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So why bother filing a tax return if there’s no income left after you subtract the deduction? For starters, you could be leaving money on the table. Learn more about why you might want to file taxes. Income Thresholds for Federal Taxes The amount of the standard deduction varies by filing status, and it’s usually adjusted each year to keep up with inflation. Every taxpayer is entitled to subtract the standard deduction from their income, so they’re only taxed on what remains....

The idea of this movement is to cut your expenses and maximize your savings to allow you to reach financial independence and a very early retirement. The movement calls itself FIRE—short for Financial Independence/Retire Early. What Is the FIRE Movement? The FIRE movement is made up of people around the country who think that you should be retired well before you hit your 60s, with some even advocating for retiring by 30....

A domestic partnership has its own financial benefits. The differences between a marriage and a domestic partnership are many, and each has its own advantages. Which is right for you depends on your preferences and circumstances. What’s the Difference Between a Domestic Partnership and Marriage? Sharing Health and Retirement Benefits Married partners have access to spousal IRAs, and they can roll over a spouse’s IRA into their own upon their partner’s death....

After all, consumer spending drives economic growth, and the government distributed a lot of money in 2021 to help get people through the pandemic. In fact, a recent analysis from economists at Goldman Sachs suggests that the country’s overall disposable income for 2021, adjusted to remove the impact of inflation, was an average of 5% higher than pre-pandemic trend levels because of all the aid people got—things like stimulus checks, extra pandemic-era unemployment benefits and the expanded child tax credit....

An effective company summary should give readers, such as potential investors, a quick and easy way to understand your business, its products and services, its mission and goals, how it meets the needs of its target market, and how it stands out from competitors. Before you begin writing your company summary, remember to stick to the big picture. Other sections of your business plan will provide the specific details of your business....

Renew Your FAFSA in 6 Simple Steps Fortunately, filing a FAFSA renewal is easier and faster than completing the form for the first time. Some of the information you provided on the previous year’s FAFSA is carried forward and prefilled in what’s known as your Renewal FAFSA. Here’s the process you should follow to file your Renewal FAFSA for the upcoming school year and reestablish your eligibility for student aid....

It’s good to contact the police any time you’re in a car accident. In some states, it is even required. Either way, you are better off letting the police decide whether they should come to the scene of the crash. Once you’ve called the police, you will have done your part to protect yourself and follow the law. This will be helpful if someone files a lawsuit later.​ Should You File a Report for Small Accidents?...

The financial account is a measurement of increases or decreases in international ownership of assets. The owners can be individuals, businesses, the government, or its central bank. The assets include direct investments, securities like stocks and bonds, and commodities such as gold and hard currency. The financial account reports on the change in total international assets held. You can find out if the number of assets held increased or decreased....

As a parent, you may be willing to help them get set up or you might let them find a way to cover their expenses on their own. No matter which approach you take, you can prepare them for what to expect. Talking to your child about finances may help them make better-informed financial decisions, especially as they start out on their own. Here are 10 financial planning tips for high school students that can help set them up for success....

It doesn’t seem fair. What’s worse is you might not even find out that you owe taxes until the day you open your mail to find a 1099. Bear in mind that not all 1099s mean you will pay income tax, either. The banks send 1099s as a routine matter. I spoke with Julian Block, an attorney in Larchmont, NY. Here is what he has to say about taxes, gains, and losses on distressed sales such as foreclosures and short sales....

Any time you have income from non-employment sources such as an S corporation, rental properties, or distributions from a trust, you must file Schedule E. Learn more about when this form is required and how to file. What Is Schedule E? Certain business entities, such as S corporations, pass their profits and losses through to the owners or shareholders of the business. These individuals must then report those profits or losses on their own personal IRS Form 1040 and Schedule E....

What Is a Golden Parachute? A golden parachute is a substantial incentive in a corporate executive’s compensation package that is paid if the executive leaves because they are forced out due to a merger or sale of the company. Golden parachute payments may include cash, severance pay, stock options, or a combination. The 2017 Tax Cuts and Jobs Act (TCJA) extended the golden parachute regulations to tax-exempt organizations. The rule is similar, but the excise tax is 21%....

However, a HELOC allows you to draw money from a line of credit, while you get a lump sum if you take out a second mortgage. With a second mortgage, the repayment period, interest rate, and monthly payment amounts are usually fixed. With a HELOC, the interest rate and monthly payments can change over time. In addition, the repayment period for a second mortgage is usually shorter than the repayment period for a HELOC....

It’s a frustrating feeling, but it might just mean that your approach needs some adjustment. Here are some ways to isolate the problem—be it in the pricing, the marketing, or even the people helping you—and find an answer to that panicky question: Why isn’t my home selling? Your Home Isn’t up to Snuff Take a look at the local real estate scene. If 90% of the homes in your market are not selling, then your home needs to be in the top 10%....

Grants are highly competitive, and many are designed for specific improvements that ensure the home is safe, accessible, livable, and non-hazardous to those on the property and in the community. Read on to see if a home improvement grant can help you achieve your goals. Where To Find Home Improvement Grants A home improvement grant, also called a “home repair grant,” is a type of financial aid issued by the government at the federal, state, or municipality level....

Homebuilder confidence fell in October to its lowest point since May 2020, just after the pandemic hit, according to the National Association of Home Builders/Wells Fargo Housing Market Index released Tuesday. The outlook for builders of single-family homes is rapidly worsening: Soaring mortgage interest rates—a direct result of the Federal Reserve’s campaign of anti-inflation interest rate hikes—have priced buyers out and dragged down the entire residential real estate market. On top of that, inflation is hammering household budgets, and many economists see a recession on the horizon....

Latino homeownership is in fact on the rise. A study by the Urban Institute estimates that Latino buyers will comprise 70% of homeownership growth during the 2020 through 2040 period. However, the path to homeownership isn’t always a smooth one. Latino homebuyers are more likely to use risky financing than other homebuyers to secure a home, one study found. For others who might have less-than-stellar credit or are lacking in savings, it can take years of planning and sacrifice to be approved using more traditional routes....

What Is a Power of Attorney The simplest explanation is that a power of attorney is a document that gives someone — called the agent or attorney-in-fact — one or more authorities to act on behalf of someone else. The person granting this authority under the POA is called the principal. Powers of attorney can allow an agent to act in certain situations regarding the principal’s health care, or they may authorize him to make financial transactions on the principal’s behalf....

It is important to understand what qualifies as making a capital improvement to your investment property and what instead qualifies as making a repair or minor upgrade so you claim the correct tax break. Deducting Capital Improvements A capital improvement is a property update that extends the “useful life” of the property. This is defined as the period of time during which the asset serves a useful purpose. Wear and tear can factor in because an asset might be more useful and accomplish more initially than after years and years of use....

The lender’s interest is secured by the assets of the borrower in all asset-based loans (ABLs), which also determines how large a loan a company can access. But many of the asset-based lenders want a company with a stable balance sheet with strong assets. Who Uses Asset-Based Loans? Many companies have to cope with financial struggles during economic crises. Unsecured loans have therefore become hard to come by because many financial institutions aren’t willing to extend these loans and take on the risk of not being repaid....