Dec 29
Taking resolutions for the next year? Is anything more scary than the period of tax which haunts since its onset. See how you can help yourself to unburden the pressure.
1) Append extra to the 401(k):
This is inversely proportional. The more you add here, the lesser you pay for tax. You can do it now as well after all this is the best way to utilize your holiday incentives.For any holder if this plan the limit is a $15,500 but for a senior citizen it stretches till a whooping $20,500. Isn’t that great? You might as well consider increasing the Roth IRA if you have one through the employer. However your contributions remain taxable in this case and not the income that you earn.
2) Seize the tax credit:
Two energy tax credits will run out by the end of this month. You could have got a tax credit if you were thinking to make your home a little more energy efficient.
3) Analise your AMT paying capacity:
Most of us pay the alternative minimum tax. Find out more Read the rest of this entry »
Dec 20
Christmas isn’t far away and preparations are on full swing – people are still trying to finish up with their last-minute shopping…..doing that every bit so that they can enjoy and spend some quality time with their friends and family.
While you gear up for the celebrations, here are some thoughts and ideas to help you enjoy the Christmas to the fullest and have lots of fun, keeping in mind that you don’t end up in debts.
Nov 26
Christmas is approaching and everyone’s up for shopping cards, gifts and whatever they can for themselves and their near and dear ones.
You may shop at different stores and supermarkets and also check out for websites like eBay and Freecycle. While you shop online, here’s a list of 10 precautions you should take in order to ensure that your shopping transaction is safe and secure.
- To start off with, check out online shopping sites by taking referrals from friends and relatives.
- Check if the site has a reliability/security sign or the like. For instance, find out if the site has the Better Business Bureau logo on it.
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Nov 06
It depends on how much time you have to devote in making extra money. Sometimes the full time job that you have consumes the lions share but it is on you and your willingness that can do the trick. It’s not difficult to squeeze in a little more work in your idle time; at least you are contributing in a meaningful way.
Find out some easy ways to earn some fast money legitimately.
• A backyard sale = Spacious house
If you are thinking how I arrived to this equation then let me tell you something. We buy a lot of things which we hardly use religiously i.e. without purpose. It can be called a random buy. Sell off things in a backyard or a garage sell and get some cash immediately. The sell of the good leave some space in your room as well. This culminates into the equation above.
• Commonplace proposal: Get a second job
Lets not keep bragging about it we all know what this means. Frankly there are very few who get time for a second job. However if we try nothing is impossible.
More are here….
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Oct 16
If you are switching from one job to another, and already have a 401k Plan with your old employer, there are 3 things which you shouldn’t do when you think of a 401k Rollover (transferring 401k money into an IRA account).
- Go for a withdrawal:
This is something that most people do when they change jobs. Taking out cash from the 401k account, that too, when you’re under 55, will require you to pay taxes on the money withdrawn. Besides, there’s a tax penalty worth 10% of the distribution.
- Simply forget about your old plan:
Your new employer may offer you a new 401k plan but this doesn’t mean that you don’t make use of the old plan. Your previous employer might change the 401k money investment options which might give you lower returns. Moreover, if your 401k balance is below $5000, then your employer won’t bother to remember it.
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