Welcome to Tax Savings Tips
Savings Bonds Tax Free College Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
You may also listen to this article by using the following controls.
How to Reduce Income Taxes
from:We’re all looking for ways to lower our tax bills. Following are some very simple ideas on how to reduce income taxes this year, and for many years to come. It’s important that all families take a look at these tips and see which ones can help you reduce your tax bill.
Fund your retirement – Of course, we all need to save for retirement. But, did you know that saving for retirement is a great tip when you’re wondering how to reduce income taxes? By saving for retirement, you’re reducing your adjusted gross income by the amount you save, thereby reducing the income you have to pay taxes on.
Sell stocks that aren’t doing well – Look at your portfolio and determine the stocks that are worth far less than when you bought them – and then sell them. Losses on stocks are tax deductions. If you sell them for more than you paid, then you’ll have to pay capital gains taxes. When you’re trying to figure out how to reduce income taxes, don’t forget to look at those stocks that have lost money for you.
Get a mortgage – If you don’t own a home, you’re missing one of the biggest tax savings opportunities, and it’s no wonder you’re asking how to reduce income taxes! The interest you pay on your mortgage is tax deductible, and in the first few years of a mortgage, most of your house payments go to interest, so you can save a bundle.
Get a second mortgage! –If you have other debts, like a car loan or credit cards and you’re wondering how to reduce income taxes, consider taking out a home equity loan and using the money to pay off your other debts. Like your primary mortgage, the interest you pay on your home equity loan is tax deductible, but the interest on your credit cards and car loans is not.
Deduct Your Child’s Tuition – If you’re paying college tuition you can deduct this from your taxes, too. Of course, the tuition must be coming out of your pocket, not from a tax free savings account for college like a 529 plan. If you don’t have a child in college, consider taking a few classes yourself, as your tuition is deductible too!
Make your home more energy efficient – When you require new appliances for your home, such as a hot water heater, be sure to look for appliances that carry the government’s energy star rating. Items purchased with the energy star rating are eligible for tax deductions. In addition, when you replace your old appliances with energy efficient ones, you’ll save money every month on your utility bills.
Savings Bonds Tax Free College News
Saving for College: Coverdell Education Savings Account or 529 College Savings ... - MyBankTracker.com
Saving for College: Coverdell Education Savings Account or 529 College Savings ... MyBankTracker.com Many states do offer state income tax deduction for all or part of the contributions. Withdrawals are tax-free for qualified college expenses. ... |
Invest ments for grandchildren - Marketplace (blog)
Invest ments for grandchildren Marketplace (blog) A 529 savings plan is terrific assuming they go to college. The earnings are free of taxes so long as they money goes toward qualified college educational ... |
Solving a Looming US Retirement Crisis - BusinessWeek
Solving a Looming US Retirement Crisis BusinessWeek All the tax-free contributions going into 401(k)s, Keoghs, and other retirement schemes reduce federal tax receipts by $193 billion a year. ... |
Couple must take steps to recover from job loss - The Star-Ledger - NJ.com
Couple must take steps to recover from job loss The Star-Ledger - NJ.com Sonneborn says the couple's college savings should be combined — they currently have a 529 plan, mutual funds and individual stocks — into an age-based, ... |
Companies, schools are seeing the light and going solar for energy - NorthJersey.com
Companies, schools are seeing the light and going solar for energy NorthJersey.com Along with energy savings, Fortunato also appreciates that his tax assessment value, according to state law, can not go up even though his building's value ... |