TIPS ON TAXES

[Anonymous No.13294662]

ITT: Put down your tips, advice, tricks, hacks, whatever about fucking the IRS before it fucks you.
What are the most effective ways of reducing taxes?
What are some hacks? Like leasing a car instead of buying it out or like claiming 9 exemptions every year.
What else could you offer?

[Anonymous No.13294845]

as it so happens just yesterday i did all the math predicting how much i would spend on taxes this year.

I ran 3 scenarios: one where I would max out my $19,000 401k. a second where i would contribute half ($8,500). and a third where i would contribute 0 to my 401k.

if you look, I concluded that if I contribute $19,000 to my 401k I will save $4,800 in taxes (only paying $5,926 total state and fed) but I would have $14,200 less cash in hand.

I care about how much cash in hand i have because I plan on buying a house in like 3 years. so that money does no good to me when i'm 65.

i will admit that i ended up going with that scenario even though i've been talking shit on it

[Anonymous No.13294874]

>>13294845
Nice, anon.
Do you do anything else to reduce your taxes? Such as writing off anything as much as legally possible?

[Anonymous No.13294884]

>>13294845
i screwed up some of the color coding

but the gov has become extremely efficient at taxing us. you can't escape

[Anonymous No.13294963]

>>13294874
I don't own a mortgage so I only take the standard deduction. I've never taken the itemized deduction.

Some things I've thought about:

-move to a state without income tax that gets it's revenue from toll roads and don't drive
-move to puerto rico
-if you're getting lasik or some type of surgery, and your job offers flexible spending, max it out
-max out your 401k (like i'm gonna do this year and showed in the graph) but then keep going on to max out an ira or roth ira


another thing I did last year which I'm very happy about: last year I worked 2 months of the year, quit my job and started driving through the us trying to reach all 50 states. I had $100,000 saved up. I invested it in February when the stock market dipped. I was dumb enough to invest half of it in bonds. Around Christmas when the dow really took a dive, I sold the bonds and converted them into high-yield stocks. I thought i might get raped on taxes because i sold those securities before waiting a year. but since i worked so little last year I: A) got a full refund. B) got the AIC credit (so free money) C) didn't pay taxes on those securities i sold D) didn't have to pay the Obamacare penalty. so i'm pretty happy about 2018's tax returns.

[Anonymous No.13294983]

>>13294884
>but the gov has become extremely efficient at taxing us. you can't escape
Bloody thieves...

[Anonymous No.13295005]

>>13294874
buy gift cards around christmas season for groceries, liquor store, etc. write all these off as "gifts". use these gift cards to buy yourself shit.

[Anonymous No.13295026]

bump

[Anonymous No.13295057]

>>13295005
That's a nice one.
Another one is having a "business on paper" and writing off purchases such as a new computer or camera as a "business expense".

[Anonymous No.13295261]

bump
i wish biz had more threads like these instead of crypto spam

[Anonymous No.13295300]

>>13295026

Difference between a chad and incel is a few mm of bone.

[Anonymous No.13295317]

>>13295026
What's this? Photoshop or surgery?

[Anonymous No.13295468]

bumpola

[Anonymous No.13295519]

>>13294963
I live i Puerto Rico and I have to pay $2,000 in PR taxes + $3,000 I already payed plus $1,000 in federal taxes. Living in Puerto Rico and not paying taxes is a meme, only the uber rich investors don't pay

[Anonymous No.13295988]

>>13295317
Ps and a tan