The Taxman Cometh

[Cowdisease]

I heard from someone that if you have a 30-year mortgage, you can pay it off in 15 years by using your tax refund on your mortgage every year. Any truth to this claim?

[Calliander]

A mortgage is just like rent - you pay every month. Unless your refund is humongous, it shouldn't really help too much. Making double payments is the best way to pay a 30 year (fixed rate, I might add) off in 15.

[Cowdisease]

A mortgage is just like rent - you pay every month. Unless your refund is humongous, it shouldn't really help too much. Making double payments is the best way to pay a 30 year (fixed rate, I might add) off in 15.

I should have made my comment more clear. Assuming you also make your monthly mortgage payments, the belief is that you can pay off a 30-year mortgage in half the time with your tax refunds (15 years worth) because of the tax credit you receive from owning a home.

[D_N_G]

I could, but truthfully it would depend on how you setup your deductions/adjustments, how your W2 is setup and how much money you make. Shit just have 10 kids and you will be set to do the same

[Cowdisease]

Alright folks, the tax deadline is a little more than a month away, so I'm bumping this old thread.

Have you started doing your taxes yet? Are you expecting a huge refund? If Uncle Sam is giving you a refund, how are you going to spend it?

[burgundy]

Uncle Sam just deposited almost $1900 into my checking account. I like it.

[Jetman]

Have you started doing your taxes yet?

Shit. Thats what I was doing today....

[Bacon McShig]

I was going to owe both the fed and the state, but I transferred some money into my ROTH IRA as a 2005 contribution, which carries a tax credit that should offset what I should have owed the fed. Only owe a little to the state, less than $50.

[burgundy]

Hmmm....you sure about that tax credit? The point of the Roth IRA that you place taxed income in it, but it can grow tax-free. Your deposits shouldn't get you a credit.

[Diff-chan]

Hmmm....you sure about that tax credit? The point of the Roth IRA that you place taxed income in it, but it can grow tax-free. Your deposits shouldn't get you a credit.

IAWTP.