

    It’s also worth considering your relationship with your boss. If you and your boss get along well, you may feel more comfortable giving more notice with the expectation that you won’t be prematurely let go.

    In Mildred’s case, she may want to give a slightly longer notice period than four-to-six weeks — given her importance to the company, her appreciation for her coworkers and a presumed intention to leave the company on good terms.

    A notice period of two-to-three months might be just right, as this gives her employer ample time to find a replacement while giving Mildred sufficient time to help with training the new hire. And since she loves her manager, she likely doesn’t need to worry about getting let go ahead of her retirement date, allowing her to collect two-to-three months’ of income before calling it a career.

    In this scenario, her employer has time to take advantage of Mildred’s extensive knowledge and training capabilities, while Mildred gets two-to-three months’ of income and ample time to mentally prepare for her retirement. Everybody wins!

    Sources

    1. Washington Post: Work Advice: How much notice should I give before retiring?, by Karla L. Miller (Nov 16, 2023)

    2. Reddit: Messed up by giving 6 months retirement notice

    3. Government of Canada: Consultations on the social and economic impacts of ageism in Canada: “What we heard” report (Dec 2023)

    4. Women of Influence: New survey reveals that almost 80 per cent of women face ageism in the workplace (Feb 26, 2024)

    This article I’m 68 and retiring in June after 19 years at my company — should I give many months of notice or just 4-to-6 weeks to avoid a last-minute ‘grunt work’ dump? originally appeared on Money.ca

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • ‘You can’t displace someone’: Denver couple taking developers, the city to court over alleged property encroachment — how these types of disputes cause more than just headaches for homeowners

    Jorge Cardenas and Griselda Barbosa Martinez from the West Colfax neighborhood of Denver have filed a 50-page lawsuit against the City of Denver, a property developer and a construction company, accusing them of violating the family’s rights and threatening their property, reports CBS News Colorado.

    The couple claims that, due to the construction next door, the alley beside their property was shifted closer to their home, which endangered a retaining wall and several mature trees. Yet, according to the lawsuit, neither the city nor the developers could define the boundary of the alley and no due process was followed.

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    “This is our home,” Barbosa Martinez told CBS News Colorado in Spanish.

    The couple have lived in the house for 20 years and have reconstructed it during that time. As new apartment and townhome developments rose around them, they’ve turned down multiple unsolicited offers from developers, including one for $180,000 in 2022, even though homes nearby were selling for more than half a million. Later that year, the construction started.

    When it did, “they received a letter on their door advising them that in another week, this construction company would be coming onto their property and knocking down all their trees and that the City of Denver had given authorization for it,” Anna Martinez, the couple’s attorney, told CBS News Colorado.

    “You could never go to your neighbor’s house and say, ‘Your trees are in my yard, so I’m chopping them down.’ But that’s essentially what the threat was,” she said, adding that the lawsuit is about basic rights, protecting the couple’s home and whether a private company can exercise city authority.

    “You can’t displace someone from their property. You can’t chop down their trees. You can’t trespass onto their land if you don’t know where the line is,” she said.

    The city and the developer declined to comment because of the ongoing litigation. The case is awaiting a decision by the courts as to whether it will proceed.

    What is a property encroachment?

    “Technically, any physical feature (from a building extension to landscaping) that crosses the legal boundary line is an encroachment if it’s on your property without your permission,” Alexei Morgado, CEO and founder of Lexawise Real Estate Exam Prep, told Realtor.com. These features can include such things as fences, tree limbs and structural overhangs.

    “Property encroachments, though they might sound like a minor concern, can significantly impact the value of your home,” Indianapolis law firm Katzman & Katzman, P.C. says in a blog.

    The firm explains that these encroachments can make your home harder to sell — appraisers might lower the value of the home, which can reduce the price you can sell it for. And the legal costs of fighting an encroachment “can eat into your home’s equity.”

    In most states, you’re required to disclose any encroachments to prospective buyers. If it’s unknown and discovered during the sales process, it may affect the buyer’s ability to get financing and could delay the sale. In the worst case, the neighbor could claim adverse possession, which would grant them title to the encroached area and reduce your property value.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    What to do if your property’s encroached

    If you suspect your neighbor’s property is encroaching on yours, the first thing to do is verify that this is, in fact, the case.

    “A homeowner who believes that a neighbor has erected a fence, shed, driveway or some other encroaching structure onto their property should first make sure they have a current survey,” Thomas Weiss, real estate litigation attorney at Vishnick McGovern Milizio LLP, told Realtor.com.

    If you got a deed or survey when you bought the home, you can check this. Or, you may be able to find information at the local land record office. However, you may need to commission a professional survey prepared by a licensed surveyor.

    Many encroachments are unintentional, so a good approach is to start with a calm, friendly conversation. If you’re unable to resolve the dispute, send a formal letter notifying the neighbor of the encroachment, providing details and demanding a remedy by a certain date.

    If this still doesn’t bring about a solution, then you may need to consider taking legal action. The laws vary by state so consult a lawyer who specializes in real estate law.

    Alternatively, you can allow the encroachment to remain through an easement agreement or a revocable license. An easement agreement is a legal agreement that will allow the neighbor to use the portion of your property that is being encroached for a specific purpose and period.

    A revocable license will allow your neighbor to keep the encroachment, but this permission can be revoked at any time. It differs from an easement because it’s much harder to revoke an easement.

    An easement or revocable license can still hurt your property value because it’s a hassle many buyers don’t want to deal with.

    However you choose to deal with an encroachment, it’s best to tackle it head-on — and as soon as possible — to save headaches and the potential loss of some of your property in the future.

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  • If you take CPP at age 60, you will lose 36% of your benefits — but here are 3 key instances when claiming early actually makes a lot of sense. How many apply to you?

    If you take CPP at age 60, you will lose 36% of your benefits — but here are 3 key instances when claiming early actually makes a lot of sense. How many apply to you?

    For every month you take your Canada Pension Plan retirement benefit early, you permanently lose 0.6%, reducing your monthly cheque up to 36% if you take it at age 60.

    On the other hand, for every month you wait after age 60, you increase your benefit amount by 0.7%. If you wait until age 70, this works out to an increase of 42%.

    According to figures from the Government of Canada, only 6% of new CPP recipients waited until 70 in 2023, while 29% opted to start their benefits at age 60.

    So why would anyone want to take it early? Here are three reasons why it would make sense to take a reduced benefit.

    1. You think you can make more by investing the money yourself

    While this isn’t impossible, you’ll need to beat an annual guaranteed increase of 7.2% per year until age 65, then 8.4% from there to age 70, plus increases to adjust for the cost of living.

    The average CPP payout in 2024 was $815 per month or $9,780 per year. With the help of tools like CIBC Investor’s Edge, you can invest that $815 per month and potentially grow your retirement fund even more until you’re ready to retire at 65 or 70 years old.

    CIBC Investor’s Edge offers a Stock Centre, ETF Centre and Fund Centre to help you dive deep into the underlying fundamentals of individual stocks or the management fees and holdings of specific mutual funds and exchange-traded funds. This allows you to tailor your investments for potentially higher returns based on your timeline, risk portfolio and long-term goals.

    Plus, you pay $0 account fees if you’re investing within an RRSP account with a balance of $25,000 or more, as well as a TFSA account with a balance of $10,000 or more.

    2. You’re retiring during a market selloff and you want to give your portfolio time to recover

    If you need immediate cash but want to hold off on withdrawing from your investments to give your portfolio time to recover, it might be a good idea to tap into CPP early.

    However, financial planners generally advise against taking CPP early for this reason. If you’re nearing retirement, a portion of your portfolio should be allocated to cash in order to meet your expenses, without needing to supplement your income with the CPP benefit.

    Consider creating a cash cushion of about a year’s worth of living expenses with a chequing or savings account that pays high interest.

    For example, the EQ Bank Personal Account offers the interest-earning potential of a high-interest savings account at a rate of 3.50% per dollar, while also having easy access to your money when you need it.

    Plus, you pay $0 account fees and the account requires no minimum balance.

    3. You have a low income and may qualify for the Guaranteed Income Supplement (GIS) in addition to OAS

    In this case, you might want to minimize your CPP payment to maximize your GIS.

    It’s a good idea to engage a financial advisor when using OAS or GIS reasons to determine when to take CPP, as these are complicated calculations that can have lifelong implications. An advisor will have software that can help model these decisions.

    Whether retirement is five, ten or 15 years away, it’s never too late to try to grow your retirement fund in an effort to reduce your reliance on GIS.

    Robo-advisor platforms like Wealthsimple make it easy for you to set up regular contributions and take advantage of the power of compounding — a strategy that many financial experts say is one of the most effective ways to save for retirement.

    Compound interest works by allowing your money to grow not just on your initial contribution, but on the accumulated interest as well, creating a snowball effect over time. You can start small and increase the amount you contribute as your salary grows. Your funds will be managed in a smart investment portfolio, so that you don’t have to keep track of market movements yourself. You’ll get a $25 bonus when you open your first Wealthsimple account and fund at least $1 within 30 days. T&Cs apply.

    Sources

    1. Canada.ca: CPP Retirement pension: How much you could receive

    2. Statistics Canada: Income Explorer, 2021 Census

    3. Canada.ca: Canada Pension Plan: Pensions and benefits monthly amounts

    4. Canada.ca: CPP Retirement pension: When to start your retirement pension

    5. Canada.ca: Canada Pension Plan (CPP) – Number of New Retirement Pension by Age, Gender and by Calendar Year – Canada Pension Plan (CPP) – Number of New Retirement Pension by Age, Gender and by Calendar Year

    6. Canada.ca: How we calculate your CPP payment

    7. Canada.ca: Old Age Security

    8. Canada.ca: Old Age Security: How much you could receive

    9. Canada.ca: Old Age Security pension recovery tax

    10. Canada.ca: Guaranteed Income Supplement

    11. CPPInvestments.com: Sustainability of the CPP

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • ‘Son, roll up your sleeves’: Dave Ramsey lays into ‘entitled’ man for questioning why to even invest if he might not live to enjoy his riches — but Ramsey says his mindset is the real problem

    ‘Son, roll up your sleeves’: Dave Ramsey lays into ‘entitled’ man for questioning why to even invest if he might not live to enjoy his riches — but Ramsey says his mindset is the real problem

    Sometimes you can get the best advice by poking the bear.

    One write-in guest on The Ramsey Show found out the hard way after trying to “make sense” of Dave Ramsey’s investment advice.

    “You keep saying to invest $100 a month beginning at age 30 and you’ll be worth $5 million at 70 years old,” wrote a man named Isaiah. “That’s the most ridiculous thing I’ve ever heard.”

    Isaiah pointed out that the life expectancy of a white American male is 72 years old, while for a Black male it’s 68; the average life expectancy of a white Canadian male is around 79 years old, per Canada Pension Plan, meaning “most people will never live to see $5 million.” He asked Ramsey to help him “make sense of this advice”.

    Ramsey, who called Isaiah “entitled” and “belligerent,” said the real issue is the idea “you’re supposed to get rich in 10 minutes”.

    Here’s why investing still makes sense — even if North America’s lifespan stats suggest many people won’t live long enough to enjoy all their savings.

    Crunching the numbers

    Ramsey admitted that Isaiah isn’t completely wrong about life expectancy, but said he was putting words in his mouth.

    “We have never said $100 a month from [ages] 30 to 70 is $5 million — it’s not,” Ramsey said, in a recent episode. “It’s $1,176,000, and that would be true of … any 40-year period of time you wanted to pick.”

    The life expectancy at birth of Canadians fell, from 81.6 years in 2021 to 81.3 years in 2022, according to Statistics Canada.

    Ramsey said that saving $100 a month was an example — the idea is to save something every month and start building a “money mindset.”

    What is a money mindset?

    A money mindset is “your unique set of beliefs and your attitude about money,” explained co-host Rachel Cruze in a blog for Ramsey Solutions.

    That mindset “drives the decisions you make about saving, spending and handling money” and “shapes the way you feel about debt.”

    Cruze pointed to a Ramsey Solutions study of more than 10,000 millionaires, which found that 97% believed they could become millionaires. “And having that mindset — not an inheritance, fancy education or wealthy parents — is exactly what caused them to succeed.”

    Some people have an “abundance mindset,” a belief that there are plenty of opportunities for everyone to grow wealth. Others have a “scarcity mindset,” the belief that resources are limited and wealth is hard to come by.

    An abundance mindset focuses on possibilities and potential. A scarcity mindset focuses on limitations and fear, which can lead to unhealthy financial behaviors, such as overspending or hoarding.

    Shifting your money mindset

    Changing your mindset is easier said than done. It often means identifying where your limiting beliefs come from — maybe your upbringing or past money mistakes. Then it takes time and self-reflection to overcome them.

    An abundance mindset means looking at how to build wealth over time. It’s not just about saving $100 a month — it’s about how you use that money, whether through growing assets, investing or developing passive income streams.

    “Millionaires focus on wealth creation, not just income generation,” wrote business strategist and CPA Melissa Houston in an article for Forbes. They “don’t chase quick wins or get-rich-quick schemes.”

    Instead, they build sustainable wealth “through investments that appreciate over time” and make sure their money works for them through stocks, real estate and scalable business models.

    They also invest in themselves, Houston added, whether that’s through personal or professional growth, finding a mentor or building a strong network.

    “They constantly improve their skills, stay ahead of trends and surround themselves with high-value connections,” Houston said.

    That doesn’t mean taking reckless risks — or avoiding risk altogether. It’s about educating yourself and learning how to take calculated, strategic financial risks. You can also start small by developing healthy habits. Create a budget, track your expenses and live below your means. Pay off high-interest debt or avoid it altogether.

    Set clear financial goals. Start with small, achievable ones — like saving a little each month — and build up as your confidence grows. You might even want to work with a financial advisor to create a long-term plan.

    “Son, roll up your sleeves, live on less than you make, get out of debt, deny yourself a little bit of pleasure,” Ramsey said, “because you’re acting like a four-year-old.”

    Sources

    1. Canada Pension Plan: What is the Life Expectancy In Canada? (March 14, 2023)

    2. YouTube: Why Should I Invest If I’m Just Going To Die? (Isaiah Steps In It) – Dave Ramsey Rant (April 21, 2025)

    3. Statistics Canada: Deaths-2022

    4. Ramsey Solutions: How to Change Your Money Mindset by Rachel Cruze (March 4, 2025)

    5. Forbes: The Millionaire Mindset Shift You Need To Make More Money In 2025 by Melissa Houston (Feb 2025)

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • Nearly 25% of Americans are ‘functionally unemployed’ — and that’s a big problem. Are you one of them?

    Nearly 25% of Americans are ‘functionally unemployed’ — and that’s a big problem. Are you one of them?

    A low unemployment rate typically signals that an economy is generally healthy. The unemployment rate in the U.S. remained near a 50-year-low in April 2025 at 4.2% — plus, American employers added 177,000 jobs in April despite the uncertainty of Trump’s tariffs and trade wars.

    This all sounds good, right? Not so fast.

    Don’t miss

    The “true” rate of unemployment in April, according to the Ludwig Institute for Shared Economic Prosperity (LISEP), was 24.3%, up 0.03% from the previous month. LISEP’s True Rate of Unemployment (TRU) includes the unemployed, as well as workers who are employed but still struggling.

    “We are facing a job market where nearly one-in-four workers are functionally unemployed, and current trends show little sign of improvement,” said LISEP Chair Gene Ludwig in a statement published on PR Newswire.

    “The harsh reality is that far too many Americans are still struggling to make ends meet, and absent an influx of dependable, good-paying jobs, the economic opportunity gap will widen.”

    That could help explain why, despite the supposedly healthy employment rate, consumer confidence in the American economy has been plunging.

    What is ‘functional unemployment’?

    So, why is there a 20-point difference between the LISEP and Bureau of Labor Statistics (BLS) unemployment numbers? The BLS collects a massive amount of data on unemployment, but some of that data is excluded from the official unemployment rate.

    For example, BLS found that 5.7 million people who aren’t employed do, in fact, want a job — but they weren’t counted as unemployed because “they were not actively looking for work during the four weeks preceding the survey or were unavailable to take a job,” according to BLS.

    LISEP uses data compiled by BLS, but instead of simply measuring unemployment, LISEP measures what it calls the “functionally unemployed.” This is defined as the portion of the U.S. labor force that “does not have a full-time job (35+ hours a week) but wants one, has no job, or does not earn a living wage, conservatively pegged at $25,000 annually before taxes.”

    Its metrics capture not only unemployed workers, but also those stuck in poverty-wage jobs and those working part-time but can’t get full-time work. LISEP’s measurements aim to include these functionally unemployed Americans to provide a more complete picture of unemployment across the country, including the nuances that other economic indicators miss.

    This, in turn, can help “provide policymakers and the public with a more transparent view of the economic situation of all Americans, particularly low- and middle-income households, compared with misleading headline statistics,” according to LISEP.

    “Amid an already uncertain economic outlook, the rise in functional unemployment is a concerning development,” Ludwig said. “This uncertainty comes at a price, and unfortunately, the low- and middle-income wage earners ultimately end up paying the bill.”

    Ludwig says the public would be “well served by a commitment from economic policymakers to adopt a stable course of action” based on real-world metrics.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    The gap between official and ‘real’ numbers

    LISEP uses two important differentiators in its metrics. First, to be considered fully employed, an individual must have a part-time job (with no desire to work full time, such as students) or have a full-time job working at least 35 hours per week.

    Second, the individual must earn at least $20,000 annually, adjusted for inflation and calculated in January 2020 dollars, as per the Department of Health and Human Services’ U.S. poverty guidelines.

    While “not technically false,” LISEP says the rate reported by the BLS is “deceiving,” considering the number of Americans in the workforce who are “employed on poverty-like wages” or “on a reduced workweek that they do not want.”

    “For example, it [BLS’ unemployment rate] counts you as employed if you’ve worked as little as one hour over the prior two weeks,” Ludwig told CBS MoneyWatch. “So you can be homeless and in a tent community and have worked one hour and be counted, irrespective of how poorly-paid that hour may be.”

    TRU also paints a bleak picture for certain demographics, with Hispanic and Black workers faring worse than white workers and women faring worse than men. For example, 27% of Black workers and about 28% of Hispanic workers are functionally unemployed compared to 23% of white workers.

    Every month since 1995, black Americans have had a “meaningfully higher” TRU than caucasian Americans, according to LISEP.

    The TRU numbers suggest the U.S. economy is much weaker than the BLS unemployment rate would have you believe — particularly for lower- and middle-income Americans — and that there’s a need for policy solutions that reflect this more nuanced reality.

    What to read next

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    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • I’m 68, survived a car crash and have relied on Medicaid for years. Now I’m inheriting $250K from a friend — but fear losing benefits. How can I protect the money, make sure my kids get it?

    Imagine this scenario: Two decades ago, Kristin was driving home from a friend’s house when she was struck by a drunk driver, who hit her car head-on. After surviving a coma and suffering a brain injury that made it impossible to work, she’s been on Medicaid ever since.

    While she has enough money to get by — she has no debt and owns her house — she doesn’t have much left over at the end of the month. That’s why, when she found out she had inherited $250,000 from her best friend, she was incredibly grateful. But also a little worried.

    Don’t miss

    A large lump sum of cash would bump Kristin over the income eligibility limit for Medicaid, so she could lose her benefits.

    She’s now worried about Medicaid’s five-year Look-Back Rule, a period during which Medicaid can evaluate a recipient’s financial history to ensure they’re not artificially reducing their net worth. If so, a penalty period would apply.

    Not only is Kristin worried about losing her Medicaid coverage, she’s also worried she might end up in violation of the Look-Back Rule and that a Medicaid lien would be placed on her property when she dies, so she wouldn’t be able to pass on her remaining assets to her children.

    Are her concerns valid or are there ways to make the windfall work more in her favor?

    Could an inheritance jeopardize Medicaid?

    The Affordable Care Act determines income eligibility for Medicaid based on Modified Adjusted Gross Income (MAGI). To receive Medicaid, you can’t exceed monthly income and asset limits, which differ by state. In most cases, a single senior applicant can’t exceed $2,901 a month in income, according to the American Council on Aging (ACOA).

    “In 2025, most states have an asset limit of $2,000 for an individual senior applicant and $3,000 for an elderly couple,” the ACOA writes. Some assets are exempt, such as the applicant’s house, vehicle and personal belongings. Each state sets its own rules around how IRAs, 401(k)s and pensions are accounted for, too.

    An inheritance would count as income in the month it’s received; in Kristin’s case, it would push her way over the income limit for Medicaid benefits.

    The first thing Kristin should do is report the inheritance to her state Medicaid agency.

    “Medicaid will view the inheritance either as income and/or assets, depending on when the inheritance was received and how long it has been since receipt,” the ACOA writes.

    But she should do it as soon as possible.

    “While a Medicaid beneficiary generally has 10 calendar days to report the receipt of an inheritance, this timeframe could be shorter or longer, depending on the state,” the ACOA says.

    If you don’t, and the inheritance disqualifies you from Medicaid, then you’d be responsible for reimbursing Medicaid for any benefits you received during that time.

    Each state has different rules, which can add to the confusion. A Medi-Cal recipient in California, for example, is allowed to gift an inheritance to a third party, so long as it’s done in the same month it’s received. The state also has no Look-Back Rule in place for assets transferred after Jan. 1, 2024.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Strategies that could help

    It’s possible to “spend down” your inheritance, too — so long as it doesn’t violate the Look-Back Rule.

    “If the money is spent in its entirety during the month of receipt and without violating Medicaid’s Look-Back Rule, one will be eligible for Medicaid again the following month,” according to the ACOA.

    That might mean paying off debt, paying for long-term care, making home modifications or renovations for accessibility purposes or buying assets that are exempt from the asset limit, such as clothing or home appliances. You could even pre-pay funeral expenses through an Irrevocable Funeral Trust.

    There are also strategies that may allow someone to benefit from an inheritance without losing Medicaid. These include:

    Pooled Special Needs Trusts (SNTs): To get around the Look-Back Rule, Kristin could transfer the inheritance into a Pooled Special Needs Trust (SNT), which is typically run by a charitable or philanthropic organization (there are several hundred to choose from in the U.S.). These transfers are exempt from the Look-Back Rule since they no longer count toward the recipient’s income or assets, according to the Brain Injury Association of America, but ensures they still have resources for long-term care.

    Medicaid-Compliant Annuities (MCAs): Buying an MCA means you give an insurance company a lump sum of cash, which is then converted into a steady income stream. When properly structured, it allows you to lower your countable assets so you don’t lose Medicaid benefits — but not all states treat annuities the same way.

    Medicaid Asset Protection Trusts (MAPTs): Sometimes called a Medicaid Planning Trust or Medicaid Trust, a MAPT protects a Medicaid recipient by putting their excess assets into a trust. The recipient names a trustee and beneficiary who will inherit those assets. Since the recipient who created the trust no longer owns those assets, it won’t count toward Medicaid’s asset limit.

    A MAPT can also be used to protect assets for a recipient’s children or other family members. For example, it can help to protect assets from Medicaid’s Estate Recovery, where the agency tries to reimburse the cost of the recipient’s care from their estate after they pass away.

    Before Kristin makes a decision, she may want to consult with an attorney. It’s worth looking for an attorney who is a member of the National Elder Law Foundation or the National Academy of Elder Law Attorneys and is familiar with the challenges that older adults can face.

    What to read next

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