Tax credits reduce your tax dollar for dollar
Tax credits help reduce the taxes you owe. Some credits are also refundable. That means that, even if you owe no tax, you may still get a refund: EITC, Child care, Child, Savers, and Education. Credits are worth up to $2,000. Use the IRS free software programs to prepare and file. Quicker refunds. http://www.irs.gov/uac/Free-File%3A-Do-Your-Federal-Taxes-for-Free
Don’t forget the $2,000 credit for investing in retirement. Use your refund for $1 million.
Should you itemize tax deductions?
Yes. Usually if you use a software tax prep it will do both so you max your refund. Definitely itemize if you have these things:
- Home mortgage interest
- State and local income taxes or sales taxes (but not both)
- Real estate and personal property taxes
- Gifts to charities
- Casualty or theft losses
- Unreimbursed medical expenses
- Unreimbursed employee business expenses
Obama budget limits SS benefit claiming strategies of the wealthy
Obama wants to prevent duplicative or excessive benefit payments through the disability insurance program and Social Security. “In addition, the budget proposes to eliminate aggressive Social Security-claiming strategies, which allow upper-income beneficiaries to manipulate the timing of collection of Social Security benefits in order to maximize delayed retirement credits,” the budget reads. Get your fair share now:http://www.amazon.com/Maximize-Social-Security-Benefits-Retirement/dp/1495439224
Retirees’ income gaps wider than workers—25% live near poverty.
Median net worth $170,000 is closer to average worker’s than average net worth $655,000. A few wealthy people exaggerate the real situation. Many retirees live in poverty: 11% of women and 7% of men.
Wall Street retail investor advisors wrong again
Bob Seawright says “Morgan Housel recently dug through FactSet data on companies with the most buy and sell recommendations from Wall Street firms as of January 2013. He discovered that the companies with themost sell ratings that month outperformed the market by a median 25 percentage points, while those with the most buy ratings underperformed by more than seven percentage points.” They got it wrong!
Seawright shows that Wall Street analysts routinely forecast how the S&P 500 Index will perform. He listed the Wall Street forecasts from firms for 2013 with the percentage by which they missed the mark on a price basis. Summary: They missed by a lot.
Wall Street is just bad at knowing the future—don’t waste your money on advice, go with Warren Buffett’s strategy: http://www.amazon.com/Warren-Buffetts-Investment-Strategy-Forget/dp/1484822900/
Lying to our car insurer is common but with consequences
A third of drivers lie to their car insurance companies, most often about how much they drive or where they live, a new survey from CarInsurance.com finds. Common lies: Annual mileage: 36.3 percent, Where car is parked: 32.4 percent, Names of drivers with access to vehicle: 25.1 percent, History of tickets or accidents: 20.5 percent, Gaps in insurance coverage: 19.2 percent, School grades, or teen driver’s grades: 18.9 percent, Anti-theft devices on the car: 17.4 percent, Primary type of use (such as business, school or work): 17.3 percent, Education level: 16.9 percent, Marital status: 16.9 percent, How long they’d been licensed: 15.8 percent, Major modifications to their car: 15.7 percent, Refresher or defensive driving courses: 14.4 percent. Men admitted lying 42 percent vs. women 27 percent. Drivers under age 30 were three times more likely to submit bad information than drivers over 50.
Obviously changing the zip code where you park can lower your rates. Can it hurt you?
Yes. The survey asked them about the consequences: Claim was denied: 33.5 percent, Premiums went up: 31.5 percent, Coverage was canceled: 25.4 percent, Sued for fraud: 7.6 percent, Nothing happened: 2.0 percent.
Moral of the survey: If you know you won’t have claim, you’re OK. Otherwise shop for rate, drop unnecessaries, discounts: http://www.amazon.com/Vehicle-Insurance-Beware-Double-Coverage/dp/1480027634
GOP gives subsidies to wealthy shore properties
GOP House passed legislation to curb some of the premium increases in the nation's flood insurance program and provide retroactive refunds for people who have had large flood insurance rate increases. If you live in a beachfront home, you may not have to pay more for insurance. The rest of us have had rate increases of up to 100% to pay for the losses. One NJ homeowner saw premiums jump from $674 in 2012 to $1,190 in 2014. This home is not near the shore nor has a claim in 20 years. Time to shop: http://www.amazon.com/Homeowners-Insurance-Beware-Coverage-Policy/dp/1480100870
Employer health plans fall
The percentage of Americans who currently obtain health insurance coverage through their employers continues to drop, indicating an ongoing trend among benefit plan sponsors and HR decision-makers to shift costs to public and private exchanges. Four of five U.S. companies have raised deductibles or are considering doing so as health costs increase, according to a survey of more than 700 employers.
We have more time to obtain ObamaCare policies
The government changed its regulation of Obamacare to give consumers and states more flexibility to decide on their health plans, insurers more time to sign up customers and taxpayers a chance to avoid more costs. President Obama's health-care law is becoming more entrenched, with 64% of Americans now supporting it outright or backing small changes, according to a Bloomberg National Poll.
Buy only what you need: http://www.amazon.com/Health-Insurance-ONLY-right-policy/dp/1480125083
NM Med Ins Pool raising rates
Health insurance pool of New Mexico has covered the uninsurable for over 30 years. Now it is informing its 8,300 customers they face a 23.8 percent premium increase July 1. ObamaCare requires that insurers can’t refuse to insure the sick so premiums rise to pay for all illnesses.
Tax Favored Health Plans
If you have a health flexible spending arrangement (FSA) at work, money you put into it normally reduces your taxable income.
If you have a health savings account (HSA) at work, money your employer puts into it for you, within limits, is not taxable.
Money you put into an HSA usually counts as a deduction and can lower your taxes.
Money you take from an HSA to use for qualified medical expenses is not taxable income; however, withdrawals for other purposes are taxable and can even be subject to an additional tax.
If you have a health reimbursement arrangement (HRA) at work, money you receive from it is generally not taxable.
Employers dump health care benefits
The percentage of Americans who currently obtain health insurance coverage through their employers continues to drop, indicating an ongoing trend among benefit plan sponsors and HR decision-makers to shift costs to public and private exchanges.
Do as I say NOT as I do (or I’ll shoot you)
In other states, it’s called “murder!”
Buffett’s advice when buying real estate
Buy at price that almost assures gain over the long haul. No “flipping” for quick buck.
SCAMS Why are we still paying $700 Billion a year for WWII deployments?
We are paying for 164,253 of our active-duty armed personnel to be in 150 countries around the world. We have about 50,000 in Japan and 50,000 in Germany .
Are we preparing for WWII again? There are 1,208,083[1] armed personnel in the United States . Our taxes pay for about HALF of the WORLD’s military expenditures every year.
We just can’t afford to pay for everyone else.
DoD head Hagel proposes budget cut but still pay for F35 plane failures.
Cheney cut 25% of DoD budget starting in 1990 as ‘peace’ dividend.
GOP favors nuclear option for Kiev crisis
Sarah Palin offered unsolicited advice Saturday to President Barack Obama on containing Russian aggression, saying "the only thing that stops a bad guy with a nuke is a good guy with a nuke."
Just think, she could have become the President of the United States !?
GM knew 2005 Cobalt ignition problem in 2004
1st victim, Amber Rose’s death was apparently the first related to the defect, General Motors knew it had a problem in 2004 soon after the Cobalt replaced the Cavalier. GM made sealed settlement with family so no publicity. There was “at least one incident” in 2004 in which the engine was shut off after the driver “inadvertently contacted the key or steering column,” according to the chronology. 12 have died since. A G.M. engineer proposed redesigning the key head in 2005 but the proposal is ultimately rejected. Lori Queen was in charge of G.M.’s small cars at the time but says she doesn’t remember. Regulators ignore complaints in 2007.
You just never know.
IAN
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