[…] This is your last chance. If you’re planning to sign up for a job search service, take some job-related classes or buy a computer for your W2 job – do it now. You can also pre-pay union and professional dues, investment-related services and subscriptions, and investment advice. “Job” means […]
[…] Pre-pay 2017 property taxes on your personal residence. This is not an absolute rule, but it should be a wise move for most people, not just investors. Because of the new law, you may lose the tax benefit of property taxes on your homestead. So make sure the bill is paid in 2017 […]
[…] I’m not too alarmed. First, this change (IF implemented) will only affect companies that are designated as “a trade or business.” This term has been often used in the current tax law – but never defined! It led to numerous lawsuits against the IRS, with inconsistent results. Basically, it’s grey area […]
[…] How unhappy? $20,028 unhappy. Because this is how much taxes a single person will owe on $70,000 self-employment income earned in 2014. Yes, between Federal income tax, Social Security tax and Medicare tax […]
[…] Andy must have read Napoleon Hill or Robert Kiyosaki and acquired “millionaire mindset” or whatever populist mantra they believe in. This is not my explanation, though. Here is mine, based on my 20 years of watching hundreds of […]
[…] If taxes were simple (right!), you would pay taxes only on the money you actually received. In the year of sale, it would be your down payment plus maybe couple more payments – and that’s it. This is not how it works though. [..]
[…] Carefully examine what you were charged on the front end, what you were charged at payoff, and what you paid in between. I can’t tell you how many clients reported that the lender said ‘oops’ once confronted with the client’s own calculation. […]
[…] For bookkeeping purposes, the entire $1,000 has been spent the moment you signed the paperwork. What you have now is simply a loan from BestBuy. It’s between you and BestBuy, and the IRS can’t care less […]
[…] Occasionally (hopefully), your business account will be short. A common mistake is to then pay out of personal account. Don’t! Instead, make it two steps: transfer money from personal account […]
[…] It gets worse. My first example was a make-ready between tenants. What if this painting job was done on a flip house you’re preparing to sell? Well, your extra tax on the forgotten $1,000 labor could easily be $400 […]
