Taxes Part 4: Return of the Refund
Posted by moonimus on Mar 26, 2008
I sent in our amended federal tax return and state tax return about two weeks ago. The process was very painful as I had to prepare additional schedules and forms. So we should be getting our state refund in about four weeks. Then about two months after that, we’ll get our tax rebate from the Federal government. Sweet!
Because of that late 1099 we received, our refund was reduced by about $500. I don’t think I’m quite over my frustration.
If you haven’t started your taxes yet, Clever Dude is giving away a TaxCut Premium keycode. I have mixed reviews on TaxCut that you can read about here but all the bugs should be fixed by now. Not much time left to file!
Death Touches Us All
Posted by moonimus on Mar 19, 2008
I just found out that my Confirmation sponsor died today. He was a family friend and knew me since I was born. I had dinner with him and his wife and my folks a couple of weeks ago. We were celebrating his birthday. I promised him that I would visit in the spring for some golf instruction. He was a World PGA certified instructor and from what I heard, very good at teaching golf. I’ll never know…
He was supposed to meet Mrs. Moonimus and Baby Moonimus during that dinner but we were being cautious parents as Baby Moonimus was getting over a virus. I can’ t help but feel foolish as to why Baby Moonimus will never meet my sponsor.
So go hug and kiss your loved ones. Call a friend you haven’t spoken to in a while. Make dinner plans with that person that you were supposed to have dinner with weeks (months more like years ago) because you never know when you will see them again.
A Book Clutter Solution
Posted by moonimus on Mar 6, 2008
Before I lived in New York City, it seemed like I was buying a book about every other week or so gathering an impressive personal library. It wasn’t until I started living in a cramped apartment that I realized how managing a sizable personal library could be such a burden. Plus, I didn’t even read every book! Well I performed a huge purge not too long ago and made some money in the process.
I got rid of those books that no longer had any appeal or books that would never be read again. I was going to donate them all to the library but then I ran across this post at the Dollar Stretcher (scroll down to Cash For Old Books). I then entered the isbn numbers for each book into Cash4books and Book Emporium and sold to the one offering a higher price. They even picked up the shipping. However, I noticed that some of my books were fetching between $10 and $18 per book.
For the higher priced books I set up a half.com account and listed them using half’s recommended price ranges. Some of those books I listed at more than double the highest price I was offered. I know my buyers are getting solid deals as I’ve priced the books to move and all the books have been maintained well. I’ve sold about 20 books so far and have received about $90. It’s definitely better than nothing.
I’d like to continue to get rid of the clutter in our apartment and if we can make money doing it, all the better.
February Monthly Update
Posted by moonimus on Mar 4, 2008
Now that my birthday is behind me, it will be another four years until I can proudly say that my birthday is on February 29th. I wonder where we will be financially…
As you can see in February, our Personal Loans have decreased significantly while our credit cards have ticked up again. Credit cards have increased as baby Moonimus is in need of some new stuff. She’s growing out of clothes and I’ve promised Mrs. Moonimus a stroller for months. Also, some of these charges will be reimbursed and we returned some items for refunds that haven’t hit the bank yet so the increase is again attributable to timing. At the rate of our payoff coupled with our tax refund windfall (not including the tax rebate in the summer), we will be out of credit card debt in no time.
I’ve also finally set up a spreadsheet to track our wealth and will report on changes in wealth next month.
As far as weight loss is concerned, I know this isn’t what you call progress. I still can’t shake the cold from two months ago but I just purchased some Mucinex so hopefully my cough and phlegm in my throat will be history. I’ll take any progress I can get, even if it’s .05% body fat reduction!
Chasing the Commuter Card Deal
Posted by moonimus on Mar 3, 2008
Today on my commute home, I saw an advertisement on the walls of the subway for the Chase Commuter Card. Initially, I thought only subway costs applied but apparently it also includes any charges for NYC yellow taxis. Essentially for every $150 you charge, you will receive $10 back. There’s only about a month left to take advantage of this deal.
At a cursory glance, this may seem like a good deal but if we look deeper, it’s not so great. Most New Yorkers that would anticipate a $150 in commuter expenses are most likely enrolled in their company’s pre-tax commuter benefit. Even if your marginal tax rate is 10%, you would save $15 on your taxes without using Chase’s promotion. Marginal tax rate is the rate of tax for any change (addition or deduction) in income usually referred to as your tax bracket. Of course, tax savings is not an immediate benefit.
For me, a monthly pass before March was $76. It would have taken two months for me to get the benefit. But then my marginal tax rate is 25% so it really makes no sense to participate.
But had I known that it would have applied to NYC yellow cabs, I may have tried it. I really doubt I could have taken $150 worth of taxi rides in 3 months though.
Moral of the story, when making choices that may impact your taxes, you have to know your marginal tax rate.
