Unemployment and Income Tax Savings - Introduction
Importance of Understanding Basic Income Tax
You need not be unemployed to learn about income tax savings
Topic of income tax liability becomes more relevant to you and your family when your income is reduced. It is important to pay the absolute minimum required income tax by knowing some of the tax rules. I know that it is an overwhelming task to know ALL of the tax rules, so I will ferret out the most relevant tax information for you to consider so you can squeeze every penny out of your hard earned income.
Basic tax discussion will encompass reducing your tax liability and withholding a n appropriate amount for the tax time. You will see that I do not advocate a large tax refund, but if that's what you want, you can do it at your own peril.
Let me cite the list of topic I plan to cover in the next 11 posts.
- You can change the effective tax rate, and possibly receive more tax refund than you pay into payroll tax. In this post, the following topics will be covered:
- General principles and Terminology
- 4 Keys to Reducing Your Income Tax
- Tax Planning Strategies
- Reducing your Effective Tax Rate
- Increase deduction (if above standard deduction)
- Tips for Reducing Income Tax
- Deduction Dilemma / Solution
- Increase tax Advantaged accounts
- Increase tax credits
- Tax Withholding & Financial Tips – Use W-4
Next post will discuss General Tax Principles and Terminology