Apr
16
File Your Taxes Online For Free
April 16, 2008 | 3 Comments
You may qualify to file your taxes online for free. As long as your income doesn’t exceed the limit you can file your taxes online without a fee or charges of any kind. This is especially useful for people that are only filing their taxes to get the stimulus payment.
If your adjusted gross income was $54,000 or less in 2007, you can file online for free. The IRS calls this program “Free File.” The IRS …
Apr
15
Taxes Not Done? File an Extension
April 15, 2008 | 3 Comments
Your taxes are due every year on April 15th. Do you have your taxes done? There are many reasons you may not have your taxes filed by the deadline. If you’re not finished with your taxes, make sure you file an extension with the IRS.
Why Should You File an Extension?
If your taxes aren’t finished by April 15th (or the end of your fiscal year), you may face a penalty.
I’m …
Feb
17
Death and Taxes
February 17, 2008 | Leave a Comment
… brings glee to those “in the cart*.” Those of that that produce something will have to pay taxes. Those of us who simply exist off the system will get child tax credits and the like, basically welfare embedded in the tax system.
You may think I sound a little bitter, and I will admit this time of year puts me in a bad mood as I Uncle Sam pries through your personal life looking for each last cent. However, as a pragmatist, I understand that taxes, like death, are something that is …
Dec
17
Best Investments in a Depression
December 17, 2008 | 6 Comments
… of properties, houses and hotels.
Debtors Love Inflation
Say in our game of Monopoly you borrowed $100 from the bank. After the bank doubled each players money, your debt has been cut in half! That's what's happening right now.
The $200,000 mortgage you took out to buy your new home in the suburbs is now much cheaper to pay off. Your debt shrinks as the Fed prints more money.
My Debt is Technically Smaller, So What?
Back to secure investments. Right now you'd be lucky to …
Comment by Chris: … in 2005. So you owe $200,000 in 2005 dollars. If the …
Nov
26
Investing in Tax Free Municipal Bonds
November 26, 2008 | Leave a Comment
… Bonds are simply a financial instrument that let's someone borrow money with a promise to pay it back later.
Governments and businesses issue bonds all the time. The US federal government is constantly spending more money than it takes in via taxes. So to make up the difference the government issues Treasury Bills and Bonds.
Large business also issue bonds. Business use the money for everything from making payroll to building plants and expanding operations.
Generally bonds allow …
Nov
11
Worry About Yourself First
November 11, 2008 | 1 Comment
… business we wouldn't be in this mess. Government programs designed to help the "little guy" have backfired. We're in the worst financial crisis in a long time precisely because we (the US government) couldn't stay out of people's business.
We have a bank bailout designed to help the richest industry in the world. How ludicrous is that?
Now the automobile industry is next in line with their hands out. We can't let them fail because of all the jobs and suppliers, etc, etc. Again, …
Nov
4
Fire Your Financial Advisor
November 4, 2008 | 1 Comment
… the funds transferred over. At the time, it seemed like a big pain and I welcomed the help. However, as time passed I began to research investing. You have a lot more incentive with more wealth. Who cares what happens to a $500 Roth.
Well, turns out you really need to care when you have a small amount. Fees and expenses will eat you alive. It turns out it's very easy to roll over money to a new investment firm. Vanguard made the process really easy.
You Get What You Don't …
Oct
22
Fed Chief Pushes for Another Stimulus Package
October 22, 2008 | 5 Comments
… supported another stimulus package. President push also supported another stimulus package. However, Bush wants the new package to be "targeted, temporary and timely."
What is the Plan?
Right now the plan is still taking shape. Any stimulus plan would have to go through Congress and the President. This could take some time. Democrats are pushing for increased unemployment benefits and funding public works projects (schools, roads bridges).
Republicans favor tax breaks for …
Oct
14
A House is a Consumer Good Part 2
October 14, 2008 | 2 Comments
… a house can be seen as an investment the appreciation angle. Unless you have a money tree in you back yard, your house isn't generating income.
When you purchase a home, you assume it will go up in value. The typical number is 3 to 4% a year. This 4% corresponds to the rate of inflation.
According to Robert Shiller's, Irrational Exuberance real house prices (adjusted for inflation) "increased 0.4% per year from 1890–2004, and 0.7% per year from 1940–2004."
I'm trying to …
Comment by Jeff: … is 11% return. However, you'll have to adjust that …
Aug
21
Spending More on Luxuries Than Necessities
August 21, 2008 | Leave a Comment
… will be much higher.
Also note that I do not have cable TV. If I did the scale would swing back towards luxuries.
I may not be a typical consumer but my spending (not my income) is fairly representative of a lower middle class family. Because of my small house my utility bills are fairly reasonable.
So, if your one of those people claiming that you can barely make ends meet, be honest with yourself. How much are you spending on your cell phone, Internet and cable TV? More …