Money Saving Tips: taxes - billeater.com

Five More Tax Deductions You Won’t Want to Miss

Jessica Bosari — Fri, 03 Feb 2012 15:30:00 +0000

In the adult world, there are few things as confusing and potentially frustrating as income taxes. Impossible to avoid and notoriously dull, tax season strikes fear in the hearts of many. It doesn't need to be that way though. Tax software has made it easier than ever to prepare your own taxes, and you may be entitled to a larger return than you expect. When you file your taxes this year, remember to find out whether you qualify for these five deductions.

Read the rest...

Year End Tax Savings Strategy for the Savvy Worker

Jessica Bosari — Thu, 05 Jan 2012 13:00:00 +0000

The end of the year is the perfect time to evaluate your tax situation and look for ways to save money. While time is growing short, you still have an opportunity to trim your tax bill for both the current year and the one to come.Read the rest...

Top 8 Missed Tax Breaks - Don't Pay More Than You Owe!

Guest Blogger — Sat, 17 Dec 2011 15:31:57 +0000

How many of us file our taxes only to find out a month later that we missed out on a number of deductions? The fact is that filing your income tax reports is not just a matter of hiring an accountant. It’s just as important to take the time to hone your skills in understanding your entitlements as a hard working citizen.Read the rest...

Save Money by Being Prepared For End of the Year Taxes

Jessica Bosari — Tue, 08 Nov 2011 06:00:00 +0000

The surest way to save money at tax time is by being prepared for end of the year taxes. This means taking the time to do several things that will make preparing your taxes easier for yourself or anyone you are planning to pay to do your taxes this year. No matter what your strategy being organized will definitely save you time and money, which is good news to anyone during tax season.Read the rest...

Christmas in July...Time to Look at Your Taxes

Jessica Bosari — Fri, 15 Jul 2011 05:00:00 +0000

What's the best time to plan and get ahead of your annual taxes? Midyear or during the month of July, you can already project your income for the next six months since you have the idea of your earnings from January to June.Read the rest...

Sweating This Year's Tax Return? The IRS Has 3 Years to Catch Up

Cheryl Johnson — Fri, 06 May 2011 05:00:00 +0000

It can be easy to get caught up in the last minute rush to file your taxes by April 15. That deadline creates panic in many households across the nation when it doesn't necessarily have to, though. If you understand the statute of limitations that the IRS works under, you could ease your tax worries without increasing your tax burden. The statute of limitations can work in your favor more often than not.Read the rest...

Never Miss Mileage Deductions Again

Cheryl Johnson — Wed, 04 May 2011 20:15:41 +0000

If you own a small business or are an employee with business mileage, you know that the mileage deduction can save you money on your taxes. The rate is going up in 2011 to 51¢ per mile, making it an even more lucrative deduction. However, keeping track of mileage can be a hassle; forgetting to record trips, having to guess at mileage and keeping up with written logs can be time consuming and stressful. There’s a handy little gadget that can take those problems off your hands; it’s called CarCheckup, and it makes keeping up with mileage virtually painless.Read the rest...

Five Lessons from the Obamas' 2010 Tax Returns

Cheryl Johnson — Tue, 03 May 2011 19:19:35 +0000

The Obamas recently released their 2010 tax return, revealing an adjusted gross income (AGI) of $1,728,096. While this is a nice haul to most people, it’s a two-thirds pay cut from the $5.5 million they earned in 2009. They paid $453,770 (26%) of their income in federal taxes and $245,075 (14%) of their income to charities. President Obama earned $400,000 as Commander-in-Chief, but the bulk of their earnings came from his book sales. While those numbers are a bit overwhelming to the average taxpayer, there are still lessons that anyone can apply to their own finances.Read the rest...

The Smartest Way to Pay When You Owe the IRS

Cheryl Johnson — Tue, 03 May 2011 00:42:53 +0000

No one wants to owe taxes to the IRS; however, if you find yourself in that situation, you need to know your options. If at all possible, pay what you owe in full. The IRS accepts checks, money orders, cashier’s checks and major credit cards. You can also pay electronically through the Electronic Federal Tax Payment System (EFTPS) at no charge.Read the rest...

Four Often-Overlooked Ways to Save on Your Income Taxes

Guest Blogger — Tue, 12 Apr 2011 05:00:00 +0000

Tax season is here. Many people dread this time of year but it doesn’t have to be as stressful as you think. There are a lot of ways to save money on your taxes. No, I’m not going to tell you any magical way that you can cheat the government. You will however learn about some deductions that people don’t realize exist. This can really save you a bundle on your taxes.Read the rest...

Want an IRS Audit? Try These Four Tips!

Jessica Bosari — Mon, 21 Mar 2011 05:00:00 +0000

Each year millions of Americans file their income tax returns and inwardly cringe at the thought of an audit. While the chances of an IRS audit hover at around one percent, the dread still sits in the pit of each taxpayer’s stomach. If having an IRS examiner peering at all of your records is the sort of thing you enjoy, try these tips the next time you file.Read the rest...

War Tax Resistance: Live Simple, Leave the Country, or Go to Jail

Jessica Bosari — Mon, 14 Mar 2011 05:00:00 +0000

There are many reasons some people become tax resisters. Usually, it is because of a desire to stop funding the wars they view as immoral. These folks feel obligated to stop adding their own personal funds to the coffers of the war chest. Most of us think tax resisters are criminals who belong in jail, but that may not be how it plays out. Tax avoidance as a form of war protest can be done legally. It just won't be much fun. Protesters would need to be truly dedicated to the cause before they became comfortable living the type of lifestyle required or taking the drastic measures needed to legally avoid taxes.Read the rest...

Preparation Checklist for Your 2010 Taxes

Jessica Bosari — Mon, 10 Jan 2011 15:56:37 +0000

Most people would rather visit the dentist than the taxman, but a good accountant can do wonders for ensuring you get all the deductions for which you qualify. You can make the experience less painful by preparing in advance for your meeting. This way, your taxes are complete and files as soon as possible and you spend less time worrying about them.Read the rest...

Resolved to Organize your Finances? How to Make it Work

Heather Hollingsworth — Wed, 05 Jan 2011 14:36:52 +0000

Keeping your finances organized can help you stay on budget and keep track of your spending. It can also be a daunting task if you haven't been organized all along. Many people plan to organize their finances, but never seem to get around to it. The idea of digging through all of the documents from previous years and sorting it neatly can be overwhelming. If you have been putting off financial organization, this is the perfect time to tackle the beast. Since you have to put your taxes together anyway, why not take a little extra time to put it all together in an organized fashion?Read the rest...

Should You Convert Your Roth Now? If Only It Was that Simple

Fletcher Martin — Wed, 01 Dec 2010 22:10:31 +0000

Most high income Americans have an IRA, Individual Retirement Account, of some kind. The majority of those with IRAs have traditional IRAs in the form of a certificate of deposit, mutual fund, or 401(k). A traditional IRA defers income tax payments until the money is withdrawn years later by whoever holds the account. It could be the original investor, a relative, or even a family friend. Regardless of who ends up cashing in the IRA, he or she will have to pay income taxes the moment the money is withdrawn.Read the rest...

How to Find a Tax Preparer You can Trust

Fletcher Martin — Tue, 23 Nov 2010 15:48:42 +0000

About four out of five Americans use a tax preparer to assist them every year when tax season comes around. This is not very surprising when you take into account the complex task of calculating taxes and the costly mistakes that can easily be made by anyone who tries to do taxes on their own. It is also true that tax preparers make costly mistakes that result in fines, fees, and possible jail time for those that hire them. The taxpayer pays the price for any mistakes made by the tax preparer. This is why it is important to find a tax preparer you can trust to do your taxes correctly and that will file your taxes on time.Read the rest...

Ten Tax Breaks for Stuff You Should Be Doing Anyway

Jessica Bosari — Tue, 09 Nov 2010 14:31:09 +0000

Tax time is quickly rolling around the corner. Income tax preparers believe there are many deductions people often miss that could amount to hundreds of dollars in savings. Why pay extra money to Uncle Sam when your money earns more when invested? The money is also useful toward paying off debt. Here are ten tax breaks that people either miss or do not know exist.

Read the rest...

Top Five Saving Moves for 2010 Income Taxes

Jessica Bosari — Fri, 22 Oct 2010 14:07:27 +0000

It is now the time of the year where many consider what financial decisions to make in order to reduce tax debt. Those experiencing job loss or wage cuts this year due to the recession, automatically endure less of a tax burden. However, for others, the end of 2010 signifies the completion of the Tax Relief Act, which means future restrictions on personal exemptions and itemized deductions.Read the rest...

What the Expiring Bush Cuts Will and Won't Do for You

Jessica Bosari — Thu, 07 Oct 2010 23:55:59 +0000

The tax cuts that former President George W. Bush implemented while in office will expire at the end of the year. There are some favorable tax cuts that may be extended, but for now, there are major changes coming that will affect many Americans. There is a common misconception that the expiration of the Bush tax cuts will only affect individuals in the highest two tax brackets. This is not true. There will be changes that will affect lower- and middle-class individuals as well.Read the rest...

How Decluttering Can Save You Money

Jessica Bosari — Fri, 03 Sep 2010 21:53:39 +0000

Reduce Your Taxable Income by as Much as 30 Percent when You Declutter by Donating

Decluttering is an important part of saving money. Why? Because the fewer things you have, the greater value each item accumulates. It is the law of supply and demand in action. When there is ample supply of much around you, there is little value in those things. If you had only two shirts in your closet, would you be so nonplussed if you spilled ketchup on one? The point is that making the things you own more valuable psychologically helps you place a greater value on the things you are about to buy. Is it worth having this new item in your home? Do you want to spend the money on it? The less stuff you have, the more likely you are to answer that question, “No.”Read the rest...

Got Tax Debt? Tips That Can Help

Tue, 25 May 2010 00:24:58 +0000

By now the chips have fallen where they may. If you find yourself owing the IRS money on back taxes for this past year or previous years, the financial burden is certainly creating stress in your life. Unfortunately, the IRS is relentless in pursuing tax debts so there is no getting away from the letters and phone calls. And you can bet that when the IRS says they will take legal action against you, they plan to do just that. Fortunately, there are some things you can do to deal with this financial problem once and for all. End the letters, the phone calls and the stress.
Read the rest...

What to Do With Unfiled Tax Returns

billeater — Tue, 18 May 2010 21:15:19 +0000

If you have procrastinated and not filed one or more of your tax returns, you can still file and should do so immediately. Not filing your taxes can lead to a huge slew of issues including tax penalties and interest fees, forfeiture of any refund you are owed and you can even have a tax levy placed on your property, bank account or wages. The sooner you take action the better off you will be.Read the rest...

Use 529 savings plans to help with kids college costs.

Jessica Bosari — Thu, 29 Apr 2010 10:49:30 +0000

If you are in a position to put aside money for your children's education, one option you should look into is a 529 plan, an investment vehicle with tax advantages that are designed to save for your children's future college needs.

A 529 plan has benefits like reduced state and federal taxes, scholarship or grant opportunities and, most importantly, is exempt from state financial aid calculations. Read the rest...

Five Smart Things to Do with Your Tax Refund

Thu, 29 Apr 2010 10:06:38 +0000

With tax day over and many Americans awaiting their refunds, you may be thinking about all the things you can buy with that check. But is it a good idea to buy the latest big-screen TV or some other item with your tax refund? Or would that money be spent better some other way? If you are looking for a more productive and responsible way to use your tax refund, here are five smart ideas for you to consider.Read the rest...

Business Taxes 101: The Basics

Jessica Bosari — Thu, 22 Apr 2010 15:16:37 +0000

Filing business tax returns can feel like a major ordeal, especially if you're not great with paperwork or numbers. Don't assume you have to file in the spring. Here are the basics of business taxes, when to file and other things you should know. Read the rest...

When to file

Failure to file on time results in a late payment penalty plus interest. If you owe taxes, you'll be charged an additional 5% monthly, up to a maximum of 25%, so know when to file and ensure you meet the deadline.

What You Need to Know About Taxes and the Mortgage Debt Relief Act of 2007

Jessica Bosari — Fri, 09 Apr 2010 15:05:34 +0000

According to Time Magazine, bankruptcy filings are up 35% from the year before. Many people have found relief in short sales and debt forgiveness, but this can lead to concerns about the tax implications. Not to worry, Uncle Sam has your back when it comes to default debt resolution.

How Forgiven Debt Affects Your Income Taxes

A Supreme Court ruling in 1931 established a precedent for borrowers’ obligations to pay tax on cancelled debt, just as if it were regular income. The decision was reaffirmed in 2005 on the basis that the taxpayer realizes an increase in income when debt is forgiven. You had more money in your pocket and Uncle Sam wanted his cut, but that has changed.Read the rest...

2009 Changes That Affect Your Tax Return Filing

billeater — Mon, 29 Mar 2010 22:19:30 +0000

Tax changes that became part of the tax code in 2009 could eliminate your federal income tax, and in some cases increase federal tax refunds. These 2009 tax changes take the form of new tax deductions, credits and changes to existing tax rules. To save money when filing your tax return involves not only knowing what these changes are, but being aware of how to apply them to your unique financial situation.Read the rest...

Finish your tax return on the cheap, or even free

Wed, 24 Mar 2010 21:53:06 +0000

With the lean economy, sometimes it pays to learn to do things for yourself. Like fixing a leaky faucet instead of calling a plumber. Or changing your car’s oil yourself.

Another area where you can cut back is filing your tax return yourself instead of paying someone to do it for you. With all of the information available on the Internet, it’s easier than ever to file your own return.

Not only are there user-friendly software and sites that allow you to file returns electronically, there are a wealth of educational web sites where you may learn more about the filing process, the claims and deductions for which you may qualify, and download required forms. Read the rest...

What To Do When You Can’t Pay Your Taxes

debbiedragon — Fri, 05 Mar 2010 18:56:38 +0000

After the rush of preparing your files and information to complete your tax forms, it can be very disappointing to discover not only are you not getting a refund, you actually have to pay into the IRS. Not long after, the disappointment may be replaced by the fear you can not afford to pay your taxes back, especially in a lump sum with your prepared return.

So what should you do?
Read the rest...

How To Find The Right Tax Preparer

debbiedragon — Tue, 12 Jan 2010 17:04:06 +0000

It is that time of year again. Time to gather your tax documentation and file your taxes for the previous year. With all the do-it-yourself help available today, many people have taken to filing their own taxes. There remains however a large percentage of the population that either does not feel comfortable filing their own taxes or simply lack the know-how to do it properly. If you are paying a tax preparer to perform the task, you should know that not every preparer is the same.Read the rest...

Convert to a Roth IRA for Tax Savings

Wed, 30 Dec 2009 14:49:39 +0000

If you’ve considered converting your traditional Individual Retirement Account (IRA) to a Roth version, 2010 may be the most optimal time to do so. That’s because of new changes that take effect this year for the Roth IRA, as well as the slow recovery from the 2008 market crash.

Roth IRA Overview

Before we go there, here’s a brief overview of the Roth IRA. Because Roth contributions are not tax deductible, the Roth makes an ideal complement to an employer-sponsored retirement plan, since 401(k) participation precludes most IRA contributions from being tax deductible anyway.Read the rest...

Taxes and your year-end bonus

Fri, 11 Dec 2009 13:34:46 +0000

Oh, the age old question: What to do with a year-end bonus? If you get one. And if you do, this year, it will probably be smaller than usual. But still. What to do with it?

It’s so tempting to rush out and spend a year-end bonus on gifts for your family and yourself. After all, it’s been a ridiculous year and you deserve a treat. Go ahead, but limit your spending to 10 to 20 percent of the bonus.

For the rest, consider putting it in an emergency high-yield savings account to help out if the economy worsens. Another idea is to contribute to or open an IRA.

IRA For IndependenceRead the rest...

"Making Work Pay"

micharch — Sun, 03 May 2009 19:18:04 +0000

It may benefit you to check your tax situation now before you find out next April that you owe Uncle Sam some more $, or that your expected IRS refund may not be as hefty as you hoped it would be.Read the rest...

5 Tips to Keep Your Income Taxes Low as Possible

MikeV — Sat, 28 Mar 2009 00:33:19 +0000

We all know about taxes - we have to pay them each year. What is not so commonly known, however, are that various techniques you can use to be able to reduce your taxes and keep them to a minimum. Here are 5 ways to do just that.

1. Learn All You Can about TaxesRead the rest...

2008 tax software - Save big on filing your taxes with a little research.

billeater — Sun, 22 Feb 2009 13:51:40 +0000

Hoping for a big refund in 2008 to make up for the sluggish economy? You'll need to file your 2008 taxes first, and with the tax laws as complex as they are, most of us are hoping to use tax software to compute and file our taxes online. Tax software guides you through the process of filing by asking questions, rather than filling out forms. And, the best software will help you find deductions you might have missed, and can also tell you if you've done anything that might flag you for an audit. In short, it's almost silly these days to file without using software.

Aside from the biggest player, TurboTax, there are other options that might save you money. Up to about $50 on the software alone! And, if you meet the federal income guidelines you can even get free tax software as well as free electronic filing.

We scoured the internet to find the greatest tips and advice to figure out your taxes and file them electronically...without breaking the bank.Read the rest...

Property Tax Appeal - Challenge your property tax appraisal and save

billeater — Thu, 12 Feb 2009 16:04:05 +0000

Up to 60% of taxable property in the U.S. is assessed at a value that's higher than it should be, according to the National Taxpayer's Union, an advocacy group from Washington, D.C. with a goal to lower taxes. And that means the property is taxed at a higher rate as well

Additionally, the American Homeowner's Association references a Consumer's Report article that up to 40% of property appraisals have clerical errors in them.

So what can do about it if your property value has been overestimated, resulting in higher property taxes? You can appeal! Less than half of homeowners ever try to appeal. Many homeowners don't fight back because they either don't understand the process, or feel that the amount of research and paperwork won't be worth the time.

However, the process isn't really all that complicated once you break it down into steps:Read the rest...