In general, contributions to a Roth IRA are made using your after-tax dollars. Thus, there is no upfront tax savings to you, which may seem a bad deal on your current year's finances. However, the key advantage of this type of IRA is if you start receiving distribution come retirement time, you will not have to pay taxes on that. In addition, you can make an early withdrawal … [Read more...] about 7 Quick Facts About Roth IRA Contributions
2011 Tax Tables and Rates
Every year the tax tables are updated for cost of living allowance (COLA). Your tax filing status determines what tax bracket you're going to be at. Generally speaking, married people filing jointly (MFJ) usually receives the best tax rate. The United States tax system is progressive, which means that as your income increases, your tax rate increases as well. But the good … [Read more...] about 2011 Tax Tables and Rates
Home-Based Business Start-up Guide
There are millions of home-based business in United States and the number is still growing. More and more people are turning into running a home-based business because of the various advantages it presents. Did you know that one of the best ways to reduce your taxes is to start a home-based business? Did you know there are a lot of tax breaks available to business owners that … [Read more...] about Home-Based Business Start-up Guide
Brand New Look for My 15-Year Old Car And How I Save Money On This
As part of our frugal ways, my wife and I share only one car and we were able to do so by deciding to move closer to where I work. This way, neither one of us has to take the public transportation. I have taken care of the "mechanical" aspects of my car by following the periodical maintenance consistently and this is one of the reasons on how the car made it to fifteen years … [Read more...] about Brand New Look for My 15-Year Old Car And How I Save Money On This
Early Withdrawal From IRA (Traditional): 9 Ways To Avoid the 10% Penalty
A distribution is considered an early distribution if it is made before you reach the age of 59 1/2 years. When you make an early withdrawal from IRA (Traditional), the funds will be included in your gross income and you will have to pay taxes on that. Please note that all distributions are subject to your regular tax no matter what reasons you have for making the … [Read more...] about Early Withdrawal From IRA (Traditional): 9 Ways To Avoid the 10% Penalty