My fiance and I are in our 30s and well on the path to FIRE. However, my soon to be mother-in-law has a talent for spending, is currently renting in a HCOL area, has some credit card debt (that we are trying to convince her to pay off) and has no retirement savings. Through some past loans made to friends she is living off some passive income ($5000/month) but I fear this is not set in legal writing. She does some freelance work, but does not have an employer or steady income. She is in her mid-50s and has a nest egg of about $250,000 in a taxable account (which we would like to convert to a tax-deferred account).
Interested to hear people's recommendations on what to do in this scenario as we will likely be on the hook for her long-term nursing care. Clearing her debts, maxing out a Roth IRA, and investing her existing money will likely get her in the $600k-$700k range by the time she is 65. Investing in long-term care insurance (even without unlimited benefits) seems prudent as well. Once those arrangements are made, maybe buying her a condo would be worthwhile? Her "rent" paid to us would then go towards her retirement and we would acquire a slowly paid off investment property. She could also move in with us although I don't think any party wants that option. Other suggestions?
Interested to hear people's recommendations on what to do in this scenario as we will likely be on the hook for her long-term nursing care. Clearing her debts, maxing out a Roth IRA, and investing her existing money will likely get her in the $600k-$700k range by the time she is 65. Investing in long-term care insurance (even without unlimited benefits) seems prudent as well. Once those arrangements are made, maybe buying her a condo would be worthwhile? Her "rent" paid to us would then go towards her retirement and we would acquire a slowly paid off investment property. She could also move in with us although I don't think any party wants that option. Other suggestions?
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