Oct
22
Fed Chief Pushes for Another Stimulus Package
October 22, 2008 | 5 Comments
… bridges).
Republicans favor tax breaks for businesses and individuals. They also want to lower taxes for companies that buy "distressed" debt.
What Does This Mean for You?
Nothing really. Until a plan is passed it's too early to say what benefits you may receive. However, with more prominent figures supporting a stimulus package, the likelihood of another package increases.
You shouldn't expect another direct payment. In other words, don't wait by the mail box for a check. …
Oct
14
A House is a Consumer Good Part 2
October 14, 2008 | 2 Comments
… for the stock market is 11% return. However, you'll have to adjust that number for inflation and taxes as I believe that number is the raw return.
As far as I can tell this does not include maintenance costs. Add up the cost of a lawn mower, snow blower (or the services), the price of painting, replacing siding, shingles, sidewalks, driveways, planting and later trimming and removing trees, you've got a hell of a liability, not an asset.
What about taxes ? What about insurance …
Comment by Jeff: … for inflation and taxes as I believe that number is the …
Aug
21
Spending More on Luxuries Than Necessities
August 21, 2008 | Leave a Comment
… than I do. They get a tax refund ( Earned Income Tax Credit ) even though they don't pay taxes. They have cell phones. They get their hair and nails done. It's all about priorities.
Aug
6
… costs could be as high as thousands of dollars a year (or more).
Fact: Your must pay property taxes on your home each year. Local governments are always trying to raise property taxes.
Fact: Your mortgage company will require you to carry home owner's insurance.
Fact: You'll put a lot of labor into your home or you'll pay someone else to do it.
Fact: If you don't put down 20% of the cost of the house, you'll pay Private Mortgage Insurance (PMI).
Fact: Your house will …
Aug
4
Track Home Improvment Expenses for Tax Purposes
August 4, 2008 | Leave a Comment
… expenses (and receipts ) from home improvement projects? What are the tax consequences?
Taxes
Generally, there are no tax breaks for most home improvement/remodeling projects (excluding those projects that qualify for some type of tax break based on energy savings) in the year that you make the improvements.
From Jackson Hewitt :
The terms repairs and improvements can be confusing as it applies to the value of your home. A repair or maintenance expense is not tax …
Jul
29
More Reasons to Pay Off Your Mortgage
July 29, 2008 | 4 Comments
… paying off your mortgage with the same or greater rate of return. Don't forget to deduct taxes and capital gains if necessary.I've just started reading Fooled by Randomness by Nassim Nicholas Taleb. His premise as far as I can tell is that we very much underestimate risk. Seeing as how we've seen 2 major bubbles burst (possibly a 3rd with commodity prices) in less than a decade, I think it's an appropriate topic.Safety in the modern world (or at any time in the past) is an …
Jul
21
How Long Should I Keep Credit Card Statements?
July 21, 2008 | Leave a Comment
… as long as the IRS can contest your tax return.
If you are able to itemize expenses on your taxes, you'll need to keep the supporting documentation of the expenses. Statements from your credit card company will work for that. The IRS has 3 years to audit your return if they suspect errors. The IRS has 6 years to audit your return if they suspect you under reported your income by 25% or more. There is not limit if the IRS suspects fraud.
The Easiest Way to Manage Financial …
Jul
11
What Happens to My Stimulus Check If I Move?
July 11, 2008 | 8 Comments
Expecting your stimulus check but you've moved since you've filed your taxes ? There are a few things you need to do to make sure you get your stimulus payment.
According to rumors on the internet, the post office is not supposed to forward mail from the IRS. However I have yet to find an authoritative source that supports this.
If you've moved since filing your return, you should put in a change of address with the post office ? You can change your …
Comment by Chris: … on your 2008 taxes. That's just a guess though, the …
Jun
26
When Will I Get My Stimulus Check?
June 26, 2008 | 40 Comments
… Most people can correct mistakes using Form 1040X (PDF on IRS.gov). Once you've filed an amended return with the IRS, your stimulus check should be sent within 12 weeks.
I Moved after I Filed My Tax Return
If you've moved, you need to notify the post office of your new address. You should file a change of address form with the post office. You can change your address online at usps.com.
Don't contact the post office and ask them where your stimulus check is. The post …
Comment by Chris: … you've filed your taxes first. Grab a copy of your tax …
Jun
25
Should I Pay Off My Mortgage? The Easiest Test Ever
June 25, 2008 | 4 Comments
… called a standard deduction. This is the fixed amount of money you can deduct from your taxes if you don't itemize. You have to itemize in order to deduct your mortgage interest. Most taxpayers don't itemize.
According to the CPA Journal :
Approximately two-thirds of all tax returns use the standard deduction. Accordingly, many so-called “deductible” items (charitable contributions, for example) do not actually affect the tax liability of most taxpayers. …