When considering your giving options, have you thought about giving non-cash assets? Today I'd like to tell you about gifts of stocks and bonds.
Gifts of stocks and bonds offer many benefits. You can receive a charitable income tax deduction and avoid paying capital gains tax on the sale of appreciated stock.
These gifts can be made through electronic transfer or by certified mail. To learn more, visit our website, www.NazareneFoundation.org. You can also contact us at 913.577.2983or info@nazarenefoundation.org.
Blessings,
Kenneth R. Roney, J.D.
President
A successful business owner with a large estate passed away in 1976. He had grown up in Texas, moved to California and also lived for many years in Nevada. With a $2.5 billion estate, there were substantial federal and state taxes.
While the estate proceedings were held in Nevada, both California and Texas sued to collect state estate tax. The Nevada Court eventually determined that the domicile or personal residence of the businessman was in Nevada. This was quite important, because the 40 wills that had been submitted were all determined invalid under Nevada law. The estate was finally distributed to 22 cousins under the intestacy law of Nevada.
While this was an unusual case with a very large asset value, there are several reasons why you should understand the basic rules of domicile. Where you live can affect both the distribution of your estate assets and your estate taxes.
There are two basic words that are used in common language, but may have quite different legal meanings. You may be a resident of a given location, but you can only have one "domicile." Your domicile is your permanent place of residence. It is where you reside most of the year and where you intend to make your fixed and permanent home.
If you have homes in more than one state, then the question of domicile may become quite important. For example, if your will were declared invalid the laws of your state of permanent residence would determine who receives your property. These laws vary substantially from state to state, and they are quite likely to generate litigation by distant cousins and other family members. Some family members may receive more under the law of state A and some may receive more under the law of state B. This result will nearly always lead to litigation - with a potentially huge cost to your estate.
Old State Domicile
If you have homes or a residence in more than one state, you may decide for tax or other reasons to move to a new state. However, the auditors of the "old state" revenue department may seek to find reasons for you to pay estate tax to the old state.
There are several flags that state tax auditors will examine to try to show that you still are domiciled in the old state.
1. If you have retained your old home and it is more valuable than the new state home, that will be considered.
2. You spend a sizable period of time in the old home and employ domestic assistance there.
3. If you have a business and are actively involved in the business, that could show that you intend to stay in old state and are subject to taxes there.
4. If you spend the majority of your time (and most states count any part of a day as a day in the state), then you could be considered domiciled in old state.
5. If you have valuable art collections or other items of great personal importance and you keep them in old state, that is another potential tie.
6. If there are children, grandchildren, nieces or nephews or other relatives that you regularly visit in old state, that suggests intention to remain there.
While the question of domicile is a fact-based issue, any of these factors will be used by state tax auditors to try to collect estate tax from your executor. If you intend to change your domicile to a new state (perhaps a low-tax state), there are a number of steps that you should take.
How to Change Your Domicile
In order to change your domicile, there are 10 steps that will indicate you intend to be a permanent resident of your new state.
1. Sell your old home and buy a home in new state. This is a very clear indication that you plan to live there. You also should keep track of the time that you spend in old state. The majority of your time should be spent in new state. It is helpful if over 183 days per year are spent in new state.
2. Obtain your driver's license in new state. If necessary, attend training or education courses related to driving vehicles in new state.
3. Register all of your vehicles, such as your cars, boat or recreational vehicle in the new state.
4. File your final partial tax return in old state. After that, plan to file your income tax returns and pay state income taxes in new state. If the state does not have income tax but has an intangible property tax or other type of tax form, file and pay that tax.
5. Register to vote in the new state. Do not vote again at any time in old state.
6. Close your bank accounts in old state and open new bank accounts in new state.
7. Close your securities accounts in old state and open securities accounts with brokerage firms in new state.
8. Obtain medical advisors and financial advisors in new state. Transfer all of your medical records and financial records to the new advisors.
9. Purchase a cemetery plot or other burial location in new state.
10. Change your passport address or obtain a new passport with the address of your residence in new state.
New State Documents
Another important way to show that you are moving to a new state is to contact an estate planning attorney in the new state and obtain new documents. It is desirable to sign a new will, a living trust, adurable power of attorney for healthcare or advance directive and a HIPAA release. All of these documents will demonstrate that you now are intending to be a permanent resident of your new state.
If you take the 10 steps and complete your new documents, you can be quite confident that you now have changed your domicile to the new state. If you spend a considerable period of time or still have an active business interest in the old state, you should also make certain that you are keeping track of the exact number of days that you spend each year in the new state and the old state.
If you pass away with a substantial estate, your heirs will be pleased that you have documented your domicile. Please note that the exemptions for estate tax or inheritance tax may be much lower in many states than a future federal estate tax exemption. Therefore, even with a moderate estate, there may be incentive for the state tax auditors to want to collect tax from your estate. Taking these steps and keeping good records is a way of protecting your heirs from the state tax auditors.
Savvy Living
What products or solutions can you recommend to help seniors organize and manage their medications? My mom is supposed to take several different medications at different times of the day but frequently forgets.
Anyone who has juggled multiple medications has had a moment when they forgot to take a medication or could not remember whether they had already taken it. This is especially true for people who must take medications at varying times of the day. Here are some product and service solutions that may help.
Medication Helpers
Getting organized and being reminded are the two keys to staying on top of a medication schedule. To help your mom achieve this, there are a wide variety of affordable pillboxes, medication organizers, vibrating watches, beeping pill bottles and even dispensers that will talk to her that can make all the difference. To find these types of products go to Epill.com (800-549-0095) where you'll find dozens to choose from.
Also, check out Reminder Rosie (reminder-rosie.com, $130), a voice activated talking clock that tells you when to take your medicine and can be used for other reminders, too.
For a comprehensive medication management device, there's the MedMinder automatic pill dispenser. This is a computerized pillbox that will beep and flash when it's time for your mom to take her medication and will call her if she forgets. It will even alert her if she takes the wrong pills. This device can also be set up to call, email or text family members and caregivers letting you know if she misses a dose, takes the wrong medication or misses a refill. Available at MedMinder.com, or 888-633-6463, the MedMinder rents for $40 to $65 per month.
Medication Packaging
Another possible way to help simplify your mom's medication use is to get her prescriptions filled in single-dose packets that put all her medications (vitamins and over-the-counter drugs can be included too) together in neatly labeled packets organized by date and the time of day they should be taken. This does away with all the pill bottles and pill sorting. Some compounding pharmacies or independent drug stores offer single-dose packaging along with a number of online pharmacies like PillPack.com.
Reminding Services
Another simple solution that can help your mom stick to her medication schedule is to use a medication reminding service. These are services that will actually call, email or text your mother reminders of when it's time to take her medicine and when it's time to refill her prescriptions. Some even offer extra reminders like doctor and dentist appointments, wake-up calls and more.
Companies that offer such services are MyMedSchedule.com, which provides free medication reminders via text message or email. Their website can also help you make easy-to-read medication schedules that you can print out for your mom to follow. If your mom uses a smartphone or tablet, there are free medication reminding apps that can help, like MediSafe (medisafeproject.com) or MedCoach (greatcall.com).
If, however, your mom doesn't receive texts or use a smartphone, tablet or computer, OnTimeRx.com orSnoozester.com may be the answer. With starting prices ranging between $4 and $10 per month, these services will call your mom on her phone (they can send text messages and emails too) for all types of reminders including daily medications, monthly refills, doctor appointments, wake-up calls and other events.
If you're looking for extra help, Care Call Reassurance (call-reassurance.com, 602-265-5968 ext. 7) may be a better fit. In addition to the call reminders to your mom's phone, this service can be set up to contact a family member or designated caregiver if she fails to answer or acknowledge the call. This service runs between $15 and $20 per month.
Savvy Living is written by Jim Miller, a regular contributor to the NBC Today Show and author of "The Savvy Living” book. Any links in this article are offered as a service and there is no endorsement of any product. These articles are offered as a helpful and informative service to our friends and may not always reflect this organization’s official position on some topics. Jim invites you to send your senior questions to: Savvy Living, P.O. Box 5443, Norman, OK 73070.
Peace of Mind Gift Annuity
When Fred and Grace Bertolet retired after years in the ministry, they wanted to continue to support the Church. At the same time, they wanted to be faithful with what God had given them for their retirement.
After much research, they decided on a Charitable Gift Annuity.
This gift option allowed the Bertolets to:
enjoy the security of regular, guaranteed income, even if interest rates drop;
reduce their taxes;
provide for the ministry of the Church after their death.Fred and Grace were so pleased with the results of their first Charitable Gift Annuity that they established 10 more, with payout rates ranging from 7.7% to 11.0%. Even though Grace has since passed away, Fred will continue to receive income for the remainder of his life. With each annuity they were able to designate the ministries to receive funding after their deaths.
Charitable gift annuities have been a blessing to Fred and Grace Bertolet. They can be a blessing to you, too.
Washington News
IRS 'Courtesy Disconnect' Hearing
During the recent filing season for 2014 tax returns, IRS Commissioner John Koskinen reported a substantial reduction in IRS phone support.
Because of IRS staff reductions, many taxpayers were not able to have questions answered. If the anticipated waiting time was deemed too long by the IRS, there would be an automatic decision by the IRS phone system to terminate the call. The IRS term for hanging up on taxpayers is “courtesy disconnect.”
In comments about the IRS service for taxpayers, Commissioner Koskinen acknowledged that the taxpayer support level this year was “abysmal.”
At a hearing of the House Ways and Means Oversight Committee on April 22nd, Chairman Peter Roskam (R-IL) stated, “For filing season 2015, the IRS reported that only 54% of taxpayers who called the agency were able to talk to a live assister. By April, the IRS estimated that the telephone level of service was less than 40%. Keep in mind that the IRS goal for customer service is 80%.”
Roskam continued to outline some of the specifics of the taxpayer problems with the IRS. He commented, “Those who could get through at all had to wait an average of 34 minutes, over 15 minutes longer than last year. The number of abandoned calls increased by 1.3 million. The IRS also reported that as of April 8, the number of 'courtesy disconnects' – a nicer way to say the system automatically hangs up on you because the wait time would be too long – had reached 5 million.”
Chairman Roskam suggested that a main cause of the reduced service was a decision by the IRS to divert user fees away from phone support for taxpayers to other purposes. During the prior year, $183 million of user fees had been allocated to phone support. Chairman Koskinen reduced this number by 73% to $49 million of user fees allocated to taxpayer support this year.
Ranking Member John Lewis (D-GA) responded and defended the IRS performance. He attributed the failure to provide taxpayer service to the reduced budget for the IRS.
Lewis acknowledged, “Taxpayer service this filing season was terrible. This was not the fault of hardworking IRS employees. National Public Radio (NPR) recently ran a story called, 'IRS Budget Cuts Make for a Nightmarish Filing Season.' Taxpayers seeking assistance from the IRS waited in lines for hours. Only 4 in 10 taxpayers who called the agency were able to talk to a customer service representative.”
Chairman Koskinen noted that the filing season did go “relatively smoothly” with respect to the filing of returns and distribution of taxpayer refunds. However, he explained the failures by noting “Because of cuts to our budget, the agency was unable to provide adequate levels of taxpayer service, as I will explain in detail below. Thus, while I am pleased with the performance of IRS staff in very difficult circumstances, I am disappointed that because of budget cuts, taxpayers did not get the customer service experience they deserved.”
FINANCES
After much research, they decided on a Charitable Gift Annuity.
This gift option allowed the Bertolets to:
enjoy the security of regular, guaranteed income, even if interest rates drop;
reduce their taxes;
provide for the ministry of the Church after their death.Fred and Grace were so pleased with the results of their first Charitable Gift Annuity that they established 10 more, with payout rates ranging from 7.7% to 11.0%. Even though Grace has since passed away, Fred will continue to receive income for the remainder of his life. With each annuity they were able to designate the ministries to receive funding after their deaths.
Charitable gift annuities have been a blessing to Fred and Grace Bertolet. They can be a blessing to you, too.
Washington News
During the recent filing season for 2014 tax returns, IRS Commissioner John Koskinen reported a substantial reduction in IRS phone support.
Because of IRS staff reductions, many taxpayers were not able to have questions answered. If the anticipated waiting time was deemed too long by the IRS, there would be an automatic decision by the IRS phone system to terminate the call. The IRS term for hanging up on taxpayers is “courtesy disconnect.”
In comments about the IRS service for taxpayers, Commissioner Koskinen acknowledged that the taxpayer support level this year was “abysmal.”
At a hearing of the House Ways and Means Oversight Committee on April 22nd, Chairman Peter Roskam (R-IL) stated, “For filing season 2015, the IRS reported that only 54% of taxpayers who called the agency were able to talk to a live assister. By April, the IRS estimated that the telephone level of service was less than 40%. Keep in mind that the IRS goal for customer service is 80%.”
Roskam continued to outline some of the specifics of the taxpayer problems with the IRS. He commented, “Those who could get through at all had to wait an average of 34 minutes, over 15 minutes longer than last year. The number of abandoned calls increased by 1.3 million. The IRS also reported that as of April 8, the number of 'courtesy disconnects' – a nicer way to say the system automatically hangs up on you because the wait time would be too long – had reached 5 million.”
Chairman Roskam suggested that a main cause of the reduced service was a decision by the IRS to divert user fees away from phone support for taxpayers to other purposes. During the prior year, $183 million of user fees had been allocated to phone support. Chairman Koskinen reduced this number by 73% to $49 million of user fees allocated to taxpayer support this year.
Ranking Member John Lewis (D-GA) responded and defended the IRS performance. He attributed the failure to provide taxpayer service to the reduced budget for the IRS.
Lewis acknowledged, “Taxpayer service this filing season was terrible. This was not the fault of hardworking IRS employees. National Public Radio (NPR) recently ran a story called, 'IRS Budget Cuts Make for a Nightmarish Filing Season.' Taxpayers seeking assistance from the IRS waited in lines for hours. Only 4 in 10 taxpayers who called the agency were able to talk to a customer service representative.”
Chairman Koskinen noted that the filing season did go “relatively smoothly” with respect to the filing of returns and distribution of taxpayer refunds. However, he explained the failures by noting “Because of cuts to our budget, the agency was unable to provide adequate levels of taxpayer service, as I will explain in detail below. Thus, while I am pleased with the performance of IRS staff in very difficult circumstances, I am disappointed that because of budget cuts, taxpayers did not get the customer service experience they deserved.”
FINANCES
Stocks - GM's Earnings Disappoint
General Motors Co. (GM) announced its quarterly results on Thursday, April 23. Investor's high hopes for the quarter were dashed as GM's top and bottom line numbers were below expectations.
GM reported that revenue during the quarter decreased 4.5% to $35.7 billion. Analysts expected quarterly revenue to be higher at $36.46 billion.
"Our results in the first quarter provide a solid foundation to achieve our financial commitments for the year," said GM CEO Mary Barra. "Continued execution of our plan, including our capital allocation framework, will drive profitable growth, return on invested capital and shareholder value."
The company reported earnings per share of $0.56 after taking into account a net loss from special items of $0.30 per share. Analysts had expected earnings per share of $0.95.
GM has been on the comeback trail over the past few years. Unfortunately, GM's latest quarter indicates the company does not have an easy road ahead. While the company is having success in North America and China, it is struggling to gain traction in the rest of the world. GM is experiencing significant trouble in Russia where it recorded a one-time loss this quarter of $400 million as it downsizes its business in the country. The company also saw its market share decrease from 11.1% to 11%. Following the earnings release, GM's share price fell 3%.
General Motors Co. (GM) shares ended the week at $35.59, down 3.7% for the week.
Amazon Feels Confident in Web Business
Amazon.com, Inc. (AMZN) announced its quarterly results on Thursday, April 23. The company's results were in-line with expectations and showed its web-services business continues to grow.
The company reported that net sales during the quarter increased 15% to $22.72 billion. During the same quarter last year net sales were $19.74 billion.
"Amazon Web Services is a $5 billion business and still growing fast — in fact it's accelerating," said Amazon founder and CEO Jeff Bezos. "Born a decade ago, AWS is a good example of how we approach ideas and risk-taking at Amazon. We strive to focus relentlessly on the customer, innovate rapidly, and drive operational excellence. We manage by two seemingly contradictory traits: impatience to deliver faster and a willingness to think long term. We are so grateful to our AWS customers and remain dedicated to inventing on their behalf."
Amazon recorded a net loss during the quarter of $57 million. This was a slight change from net income of $108 million during the comparable period last year.
Despite a small loss during the quarter, investors found much to like in Amazon's latest quarter. Both revenue and net earnings were in line with expectations. Investors were also pleased to see that Amazon Web Services (AWS) generated revenue of $1.57 billion during the quarter. AWS is Amazon's cloud-computing business and produces its largest profit margin. Though CEO Jeff Bezos said AWS is a $5 billion-a-year business, analysts believe that number could grow to $6 billion by the end of 2015. After the earnings release Amazon's share price increased 7.2%.
Amazon.com, Inc. (AMZN) shares ended the week at $445.10, up 17.6% for the week.
Hershey's Quarter Not So Sweet
The Hershey Company (HSY) announced its first quarter results on Thursday, April 23. The company reported sales and earnings that fell below pre-release estimates.
Hershey reported that net sales during the quarter increased 3.5% to $1.94 billion. Analysts had expected the company to report net sales of $1.96 billion.
"In the first quarter we made progress against the initiatives we outlined in January, particularly in our U.S. business where net sales and operating income were slightly ahead of expectations and market share increased 0.2 points," said Hershey Chairman, President and CEO John P. Bilbrey. "Additionally, we believe that select input cost strategies initiated in April will result in greater gross margin expansion than initially anticipated, putting us on track to deliver our earnings per share-diluted goals."
The company reported that net income during the quarter was $244.7 million or $1.10 per share. This was less than the comparable period last year and below expectations that earnings per share would be $1.15.
Hershey announced that quarterly results were impacted by a slowdown in the Chinese economy. Sales in China fell 47% during the quarter. The company also reduced its guidance for the rest of the year. The company now expects revenue to rise between 4.5% and 5.5%, down from 5.5% to 7.5%. Following the earnings release, Hershey's share price decreased 3.7%.
The Hershey Company (HSY) shares ended the week at $94.63, down 5.4% for the week.
The Dow started the week of 4/20 at 17,841 and closed at 18,080 on 4/24. The S&P 500 started the week at 2,084 and closed at 2,118. The NASDAQ started the week at 4,958 and closed at 5,092.
General Motors Co. (GM) announced its quarterly results on Thursday, April 23. Investor's high hopes for the quarter were dashed as GM's top and bottom line numbers were below expectations.
GM reported that revenue during the quarter decreased 4.5% to $35.7 billion. Analysts expected quarterly revenue to be higher at $36.46 billion.
"Our results in the first quarter provide a solid foundation to achieve our financial commitments for the year," said GM CEO Mary Barra. "Continued execution of our plan, including our capital allocation framework, will drive profitable growth, return on invested capital and shareholder value."
The company reported earnings per share of $0.56 after taking into account a net loss from special items of $0.30 per share. Analysts had expected earnings per share of $0.95.
GM has been on the comeback trail over the past few years. Unfortunately, GM's latest quarter indicates the company does not have an easy road ahead. While the company is having success in North America and China, it is struggling to gain traction in the rest of the world. GM is experiencing significant trouble in Russia where it recorded a one-time loss this quarter of $400 million as it downsizes its business in the country. The company also saw its market share decrease from 11.1% to 11%. Following the earnings release, GM's share price fell 3%.
General Motors Co. (GM) shares ended the week at $35.59, down 3.7% for the week.
Amazon Feels Confident in Web Business
Amazon.com, Inc. (AMZN) announced its quarterly results on Thursday, April 23. The company's results were in-line with expectations and showed its web-services business continues to grow.
The company reported that net sales during the quarter increased 15% to $22.72 billion. During the same quarter last year net sales were $19.74 billion.
"Amazon Web Services is a $5 billion business and still growing fast — in fact it's accelerating," said Amazon founder and CEO Jeff Bezos. "Born a decade ago, AWS is a good example of how we approach ideas and risk-taking at Amazon. We strive to focus relentlessly on the customer, innovate rapidly, and drive operational excellence. We manage by two seemingly contradictory traits: impatience to deliver faster and a willingness to think long term. We are so grateful to our AWS customers and remain dedicated to inventing on their behalf."
Amazon recorded a net loss during the quarter of $57 million. This was a slight change from net income of $108 million during the comparable period last year.
Despite a small loss during the quarter, investors found much to like in Amazon's latest quarter. Both revenue and net earnings were in line with expectations. Investors were also pleased to see that Amazon Web Services (AWS) generated revenue of $1.57 billion during the quarter. AWS is Amazon's cloud-computing business and produces its largest profit margin. Though CEO Jeff Bezos said AWS is a $5 billion-a-year business, analysts believe that number could grow to $6 billion by the end of 2015. After the earnings release Amazon's share price increased 7.2%.
Amazon.com, Inc. (AMZN) shares ended the week at $445.10, up 17.6% for the week.
Hershey's Quarter Not So Sweet
The Hershey Company (HSY) announced its first quarter results on Thursday, April 23. The company reported sales and earnings that fell below pre-release estimates.
Hershey reported that net sales during the quarter increased 3.5% to $1.94 billion. Analysts had expected the company to report net sales of $1.96 billion.
"In the first quarter we made progress against the initiatives we outlined in January, particularly in our U.S. business where net sales and operating income were slightly ahead of expectations and market share increased 0.2 points," said Hershey Chairman, President and CEO John P. Bilbrey. "Additionally, we believe that select input cost strategies initiated in April will result in greater gross margin expansion than initially anticipated, putting us on track to deliver our earnings per share-diluted goals."
The company reported that net income during the quarter was $244.7 million or $1.10 per share. This was less than the comparable period last year and below expectations that earnings per share would be $1.15.
Hershey announced that quarterly results were impacted by a slowdown in the Chinese economy. Sales in China fell 47% during the quarter. The company also reduced its guidance for the rest of the year. The company now expects revenue to rise between 4.5% and 5.5%, down from 5.5% to 7.5%. Following the earnings release, Hershey's share price decreased 3.7%.
The Hershey Company (HSY) shares ended the week at $94.63, down 5.4% for the week.
The Dow started the week of 4/20 at 17,841 and closed at 18,080 on 4/24. The S&P 500 started the week at 2,084 and closed at 2,118. The NASDAQ started the week at 4,958 and closed at 5,092.
Bonds - Treasury Prices End Week on Upswing
Treasury prices rose to end the week of April 20. The rise in prices was due in part to a report released on Friday, April 24 that showed purchases of long-lasting nondefense goods fell for the seventh consecutive month in March.
This week Treasury yields had been trending higher, which caused prices to fall. The closing yield for the 10-year Treasury note was 1.97% on Wednesday. By Thursday, the yield had fallen to 1.95%. During early Friday trading, the 10-year yield had fallen further to 1.93%.
A number of factors continue to keep U.S. Treasury prices high and yields low. The U.S. economy continues to search for sustained momentum. A report on orders for equipment and software showed purchases fell 0.5% in March. This was the seventh consecutive reported decrease.
The weak foreign bond market also continues to play a significant role in driving Treasury prices. Last week, the German 10-year bond produced a record-low yield of 0.047%, though it last reached 0.16%. Other European and Asian bonds continue to struggle as well, making Treasury bonds more attractive to foreign investors.
Still, weak economic activity at home and abroad is not the only factor driving Treasury yields. Investors continue to wait for concrete signs that the Federal Reserve plans to raise interest rates. The Federal Reserve's next policy-making committee is set for April 28-29.
Until investors get a better idea of what the Federal Reserve's plans are, the 10-year Treasury yield will probably continue to hover within a range of 1.8% to 2%. "The market remains unwilling to make bold bets on the direction of yields," said Gennadiy Goldberg, a U.S. strategist at TD Securities.
The 10-year Treasury note yield finished the week of 4/20 at 1.91% while the 30-year Treasury note yield finished the week at 2.61%.
Treasury prices rose to end the week of April 20. The rise in prices was due in part to a report released on Friday, April 24 that showed purchases of long-lasting nondefense goods fell for the seventh consecutive month in March.
This week Treasury yields had been trending higher, which caused prices to fall. The closing yield for the 10-year Treasury note was 1.97% on Wednesday. By Thursday, the yield had fallen to 1.95%. During early Friday trading, the 10-year yield had fallen further to 1.93%.
A number of factors continue to keep U.S. Treasury prices high and yields low. The U.S. economy continues to search for sustained momentum. A report on orders for equipment and software showed purchases fell 0.5% in March. This was the seventh consecutive reported decrease.
The weak foreign bond market also continues to play a significant role in driving Treasury prices. Last week, the German 10-year bond produced a record-low yield of 0.047%, though it last reached 0.16%. Other European and Asian bonds continue to struggle as well, making Treasury bonds more attractive to foreign investors.
Still, weak economic activity at home and abroad is not the only factor driving Treasury yields. Investors continue to wait for concrete signs that the Federal Reserve plans to raise interest rates. The Federal Reserve's next policy-making committee is set for April 28-29.
Until investors get a better idea of what the Federal Reserve's plans are, the 10-year Treasury yield will probably continue to hover within a range of 1.8% to 2%. "The market remains unwilling to make bold bets on the direction of yields," said Gennadiy Goldberg, a U.S. strategist at TD Securities.
The 10-year Treasury note yield finished the week of 4/20 at 1.91% while the 30-year Treasury note yield finished the week at 2.61%.
CDs and Mortgages - Interest Rates Trend Lower
Freddie Mac released the results of its latest Primary Mortgage Market Survey (PMMS) on Thursday, April 23. The results show mortgage rates trending lower this week as the spring homebuying season is in full swing.
The 30-year fixed rate mortgage averaged 3.65% this week. This was down from last week when it averaged 3.67%.
This week, the 15-year fixed rate mortgage averaged 2.92%. This number was down from last week when it averaged 2.94%.
"Mortgage rates fell slightly to 3.65% this week, positive news for potential homebuyers in the market this spring," said Len Kiefer, Deputy Chief Economist at Freddie Mac. "Purchase applications in 60 of the 100 markets that MiMi tracks are up from the same time last year, including 20 markets that are showing double-digit increases. Reinforcing this positive momentum, existing home sales surged 6.1% to a seasonally adjusted annual rate of 5.19 million units in March, the highest annual rate since September 2013. Housing inventory rose 5.3% to 2 million homes for sale, but unsold inventory was little changed at a 4.6 month supply."
The money market fund finished the week of 4/20 at 0.4%. The 1-year CD finished at 0.7%.
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Are you a Nazarene Legacy Partner (NLP)? The answer is “YES” if you have designated any gift to a Nazarene ministry in your will, bequest, or estate plan. This could be a tithe on your estate, an insurance beneficiary designation to your local church, college, global mission, or any other Nazarene ministry you support.
Send us your name and contact information by reply email and indicate “I am a Nazarene Legacy Partner” and we will add your name to our NLP honor roll. To model generosity inspires others to do the same. Thank you for your interest in gift planning. To access any of this updated financial and gift planning information, please select our website.
Global Church of the Nazarene Foundation
Freddie Mac released the results of its latest Primary Mortgage Market Survey (PMMS) on Thursday, April 23. The results show mortgage rates trending lower this week as the spring homebuying season is in full swing.
The 30-year fixed rate mortgage averaged 3.65% this week. This was down from last week when it averaged 3.67%.
This week, the 15-year fixed rate mortgage averaged 2.92%. This number was down from last week when it averaged 2.94%.
"Mortgage rates fell slightly to 3.65% this week, positive news for potential homebuyers in the market this spring," said Len Kiefer, Deputy Chief Economist at Freddie Mac. "Purchase applications in 60 of the 100 markets that MiMi tracks are up from the same time last year, including 20 markets that are showing double-digit increases. Reinforcing this positive momentum, existing home sales surged 6.1% to a seasonally adjusted annual rate of 5.19 million units in March, the highest annual rate since September 2013. Housing inventory rose 5.3% to 2 million homes for sale, but unsold inventory was little changed at a 4.6 month supply."
The money market fund finished the week of 4/20 at 0.4%. The 1-year CD finished at 0.7%.
_____________________________
Are you a Nazarene Legacy Partner (NLP)? The answer is “YES” if you have designated any gift to a Nazarene ministry in your will, bequest, or estate plan. This could be a tithe on your estate, an insurance beneficiary designation to your local church, college, global mission, or any other Nazarene ministry you support.
Send us your name and contact information by reply email and indicate “I am a Nazarene Legacy Partner” and we will add your name to our NLP honor roll. To model generosity inspires others to do the same. Thank you for your interest in gift planning. To access any of this updated financial and gift planning information, please select our website.
Global Church of the Nazarene Foundation
17001 Prairie Star Parkway, Suite 200
Lenexa, Kansas 66220 United States
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