Income Tax

[DazedandConfused]

Just figuring my contribution to the non-workers. It will cost me $2399 to invest $4000 in an IRA so I get a refund from the state and fed. That works out to an immediate 66.7% return on my money. Of course I will have to pay tax on that in 8 years. Actually I would end up with a $408 refund without the IRA contribution so it would really cost me $2809 for a return of 42.4%

[ucanit]

Two questions!

1. Do you have a contract with "the old postmaster in the sky" that guarantees you'll be here in 8 years to pay those taxes???

2. (AND THIS IS TO ALL CSRS RETIREES) To receive your $250.00 Credit that was paid to Social Security Retirees last year, download a copy of Schedule "M". Take this to your Tax Preparation Person and file with your 2009 Tax Return. This will be a CREDIT for payment purposes.

FEDSMITH is a good website to keep informed with what's happening in Government & Postal matters. Here is an article about the $250 tax credit and Schedule M.

[DazedandConfused]

UCanIt, why do my kids keep saying, "keep saving dad"? I just want to work at least 3 years 3 months more to quaify for my state pension. If I make it I would be 66, qualify for Social Security, Medicare and State Pension at around the same time.

[ucanit]

You da man, Dazed!

Now, tell those kids that you'll keep right on saving...but only for 39 more months. Then your primary goal will be to spend and enjoy every damned penny that you've worked so hard and long to accumulate!! Just watch their jaw drop!!