Tax Tips

Applying for Federal Student Loans

Yes, you can fill out your FAFSA for the 2018-2019 school year starting October 1st. Yep! In less than a month you could be looking up asset values and tax information from 2016 and possibly pulling your hair out in frustration. Woohoo! Fill it out HERE on the FAFSA website. First thing….and you can do this […]

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Tax breaks for HSAs

IF you qualify to have an HSA, then you have until December 31st to open it.  Some employers have an HSA as an element of the benefit package but don’t despair if that isn’t the case for you…. YOU TOO MAY BE ABLE TO HAVE AN HSA!   Yay! First the bad news (let’s get that […]

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Fake Hurricane Scams

The IRS issued a warning regarding scams related to Hurricane Harvey. The IRS is encouraging people to donate only to recognized charitable groups. Here is a look-up tool. Charitable donations to individuals are NOT a tax deduction. Only donations to recognized charitable 501c3 organizations can be deducted. IRS Publication 526 – Charitable Contributions  

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Ransomware Scam

This scam looks like it is from the IRS & the FBI.   DON’T FALL FOR IT!!!!!!!!!!!  It includes a link that you are instructed to click on.  If you do click on it,  malware called RANSOMWARE will be downloaded which will prevent you from accessing data on your device unless you pay money to […]

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Deductible Medical expenses?

Beginning in 2017 the threshold for deducting Qualified Medical/Dental/Optical expenses goes up to 10% of your Adjusted Gross Income for ALL AGES. Prior to 2017 older taxpayers could deduct amounts over 7 1/2% of Adjusted Gross Income. Remember to keep track of medical mileage. Also, Long Term care is a deduction (for Ohio also even […]

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What’s a W-4?

New job?  Did they hand you a Form W-4 to fill out? Confused? Well you aren’t alone. This form seems to confuse a lot of people. What you are doing is telling your employer how much to withhold from your paychecks. The higher the number of allowances, the less they withhold and the less you […]

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Donating Appreciated Stock

Giving money to a qualified charitable organization?  Well, if you have appreciated stock then think about giving that instead. You will get to deduct the Fair Market Value and not pay tax on the appreciation. It must be a direct contribution.

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Direct donations from your IRA

If you are over 70 1/2 years of age you have a Required Minimum Distribution from your Traditional IRA. If you are giving to charity anyway, why not consider giving directly from your IRA. Why? This keeps your Modified Adjusted Gross Income down which keeps it out of the calculation for higher Medicare premiums, it […]

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Medicare Premiums for Higher-Income Beneficiaries

Social security uses the most recent federal tax return. So for 2017 they likely are using the 2015 tax return. They look at your Adjusted Gross Income plus Tax-exempt Interest Income. They call this your MAGI. If you file Joint then if MAGI is over $170,000, you will pay a higher Medicare Part B and […]

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Social security limits & earning money while receiving it

For 2017 the Social Security taxable wage base is $127,200.  You will pay 6.2% social security tax on wages up to that amount.  This base increased $8,700 from last year. There is no limit on the amount of wages you will pay Medicare tax on.  That tax rate is 1.45% If you are receiving social […]

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