The Federal Tax Credits Blog

Posts Tagged ‘workforce_development’

Question: Should I buy a house or use savings to pay off student loans?

I have about 36k in student loans at 6.8% interest. I also have about 30k in savings and take home about 4k. The 8k federal tax credit for first time home buyers ends on Dec 1 so I am wondering if I should just pay down my student loans or use the savings to buy a house. Case for buying home: 1. mortgage rates in the 5%s 2. lots of houses/condos for sale 3. 8k federal tax credit
Case of paying off loans: 1. come close to being debt free

Any advice would be appreciated.

Thanks.

Answer: I would put the money towards the loan if it were me. Get that student loan out of your hair asap. You take home 4k a month I assume, so over the next year set aside 2k as a down payment to a house – make double or triple payments on the last 6k of the loan and in a year you’ll have a decent down payment for a house and that loan should be almost completely gone. You’ll be able to get into your house without another big loan hanging over your head.

Most of the case for buying a home will still be there in a year. Interest rates are not going to go shooting back up anytime soon. There will still be plenty of houses for sale. As for the 8k tax credit, it’s a little bit of a help but when compared to the hundreds of thousands that you’ll end up paying for a house 8k is maybe 2% of that. Not to say that it isn’t some help but in your case I think paying off the student loan would be the priority.

IRS extends tax deadline to April 18; those with offshore accounts are warned to pay up; itemizers must wait to file

The Internal Revenue Service opened the 2011 tax filing season by announcing that taxpayers have until April 18 to file their tax returns. The IRS reminded taxpayers impacted by recent tax law changes that using e-file is the best way to ensure accurate tax returns and get faster refunds.

Question: Student tax credits……?

Im 23, a student with no children who works over 16 hours a week. Am I entitled to tax credits?

Answer: No, if you have no children or disabilities then you have to be over 25 to Claim Tax Credits.

Students go green on red carpet

Design students at Michigan State University will be part of a national “Red Carpet Green Dress” competition to develop a high-fashion Hollywood runway outfit that also promotes sustainability.

MLM Tax Breaks And Advantages Of Working From Home

Question: Obama promised a $4,000 college credit. Obama has hedged on the amount. Are you fed up with broken promises?

http://obamawatch.wikidot.com/create-the-american-opportunity-tax-credit

FROM THE LINK:————-The credit had been $1,800 under existing law and will now go to $2,500 thanks to the stimulus. But that’s still well below the $4,000 Obama promised. …

The measure also does not require community service as specified in Obama’s original promise, but it does direct the education secretary and the treasury secretary to conduct a feasibility study on requiring community service in order to get the tax credit.

Answer: obama lies all the time.

Bankruptcies of GM, Chrysler hit area hard

Financial woes, some unimaginable, dominated the news pages in Oakland County and the state in 2009.

# 1 – GRNBAR Educational Seminar – Housing Stimulus Package