Friday, June 14, 2013
WHAT’S THE BUZZ, TELL ME WHAT’S A HAPPENNIN’
* CPA ADVISOR reports “IRS Income Tax Tables for 2014 Tax Season”. The information discussed in this post actually applies to tax year 2013 – for 2013 returns to be filed in 2014.
* “Tax Pros: Do You Know What You're Worth?” The NSA BLOG reports on the findings of its 2012-2013 “Income and Fees of Accountants and Tax Preparers in Public Practice” survey.
The survey indicated that the average cost of a Form 1040 with Schedule A and a state return is $246. The average cost for a non-itemized return is $143.
As you would expect, prices vary based on region. The average cost for a Form 1040 with Schedule A and a state return for the “Middle Atlantic” region – New Jersey, New York, and Pennsylvania – is $258.
I hope my clients read this – and realize how lucky they are!
* The marriage penalty is alive and well. So we learn from “Wedding-Bell Blues” at the WALL STREET JOURNAL.
The article points out -
“For example, if the hypothetical spouses cited above each earn $75,000, rather than one partner earning $150,000, they could incur nearly $4,000 more in tax compared with what they would owe as single filers with the same income, deductions and children.”
* Just a reminder – the 2nd quarter 2013 estimated tax payment is due on June 17th (Monday).
* Another “Reminder: IRS To Be Closed June 14 Due to Budget and Sequester; Filing and Payment Deadlines Unchanged”.
* “Refund, or No Refund?”, that is the question. Over at 5 CENT NICKEL new staff writer William Cowie gives us his answer.
William’s answer is contrary to the popular opinion of financial advisors. And, while I understand the reasoning of the popular opinion, I do support William’s choice.
Adding to William’s reasoning – going for the refund is a form of forced savings. I know full well that if some of my clients received an extra $100 in their paychecks each month, or each week, they would spend it – and not necessarily wisely.
* NJ homeowners - here is the latest word on the 2012 NJ Homestead Benefit program, from the NJDOT website –
“Applications for the 2012 homestead benefit are expected to be mailed in the fall of 2013.”
So the program is still alive.
As for the 2011 NJ Homestead Benefit –
“ . . eligible homeowners will receive their 2011 homestead benefit as a credit applied to property tax bills in August 2013.”
* We all like to get free stuff – especially free stuff that is actual worth something. Kristine McKinley of BEACON FINANCIAL ADVISORS is offering a “FREE Report: 10 Strategies to Maximize Your Social Security Income”.