Comments on: 8 Tax Strategies to Consider Before 2010 http://www.mint.com/blog/how-to/tax-planning-strategies/ The blog of the free, simple personal finance solution. Track all your spending automatically, find the best deals, save more money. And save the world. Sat, 11 Feb 2012 21:46:28 +0000 hourly 1 http://wordpress.org/?v=3.1.3 By: eadriceise http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-44077 eadriceise Sun, 10 Jan 2010 08:11:30 +0000 http://www.mint.com/blog/?p=7442#comment-44077 1980 content fuels 1979 non world 1980 content fuels 1979 non world ]]> By: Rick Roloff http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43613 Rick Roloff Tue, 29 Dec 2009 15:42:31 +0000 http://www.mint.com/blog/?p=7442#comment-43613 In regards to the Roth conversion, and "why pay taxes now when you can wait". We are in a historically low tax rates right now (not lowest ever but low in comparison to most of the last century). With baby boomers retiring, the work force is getting smaller, and on average people are making less money then the previous generation for the first time in american history. Factor in that the large number of people retiring over the next 10 to 15 years will be getting social security benefits from the government. Less people paying taxes, making less money (so in a lower tax bracket), more money going out in government aid... Government can borrow more (please no!), cut benefits (maybe a little but not excessively as senior citizens are highest voter turnout), or raise taxes. My money is on raising taxes over the next couple decades. So in my humble opinion, that is why you would want to pay taxes now instead of waiting! In regards to the Roth conversion, and “why pay taxes now when you can wait”.
We are in a historically low tax rates right now (not lowest ever but low in comparison to most of the last century). With baby boomers retiring, the work force is getting smaller, and on average people are making less money then the previous generation for the first time in american history. Factor in that the large number of people retiring over the next 10 to 15 years will be getting social security benefits from the government.

Less people paying taxes, making less money (so in a lower tax bracket), more money going out in government aid…

Government can borrow more (please no!), cut benefits (maybe a little but not excessively as senior citizens are highest voter turnout), or raise taxes.

My money is on raising taxes over the next couple decades.

So in my humble opinion, that is why you would want to pay taxes now instead of waiting!

]]> By: Marc Wood http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43510 Marc Wood Sat, 26 Dec 2009 02:05:33 +0000 http://www.mint.com/blog/?p=7442#comment-43510 Great information! I think I know it all every year, but don't prepare the way I should until it's to late. This is going to be different as I am going to be more prepared for tax time. Thanks! Great information! I think I know it all every year, but don’t prepare the way I should until it’s to late. This is going to be different as I am going to be more prepared for tax time. Thanks! ]]> By: someone http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43496 someone Fri, 25 Dec 2009 03:23:40 +0000 http://www.mint.com/blog/?p=7442#comment-43496 Pay off your student loan interest this year and take deduction. I think you should be able to take deduction for the entire interest amount. As one other poster rightly said, you will not be able to deduct it once your income is higher. Pay off your student loan interest this year and take deduction. I think you should be able to take deduction for the entire interest amount. As one other poster rightly said, you will not be able to deduct it once your income is higher. ]]> By: wff http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43491 wff Thu, 24 Dec 2009 18:15:44 +0000 http://www.mint.com/blog/?p=7442#comment-43491 Robert, You are so right on this one. I think people get so caught up in the small things that will help, but I think one of the best things they can do is to start a business. Robert, You are so right on this one. I think people get so caught up in the small things that will help, but I think one of the best things they can do is to start a business. ]]> By: KyCats http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43486 KyCats Thu, 24 Dec 2009 14:49:52 +0000 http://www.mint.com/blog/?p=7442#comment-43486 Be careful with #3 and #4. If you are eligible for the zero capital gains tax rate, then your capital losses will be worth the same-- zero. Also, your FEDERAL tax on capital gains will be zero (if you qualify) but STATE capital gains taxes probably still apply. Be careful with #3 and #4. If you are eligible for the zero capital gains tax rate, then your capital losses will be worth the same– zero. Also, your FEDERAL tax on capital gains will be zero (if you qualify) but STATE capital gains taxes probably still apply. ]]> By: Griff Hanning http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43446 Griff Hanning Wed, 23 Dec 2009 15:41:58 +0000 http://www.mint.com/blog/?p=7442#comment-43446 Great Tips! Thank you for your research and thoughtfulness when it comes to helping people save money. Merry Christmas! Great Tips! Thank you for your research and thoughtfulness when it comes to helping people save money.

Merry Christmas!

]]> By: Anonymous http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43423 Anonymous Wed, 23 Dec 2009 01:06:45 +0000 http://www.mint.com/blog/?p=7442#comment-43423 Betty, The reason you want to do #2 (pay taxes today) is because of your comment for #6 (taxes are going up). Especially for the 100,000k plus people, the Bush/Cheney tax cuts are soon to expire. Betty,

The reason you want to do #2 (pay taxes today) is because of your comment for #6 (taxes are going up). Especially for the 100,000k plus people, the Bush/Cheney tax cuts are soon to expire.

]]> By: John F Falconer http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43398 John F Falconer Tue, 22 Dec 2009 04:36:29 +0000 http://www.mint.com/blog/?p=7442#comment-43398 Under your Roth suggestion, you MEANT to say the TAX can be paid over 2-3 years, not the income. I hope. Under your Roth suggestion, you MEANT to say the TAX can be paid over 2-3 years, not the income. I hope. ]]> By: Cory http://www.mint.com/blog/how-to/tax-planning-strategies/comment-page-1/#comment-43379 Cory Mon, 21 Dec 2009 15:48:42 +0000 http://www.mint.com/blog/?p=7442#comment-43379 Note, that you can also gift appreciated securities to 501c3's. If you have stocks, that have appreciated significantly in value, you can gift these and not get hit by the capital gains tax, and you still get the full deduction. Below, I am re-posting Facebook Users note about needing to itemize deductions to take the charitable deduction. ---- Just remember! If you want to contribute to charitable organizations and use it on your 2009 tax return, you MUST itemize your deductions. You cannot claim donations with standard deductions. A lot of people do not realize this. See more: http://www.irs.gov/newsroom/article/0,,id=105101,00.html . Note, that you can also gift appreciated securities to 501c3′s. If you have stocks, that have appreciated significantly in value, you can gift these and not get hit by the capital gains tax, and you still get the full deduction.

Below, I am re-posting Facebook Users note about needing to itemize deductions to take the charitable deduction.

—-

Just remember! If you want to contribute to charitable organizations and use it on your 2009 tax return, you MUST itemize your deductions. You cannot claim donations with standard deductions. A lot of people do not realize this.
See more: http://www.irs.gov/newsroom/article/0,,id=105101,00.html .

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