I don't think that snoony post was blaming the housing market on Pres. O. I think rather stating that when the two conditions are met, things will be different. 1) Change in political party. 2) Return of housing market I'm sure we can all agree that satisfying number 2 will change things ;) Farmhousegirl- Sorry you are dealing with red tape. Our land has a lot of erosion issues from nearby properties. We even have about 4 acres under a spillway easement from the neighboring pond....can't put any trees in it ;( And it has a LOT of road frontage we would love to block views from (over 400 feet!)

I will give your question a shot and I am sure others will also add their advice. On question 1 - I suspect that the fees charged to manage the 403B are less that those charged for the 401k Here is info from the IRS website on 403B plans "IRC 403(b) Plans Certain employers are allowed to have Internal Revenue Service (IRC) 403(b) Tax-Sheltered Annuity plans. You are allowed to have a 403(b) plan if you are: A public school, college or university, A church, A public hospital, or A charitable entity tax-exempt under section 501(c)(3) of the Code. Basically, 403(b) plans are similar to 401(k) plans maintained by for-profit entities. Just as with a 401(k) plan, a 403(b) plan lets employees defer some of their salary. In this case, their deferred money goes to a 403(b) plan sponsored by the employer. This deferred money generally does not get taxed by the federal government or by most state governments until distributed. This is just as it is with 401(k) plans." I assume that your husband's employer meets the requirements for establishing a 403B plan. On question 2 - You can roll the money into a traditional IRA without having any tax consequences. You need to set it up as a direct rollover - that is the company that holds the 401K transfers the money directly to the bank/investment company that will have your husband's IRA. You cannot roll the money into a Roth IRA. The money that is contributed to a ROTH IRA has already had the income taxes paid on it. The money in the 401k has not had any taxes paid on it. If the money goes into a traditional IRA, you need to establish a separate IRA for that money. If your husband ever goes to work with a company that has a 401K plan that allows rollovers into the plan and your husband chooses to roll this portion of his IRA into that new employer's plan, it must not be mingled with other retirement funds. Good luck.

Carol, I found your post a few weeks ago on a search. For some reason, I keep thinking about your questions and the advice you got, and I finally decided to log on and comment. Here are a few comments about your post: 1) You make a good point about being able to get better returns with mutual funds over a MM. 2-3% is very achievable. On the other hand, it is also quite possible to lose 2-3% - or more- with mutual funds. This is the trade-off between risk and reward that is inherent in investing. Typically fixed income investments, such as MM, T-bills, and government bonds are called "risk free" investments. Equities, such as stocks, and stock mutual funds are typically considered to be riskier. In general, the "riskier" the investment, the higher the rate of return. 2) You mentioned investing in a mutual fund. Another aspect of risk/reward is diversification. Again, in general funds that are spread among several different investments are at lower risk (Dont put all your eggs in one basket). Taking this a step further, risk is reduced more by making sure the different investments are sufficiently diverse. Some examples of diversity would be bonds vs. stocks, growth stocks vs. value stocks, US stocks vs. foreign stocks, etc. 3) Everybody has a different risk tolerance. Your husband seems to be very risk averse. You seem to be more risk tolerant. The level of risk is a personal decision that both of you must feel comfortable with. 4) I would like to suggest that you visit a website called www.ifa.com. This is a company of investment advisors that specialize in mutual funds by Dimensional Fund Advisors (DFA). IÂm not suggesting you use DFA at this time. What I am suggesting is that you and your husband take the risk survey that IFA has on their website. It is free, and you donÂt have to sign up or give them your E-mail address. The risk survey is about 20 questions. The results give you an idea where you are on the risk taking spectrum. Based on the results, IFA will suggest one of 20 different portfolios that fit in with your risk tolerance. Again, I wouldnÂt necessarily suggest those portfolios for you, but they will give you a general idea of the types of investments that would be consistent with the level of risk you and your husband would like to take. I may make a few people angry, but I need to comment about the advice you have been given: First, the good advice. 1) I agree with much of what jkom51 says in the first reply. Although you probably donÂt need a CFP, it wonÂt hurt as long as you can find a good one. 2) Chisue suggested treasuries and CDs. These can be good alternatives to MM, but you should research the advantages and differences. 3) Great advice f lphacat. American Funds are "load funds". That means when you buy them, a salesman gets a commission, usually about 5.25%. If you invest $400,000, you will LOSE $21,000 immediately. The big problem with this is that there are "no load" funds out there that will do just as good if not better, and you can get them for about $30 per fund. If you have 10 funds, that would be $300 verses $21,000. Too often an advisor who is recommending a load fund has his best interests at heart instead of yours. I wouldnÂt even consider load funds if I were you. 4) Alphacat also suggested DFA funds. He is correct; almost any DFA fund runs rings around American. They are all no load and have much lower annual fees as well. On a $400,000 investment, the difference in ER between DFA and American can run $4000 per year. With compounding, this is about $60,000 over 10 years that you are giving up. 5) The absolute best advice you got was f lphacat when he recommended you go to www.fundadvice.com. Go there and read every article, especially this one (sorry, I canÂt get the link to work, so I just copied the whole address) http://www.fundadvice.com/articles/buy-hold/the-ultimate-buy-and-hold-strategy.html. Paul Merriman gives great advice to folks. He is also a financial advisor who you might want to consider. I think he will work on a percentage of assets or I know he will give advice on a per hour basis (around $200/hr). This may be your best option. For about $400 you can get some really first rate advice on how best to invest. For disclosure purposes, I donÂt invest with Merriman, but I do read his site quite often. Also, for disclosure, all my IRA assets are invested in DFA funds. Now for the bad advice: 1) The average investor has absolutely no business investing in individual stocks. If you put your money in 10 mutual funds you are invested in 10,000 stocks. Now if one of your stocks goes bankrupt, would you rather lose $40,000 ($400,000/10 stocks) or $4 ($400,000/10,000 stocks). This goes back to diversification. You just canÂt minimize the risk enough with individual stocks. 2) DonÂt bother going to Morningstar.com, or Forbes, or Money . Frankly I consider most of what they put out to be financial ography. They are trying to entice and tempt you with the "hot" stock, the " " stock, the investment that will make you filthy rich. But if you go back and look at last yearÂs "hottie" chances are it is a dog this year. For now, read everything you can at fundadvice.com. Another good site is www.diehards.org. That is a forum primarily by index investors. Go there and post the same message you put on this web, and you will get some fantastic advice (much better than I can give you). Just a few more comments. 1) The best portfolio for you and your husband will probably be one that includes MM, bond funds, and stock funds. Again, your risk tolerance will determine the best portfolio for you. 2) One more article at fundadvice.com is this one. http://www.fundadvice.com/portfolio.html Merriman provides several suggested portfolios with different fund families such as Vanguard and Fidelity. Most of these funds are index funds. Some are managed funds, but all are no load with low fees. 3) Many people prefer index funds. These funds track an index such as the S&P 500 or others. They typically have lower fees than managed funds and studies show that managed fund usually underperform index funds over the long term. You can get a good explanation of this at fundadvice.com 4) You asked for a few good funds. Several are listed in the site referenced in #2 above. 5) Good luck with your investment . Jeff

"Gifted" in our school district (Capistrano Unified) is identified by placing at a 95th percentile or above on the Otis-Lennon test (an IQ-like test). Prior to that, in order to qualify to be nominated to take that test, he had to score at a 90th percentile or above on both reading and math on the CORE test (a standardized test the district gives to all students in addition to the SAT9). At the end of 5th grade, all of the students are given the Math Challenge Test (the placement test for 6th grade). Typically, about 80% are placed in 6th grade math, 20% are placed in pre-algebra (including ALL of the GATE students, such as my son), and 1% are placed in 7th grade algebra. The pre-algebra class is the 7th grade curriculum but the classes are all 6th graders so he will always be with his peers. I also want to say that he had 6th grade math LAST year and got an A on his report card in every trimester. He scored a B in two chapters and spaced on the test. He still mastered those chapters, technically. THIS CHILD does not belong in 6th grade math AGAIN next year. The tutor is there to make sure he knows those chapters up and down and inside and out. Bottom line, if it's beyond him, he won't pass. He has one of "those" minds. Last year, when they were working on three and four digit long division, he came to me with a completed homework assignment. Just answers, nothing written out. I said "hon, you can't use a calculator - please go write out all of the problems." He swore up and down that he did NOT use a calculator and challenged me to test him. So I flipped the paper over and wrote out a few new problems. He stared at each one for about two minutes, then gave me the answer. *I* then had to check them on a caculator, and he had each one correct. You know, everyone told me when he was in preschool that I should hold him back for kindergarten because he was born in the fall (cutoff in CA is Dec. 2, he was born Oct. 22) and he was a boy. I heard countless stories of their kids and their friends kids and the milkman's kids who were either held back and they were glad, or the child repeated kindergarten, or started on time as a 4 year old ("early" in their minds, on time actually) and they regretted it. But I knew my child. I also knew kindergarten - I was teaching it, after all. I knew that kindergarten is designed for the 5 year old, not for 6 year olds, and I also knew that I could not tell a difference between the kids that had started at 4 (and turned 5 by December) and the ones that had spring birthdays. Where I did see a difference was with the 6 year olds, who did exceptionally well in my class, but for good reason - because they were too old for the curriculum. They weren't being challenged. Thank goodness I knew my child and I knew kindergarten because I might have been tempted to listen to them. He was ready and wanted to go more than anything, and academically he was ready as well. He did start kindergarten at 4 1/2, did amazingly well, and has been ever since. I am glad I chose to challenge him rather than wait and put him with younger kids so I'd have a "guarantee" that he'd succeed. That's what I'd feel that having him repeat 6th grade math would be. It would be pointless at this point. Sure, they may be times when something might need to be repeated if he truly struggled. This isn't one of those times. And if it is, him not passing that test will make that known. Here is a link that might be useful: GATE/AAA program in Capistrano Unified