Good afternoon. Today's stories are about the fine print hiding behind things people assume are already settled.
On The Money Today:
The full retirement age everyone assumed was 65 or 66 permanently becomes 67 this year
Mark Cuban says your index fund may be paying the insurers accused of stalling and denying claims
The FBI says paying off your mortgage in full can make your house an easier target for fraud, not a safer one
Let's get into it.
BEHIND THE HEADLINE
Health insurance premiums have climbed 60% since 2016 — nearly double what everything else costs. That gap doesn't happen by accident. It's what Mark Cuban is pointing to when he calls out the insurers sitting inside most people's 401(k) index funds. Today's must-read looks at whether your retirement savings are quietly funding the same system driving your premiums up.
INVESTING
Mark Cuban says your 401(k) makes you 'part of the cost of health care problem', should you dump funds tied to Big Insurance?
Mark Cuban is telling index fund investors they're quietly bankrolling the health insurers he accuses of delaying and denying claims. Nearly $2 trillion sits in just one popular fund with major stakes in the companies he's calling out.
Why it matters: Most people have no idea their "safe" index fund holds the very insurers driving up their own health costs, and finding out takes just a few minutes.
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NEWS
FBI issues warning to US homeowners with 100% paid-off mortgages, new update reveals major title risk. Is your house exposed?
The FBI says criminals are targeting homes with no mortgage left, since there's no lender around to flag a suspicious sale before it happens. Owners often don't find out until the damage is already done.
Why it matters: A paid-off home has no lien and no lender checking in, which is exactly what makes it easier for a fraudulent sale to slip through undetected.
MUST READ
Starting this November, Social Security's Full Retirement Age locks in for good. Even people who think they already know their number can get it wrong, thanks to a quirk in how the SSA calculates it. Worth double-checking before you claim.
Why it matters: Claiming even one year before your real FRA locks in a reduced benefit for the rest of your life, with no way to undo it later.
MONEY IQ
Q: What percentage of retirees say claiming Social Security too early was their biggest regret?
ALSO MAKING THE ROUNDS TODAY
INVESTING: Warren Buffett says the two investments he'd hold for life have nothing to do with stocks, and you can now access both with far less than he paid
RETIREMENT: Nearly $4.9 trillion sits in target-date funds, but Suze Orman says your retirement mix may be working against you
NEWS: Trump's $5,000 payment promise sounds like a windfall for your wallet, but Peter Schiff warns it could leave you worse off than before
MONEY IQ ANSWER: HOW DID YOU DO?
The correct answer is C) 41%. Nearly 2 in 5 retirees say they wish they'd waited longer to claim. Once you lock in an early claim, the reduced payment follows you for the rest of your life, which is exactly what makes the full retirement age deadline this November worth double-checking now rather than after the fact.
That's a wrap for today! Before you go, we'd love to know what you thought of today's newsletter. Hit REPLY if you have more to share — we read every one.
See you soon with another quick roundup of the financial news that matters.
