- Negative Income Tax, Explained
These days, the government works to lift folks out of poverty by means of subsidized housing, grants, tax deductions, tax credits and hundreds of programs targeting different needs. Some economists and tax policy wonks have questioned the need – and the… read more…
- Understanding How 1099 Forms Work
The first thing you should know about the different types of 1099 forms is that if you’re a worker, you don’t need to fill them out yourself. Instead, the entity who is administering your investment account will send you a… read more…
- What Is a Tax Levy?
Failure to keep up with your tax liabilities can lead to what’s called a tax levy. With a tax levy, the IRS confiscates assets of yours such as the money in your savings account or a portion of your wages. Of course, an IRS levy doesn’t happen overnight. You’ll get notices of overdue taxes and have… read more…
- The Ultimate Guide to Tax Liability
The term “tax liability” describes the amount of money owed to the Internal Revenue Service (IRS) at the end of each tax year. Many Americans make reducing their tax liability a goal by chasing deductions and tweaking their filing strategy. If… read more…
- What You Should Know About Estimated Tax Payments
If you are an independent contractor or business owner, you are responsible for making sure that you get the correct tax payments to the government — unlike people who work as employees of a company which withdraws payments from each… read more…
- What Are Medicare Taxes?
If you’ve ever looked at your earnings statement from a job, you have likely noticed some tax withholding. As part of your overall payroll taxes, the federal government requires employers to collect the FICA (Federal Insurance Contributions Act) tax. The… read more…
- What Is a Tax Shelter?
A tax shelter is a place to put your money where it will be safe from the long arm of the Tax Man. Many people think of tax shelters negatively, but they are completely legal and legitimate ways to decrease… read more…
- 3 Tax Reasons to Contribute to a Health Savings Account
A health savings account (HSA) is a way to set aside some money, tax-free, to use for possible medical situations you can’t see coming. If you don’t end up needing the money, can also be used as a vehicle for… read more…
- What Are Income Taxes?
Paying a federal income tax now seems so routine that it’s hard to imagine a time when income taxes were controversial. The federal income tax as we know it is actually only a little over one hundred years old. That’s a… read more…
- Understanding Payroll Taxes and How They Get Paid
According to the U.S. Department of the Treasury, payroll taxes made up approximately 30.6% of federal tax revenue in fiscal year 2022. That’s $1.5 trillion out of $4.9 trillion. These taxes come from the wages, salaries, and tips that are… read more…
- Sales Tax
A sales tax is a form of consumption tax that is collected by merchants who sell goods. The merchants then pass those taxes on to the government. Most states impose a sales tax, expressed as a percentage of the price… read more…
- Understanding How Your Taxes Work
Schools, roads, parks, hospitals, and other public works and services rely on you and your neighbors, businesses, organizations, and estates to pay taxes that will help fund their budgets. Understanding how taxation works can give you a big picture idea about… read more…
- Do You Qualify for Property Tax Exemptions?
Property taxes got you down? It’s worth investigating exemptions, deductions and credits in your area. Even if you don’t live in a property that came with a tax abatement, you might qualify for a property tax break through your local… read more…
- The Lowest Taxes in America
According to the non-profit Tax Foundation, the average effective income tax rate for all U.S. households is 18.1%. That is lower than the highest marginal rate paid by most year-round workers, (at least 25% for any individual with an adjusted gross income of more than $36,901)—but it also doesn’t capture the full picture. For the typical tax… read more…
- 4 Reasons Married Couples Should Consider Filing Taxes Separately
As a general rule, you shouldn’t wait until the last second to file your tax return. It helps to plan and make certain decisions ahead of time to speed up the process. For one, if you’re married, you’ll need to… read more…
- What Is a Refund Anticipation Loan?
A Refund Anticipation Loan (RAL) gives you early access to a sum roughly equivalent to your IRS tax refund. Sounds great, right? Well, the problem with these loans is that they come with significant fees and high interest rates. Another… read more…
- How to File a Tax Extension
The deadline to file your 2022 taxes is April 18, 2023 (April 15, 2024 for tax year 2023). But you may need even more extra time. If you think you’ll need more time to get your taxes done, filing a… read more…
- 3 Tips for Claiming the Energy Tax Credit
You don’t have to be a die-hard hippie to see the sense in adding renewable energy to your home. What stops homeowners from installing these money-saving features is often the up-front cost or a lack of awareness of how going… read more…
- The Saver’s Credit: 2025 Rules and Income Limits
Financial experts recommend saving for retirement. According to one rule of thumb, you should have twice your salary saved by the time you’re 40, and eight times your salary by the time you’re 65. Unfortunately, the average American paces well… read more…
- What Can Happen if You Don’t File Your Taxes?
If you’re expecting to get a big refund, tax season is probably something you look forward to each year. On the other hand, if you always end up owing Uncle Sam, then the April deadline may be a date you… read more…
- What Makes a Professional Estate Planner a Professional?
Estate planning requires interdisciplinary knowledge of law, tax and accounting issues. Yet the answer to the question What makes a professional estate planner a professional? is that they get paid. This answer is not only snarky, but it also exposes a rather disturbing issue: the lack of regulation. In most places, anyone can hang a sign… read more…
- The Dangers of DIY Estate Planning
While it may be tempting to save some money and plan your estate by yourself, it is likely not a good idea. Estate planning is full of small details that the average person just doesn’t know about, but which someone… read more…
- 7 End of Year Tax Strategies That Can Save You Money
It’s tax time! No, it’s not April 15th and you are not the subject of a time travel experiment gone wrong. But if you are one of the millions of taxpayers who expects to owe and wants to minimize your tax bill, or you want to maximize your refund, the time to think about taxes… read more…
- 4 Tax Planning Moves Millennials Should Make Now
No matter the time of year, it’s never too early to start working on your tax strategy. For 20-somethings who are struggling to get a grip on their finances, the whole process can seem overwhelming. And if you’re not sure… read more…
- 5 Steps to Help Care for Elderly Parents
One of the toughest things you will do as an adult is watch as your parents deteriorate with age. Emotionally, it is taxing to watch the very people or person who cared for you as a child slowly become more and more dependent on you for support. The emotional strain can be difficult enough, but… read more…