All taxpayers have two options when it comes to deductions. Either take the standard deduction or itemize. If a taxpayer claims the standard deduction, itemizing no longer becomes an option. The standard deduction is a fixed deduction amount that is determined by the taxpayer’s filing status. This tax season, the standard deduction amount is $12,400 … Read more
Low-to-moderate-income workers can reduce their tax bill and increase tax refund by claiming the earned income tax credit. The EITC amount depends on the number of children you have and the income you earn. For 2020, the maximum EITC you can claim as a single filer is $538 if you have no qualifying children. If … Read more
The property tax rates vary by state. A higher property tax rate usually means a higher pay to the state but it doesn’t end there. The median house price also matters. Let’s take Hawaii as an example. The state property tax rate is the lowest in the United States but it has the highest median … Read more
Itemizing deductions can offer a higher deduction amount than the standard deduction. This is why we suggest calculating the total itemized deduction amount first, then deciding whether to itemize or take the standard deduction. As of now, the standard deduction is $12,400 for single filers, $24,800 for joint filers, and $18,650 for head of household. … Read more
The Internal Revenue Service allows taxpayers to request their tax return transcripts for at least the past three years. A transcript features basic information about the tax return and shows the Adjusted Gross Income. So if you ever wonder about your adjusted gross income in the past, requesting a transcript is a great way to … Read more
If you’re live in the states other than the ones that do not impose a state income tax, you are bound to file a tax return just like for your federal income taxes. While you can claim a standard deduction on your federal income tax return to reduce taxable income, it isn’t really the case … Read more
Property insurance is a very wide term for a series of types of insurances that cover a property. There isn’t single property insurance that will cover everything. Typically, you will have the option to get but not limited to the following types of property insurance. While property insurance isn’t exactly mandatory, it may be required … Read more
When you go to the bank to open a bank account, you will have plenty of options to choose from but most likely, you will either open a checking or a savings account. While both types of bank accounts are very similar, only one will certainly not appeal to all. This is why knowing the … Read more
Your credit score is without a doubt one of the most important aspects of your personal finances. Even when you want to up the available credit line, your credit score will be the deciding factor. Other than your credit score, the lenders will take a look into your credit report(s). Your credit report, unlike your … Read more
When calculating your monthly mortgage payment amount, there are a lot of things you need to factor in. How much you’re going to pay each month depends on the borrowed amount and the interest rate. Usually, during the first years of your mortgage payments will go more towards interest. This is one of the fundamentals … Read more