What are the tax savings generated by my mortgage

what are the tax savings generated by my mortgage

Student Loan Calculator

College Value Calculator

It may surprise you that, on average, an individual with a bachelor’s degree earns approximately $57,026 per year, compared to the $34,197 average yearly salary of a worker with a high school diploma. Use this calculator to see the value of a college education.

Advantages of a 529 College Savings Plan

Tax-deferral can have a dramatic affect on the growth of an investment. With a state-sponsored 529 College Savings Plan your contributions can grow tax-deferred (some states allow contributions to be partially or completely deductible) and distributed income tax-free as long as distributions are used for qualified education expenses such as tuition, fees, room and board at higher education institutions.

There is no limit on contributions but some states tend to limit contributions once the plan assets have reached a defined maximum (typically $200,000 – $250,000). Under a special election, you may make contributions of up to $70,000 per beneficiary in a single year without triggering a federal gift tax by accelerating five years’ worth of contributions (gifts) as of 2013. Married couples may contribute $140,000 per beneficiary in a single year.*

Assets are professionally managed by fund managers selected by the state. Participants can choose from two to almost 30 mutual fund-type

investments. Control of the account remains with the contributor regardless of the age of the beneficiary.

* A $70,000 gift is viewed as an accelerated gift over five years. Any other gifts to the same beneficiary by the contributor within five years may result in a federal gift-tax liability. If the contributor dies within the five-year period, a prorated portion of the contribution may be included in his or her taxable estate for federal estate tax purposes.

What are the Payments on a Parental (PLUS) Loan?

What are the Tax Savings Generated by My Mortgage?

What are the Advantages of a Coverdell ESA?

Tax-deferral can have a dramatic affect on the growth of an investment. With the new Coverdell ESA (formerly known as the Education IRA) your contributions can grow tax-deferred and distributed income tax-free as long as distributions are used for qualified education expenses. These costs can include school uniforms, computers, and transportation for elementary or secondary school, public, private or religious.

The ability to contribute to a Coverdell ESA is phased out for single filers with Modified Adjusted Gross Income (MAGI) between $95,000 and $110,000 and for joint filers with MAGI between $190,000 and $220,000. The annual contribution deadline is April 15 of the following year.

Source: www.collegesavingandfunding.com

Category: Credit

Similar articles: