Originally Posted by lewdog:
Not worth it with rates this low. With your down payment and house price, your mortgage will be dirt cheap. Still makes sense to buy.
I think I found a good local lender on my third try. Quicken was trying to go in dry.
Just got pre approved for 15 year conventional for an amount that I actually need, not what they want to lube their loan cock with. [Reply]
Nah. You don’t get to write off home mortgage interest unless you itemize. Which after Tax Cuts and Jobs Act the standard deduction is super high and virtually nobody itemizes.
Even then you’re only deducting itemized expenses OVER what the standard deduction is.
For instance, Clay, your standard deduction for 2020 is 12,400. If you make any money medical is probably kicked out as there is a 7.5% of AGI exemption. And state taxes (which would include your property tax, so as a single dude, that’s the one limit that isn’t halved for single dudes you might have something there, but whatever. Follow along) is limited to 10K. So in order to fully deduct your mortgage your SALT and contributions would have to equal 12,400.
Here’s an example with made up numbers.
2020 Clay:
Medial: $0
SALT: $2000
Home mortgage interest: $0
Contributions: $500
TOTAL Itemized: $2500. Clay is taking $12,400 Standard Deduction.
2021 Clay
Medical: $0
SALT: $7,000 ($5k additional PPT)
Home Mortgage: $8000
Contributions: $500
Total Itemized: 15,500. Clay itemizes $15500.
Marginal additional “deductible” expense: $13,000 (plus principle, which is not deductible but still comes Out of your pocket and is probably in the neighborhood of 3-4K the first year)
Marginal additional Tax Deduction: $3,100.
If you can even hit itemized, it’s not a dollar for dollar deduction. Be careful relying too much on deducting anything.
DON'T "Invest" in commodities. Bottom line the sisterfuckers trying to get you to invest in metals are hucksters. If the dollar fails we're all fucked and silver won't save you. [Reply]
Originally Posted by In58men:
Correct, it’s basically similar as stocks. You can purchase, but won’t know when it’ll profitable.
Maybe somebody here has more knowledge, that’s why I ask.
No, it's not the same. When purchasing a stock you should have an expectation of return and the timeline. It's not guaranteed, that's why there's risk but you can use financial data of a company to forecast. [Reply]
Originally Posted by DaKCMan AP:
No, it's not the same. When purchasing a stock you should have an expectation of return and the timeline. It's not guaranteed, that's why there's risk but you can use financial data of a company to forecast.
In theory you should be able to use fundamentals in commodity markets to forecast similar moves. It doesn't work, but I don't know the numbers compared to stock earnings.
But it's an entirely different thing. The goal of a stock is maximize net earnings, suggesting long term growth. The goal of a commodity market is merely to standardize trading. Structurally they cannot continually rise like a stock has the possibility to. [Reply]
Am I reading the home office tax write off stuff correctly. That it only applies to the self employed?
Wife and I have 2 dedicated offices, not bedrooms doubling as offices, but true office spaces. Was hoping there was some type of write off for that based on sq ft. [Reply]
Originally Posted by KCUnited:
Am I reading the home office tax write off stuff correctly. That it only applies to the self employed?
Wife and I have 2 dedicated offices, not bedrooms doubling as offices, but true office spaces. Was hoping there was some type of write off for that based on sq ft.
I may be wrong with all the tax law changes but I thought if you had a home office and used it for your employer, you could claim the percentage of time you used it for business. :-) [Reply]
