The purpose of THE ACCOUNTINATOR is to teach you to do your own accounting – quick, cheap, and easy. But what is accounting? Why do you need to know it? How should you learn it? P ã e s * B r e a d sby Renata Diem, on Flickr What is accounting? I’ll start […]
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Monthly Archives: December 2011
Student loan interest is tax deductible
Graduated!by ralph and jenny, on Flickr This part of my continuing series on things everyone should know about taxes. Yes, student loans are tax deductible, (subject to various limits). They are deductible as an “adjustment to income” rather than as an “itemized deduction.” This means that you can deduct student loans from your taxable income […]
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How to get rid of old stuff and reduce your taxes
Aceitunas Balaguerby Jorge Franganillo, on Flickr I’m about to save you hundreds of dollars on your next tax return. The IRS permits you to deduct the fair market value of any property that you donate. This can include clothing and household items that are in good condition, such as furniture, electronics, appliances, and linens. Here […]
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Give more charity, pay less taxes
US Mint Americans rank first in the world when it comes to charitable giving, according to a recent article in the Wall Street Journal. Make sure that you take advantage of the tax benefits that come with charitable giving. Understanding the rules can help increase your tax deductions and reduce your overall taxes. Here are […]
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Save taxes on your taxes
This is part of a continuing series of posts about everything everyone should know about the federal income taxes that you pay: Minnesota Tea Part 2011 tax day protestby Fibonacci Blue, on Flickr State and local income taxes are deductible from your federal tax return if you paid them during the year, if they were […]
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Big Deal: My post in Technorati
I’m very excited to announce my very first guest post, in Technorati. In this article, I explain how the new payroll tax deal doesn’t actually save anyone very much money. Worse yet, the payroll tax system itself is regressive. This means that the more income you earn, the lower the rate of tax you pay. Happy […]
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How to save thousands of dollars on medical bills
Photo by Conor Lawless on Flickr Let’s face it. Healthcare is expensive. In this post I’d like to quickly summarize the tax rules that can minimize the cost of your healthcare. Some of these can save you thousands of dollars a year. Here is how the IRS defines medical expenses: Medical expenses are the costs […]
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Can you deduct anonymous Secret Santa layaway gifts on your taxes?
The big thing this Holiday season is anonymously paying off lay-away accounts at K-mart. It works like this: go to customer service desk at K-mart (or any other store), and offer to pay someone else’s account. If you have a soft spot for, say, children’s toys, they will help you find an appropriate recipient, within […]
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Keeping sales receipts
from Kimubert’s Photostream on Flickr Every sale you make should be recorded immediately, per IRS regulations. Here are a few simple ways to do this: Ring up every sale on a cash register and save the tapes. Save bank deposit slips. With each bank deposit slip, attach copies of all the checks received. Keep a […]
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Should you itemize deductions?
Understanding itemizing versus standard deductions is very important because it determines whether individual deductible expenses will actually affect your total taxes. For example, if you itemize, then another charitable expense will increase your deductions, and lower your taxes. On the other hand, if you are unable to itemize, then additional charitable expenses will have no […]
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