[pixelninja]

Thanks to my procrastinating and not getting around to changing my number of deductions since having kids, we ended up getting back over $5000. I know, stupid. Could have been earning interest, yadda yadda yadda. Oh well. Much of that has now been socked away into long term savings.

 

[SkaredShtles]

Thanks to my procrastinating and not getting around to changing my number of deductions since having kids, we ended up getting back over $5000. I know, stupid. Could have been earning interest, yadda yadda yadda. Oh well. Much of that has now been socked away into long term savings.

Now's your chance to up your exemptions. How many do you currently have?

 

[pixelninja]

Now's your chance to up your exemptions. How many do you currently have?

I was at zero. I've up'ed that to 3.

 

[The Toninator]

I was at zero. I've up'ed that to 3.

now you should automatically deduct $208.33 a pay check and have it deposited in an IRA or something like that.

 

[splat]

now you should automatically deduct $208.33 a pay check and have it deposited in an IRA or something like that.

tony , you are scaring me that you know that # !!

 

[SkaredShtles]

I was at zero. I've up'ed that to 3.

If you have a mortgage deduction anywhere near like mine, 3 won't be enough.

 

[SkaredShtles]

now you should automatically deduct $208.33 a pay check and have it deposited in an IRA or something like that.

This is excellent advice if your employer allows such things.

 

[Westy]

This is excellent advice if your employer allows such things.

Next year my mortgage interest payments may drop below a point where it makes sense to itemize my deductions. I see this as a good thing.

 

[SkaredShtles]

Next year my mortgage interest payments may drop below a point where it makes sense to itemize my deductions. I see this as a good thing.

That is an *excellent* thing, mah man.

 

[Lex]

now you should automatically deduct $208.33 a pay check and have it deposited in an IRA or something like that.

What's the significance of that particular number?

 

[pixelninja]

now you should automatically deduct $208.33 a pay check and have it deposited in an IRA or something like that.

I've upped my 401k contributions, and we just opened a higher-yield saving account (4.25%) that we'll direct deposit into. We may also open up an IRA this year also. We need to see how things pan out because money was REALLY tight last year and we don't want to sock away money that we may need to live on, but if we can swing it, an IRA would be a good thing.

 

[pixelninja]

What's the significance of that particular number?

He assumed that I get paid twice a month, and that amount times 24 paychecks equals around $5000. Basically he's saying that instead of letting uncle sam hold on to my money and not give back any interest, I would be better served by taking that money and putting it in an IRA.

 

[The Toninator]

He assumed that I get paid twice a month, and that amount times 24 paychecks equals around $5000. Basically he's saying that instead of letting uncle sam hold on to my money and not give back any interest, I would be better served by taking that money and putting it in an IRA.

Long term. I personally like to get 1500/2000g back each year becuase i use that money to travel, if i comes directly to me i'll just spend it. Anymore than that and i would probably look into other ways to invest or even spend that money.
I actually had to lower my 401 this year so i can have a little extra cash to live on. this year money seems tight for some reason and i'm going to relocate at the end of the year. I'm down to 10% in my 401. i'm also thinking about dropping another 5% and investing that in an IRA just as a different invetsment option but my funds are doing ok so i'm not sure if i wana mess that up. i guess it really depends on the ira yeld.

 

[SkaredShtles]

Long term. I personally like to get 1500/2000g back each year becuase i use that money to travel, if i comes directly to me i'll just spend it.

You should have them drop the $60/mo into a savings account. ink:

 

[The Toninator]

You should have them drop the $60/mo into a savings account. ink:

I already have a ben per paycheck go into a savings account. I use it for moderate short term purchases.
i really need a long term savings for large purchases like a house.

 

[Qman]

Thanks to my procrastinating and not getting around to changing my number of deductions since having kids, we ended up getting back over $5000. I know, stupid. Could have been earning interest, yadda yadda yadda. Oh well. Much of that has now been socked away into long term savings.

I know it's all relative but I wouldn't be that busted up about $5K coming back unless you're really good at stock picking and didn't have another $5K to use at the time.
My accountant messed up once and put some other clients' cover letter in my tax folder. (No personal information other than their name really so a strange mistake but not the end of the world.) They were getting $52K as a refund.
That isn't so good. But at that level I imagine that's barely noticeable to them.
Like one of the McCaw's around here. When we had a fake drought a couple years back, the local paper did some research and found out he was spending $33K per month on his water bill.
When they asked him about it on the news he said he had no idea it was that much.

 

[pixelninja]

i really need a long term savings for large purchases like a house.

That's what we just did. We have a couple checking accounts and a short-term savings account, but just opened this new one to be our long-term emergency/big purchase account.

 

[pixelninja]

I know it's all relative but I wouldn't be that busted up about $5K coming back unless you're really good at stock picking and didn't have another $5K to use at the time.

Yeah, we're not too busted up about it. We've stuck some into savings and are using the rest to fund some home improvements that I've been putting off. It's coming in handy right now, but in the future I think I'll try to level things off a bit and not pay so much taxes up front.

 

[mantispf2000]

Actually had to pay a whopping $65.

 

[oly]

Still have to finish mine this week..... maybe this afternoon .... haha.

 

[fiddy_ryder]

single 1... got back a bit over 8k... got house loan, prop tax is fairly high in my area also..