Finances Archives ~ The Military Move

Unraveling the Mystery of Home Insurance

January 24, 2019 No Comments

Today, most real estate owners in Seattle choose to maintain homeowners insurance coverage. This important type of protection helps supply a safety net against many types of unexpected events causing damage to a residence, or harm to people on the property. It usually pays to shop carefully for this type of insurance.

Homeowners Insurance Protections Vary by State

The specific items covered by a homeowners insurance policy will differ sometimes based upon the company offering the policy, the location, and the level of coverage selected. Since states vary widely in the items lawmakers may require builders to install in residential properties, policy holders in some locations obtain more comprehensive protections.(1) In general, most homeowners insurance policies cover at least four basic categories(2) of damage:

Residential interiors;
Residential exteriors;
Liability protection for accidents occurring on the property;
Coverage for theft or vandalism-related property damage.

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Interior and Exterior Property Damage

Homeowners insurance differs from mortgage insurance, although many homeowners pay both types of insurance along with monthly, quarterly, or annual mortgage payments. Mortgage insurance essentially protects a lender against a purchaser’s default.

By contrast, homeowners insurance helps compensate homeowners when unexpected calamities damage their property interests in the residence itself. For instance, if lightning strikes the home, homeowners insurance may help the homeowner pay for the cost of repairing roof damage.

It also covers repairing or replacing flooring impacted by leaking water. Most homeowners insurance policies maintain a claim limit of $100,000 per incident. (In some states, some companies do permit customers to purchase higher levels of insurance coverage.)

Liability And Theft Protections

One important item typically covered by homeowners insurance relates to a homeowner’s interest in protecting people who sustain injuries while visiting the property.

For example, if a tile slips from the roof and strikes a person delivering pizza to the residence, the property owner may face liability for the accident. A homeowners insurance policy usually offers some level of liability coverage protection in this type of situation.

Similarly, if a thief breaks into the home by battering down a door, a homeowners insurance policy will usually help the homeowner pay for replacing the damaged door and door lock.

Some policies will even cover intentional third party damage to the homeowner’s automobiles parked on the property.

Many homeowners insurance companies allow customers to purchase additional policy coverage riders to insure valued items of personal property on the premises against accidental damage or intentional thefts.

Read Your Homeowners Insurance Policy Carefully

In general, homeowners benefit by consulting about the provisions of their homeowners insurance policy with their insurance agent. The terms of individual policies sometimes vary significantly.

One policy might offer low premiums but include a hefty deductible. Another might cover one particular type of loss, such as damage to a roof caused by a toppling tree, but might exclude other types of casualties, such as wind damage to trees on the property during storms.

Homeowners sometimes discover they obtain more comprehensive protections by purchasing additional specified types of insurance coverage.

Additionally, consider that most homeowners insurance policies do exclude two broad categories of damage: Acts of War and Acts of God.(3)

The classification of a calamity within either of these designations may prevent an insured from obtaining coverage protection when disaster strikes.

For instance, if an invading army burns down the house (an Act of War) or an earthquake topples the garage (an Act of God), homeowners may not succeed in receiving compensation from their insurance company for their loss.

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Why Policy Details Matter

While most policies do cover fire damage and water damage in general, the causative events sometimes determine whether or not a homeowner actually obtains compensation.

Usually, insurance companies will not compensate the insured for losses caused by floods, seismic activity, power failures, or accidents resulting from neglected property conditions. If you’d like to receive specific coverage for a potential hazard, clarifying this issue with an experienced insurance agent in advance may help prevent misunderstandings and confusion later.

Additionally, homeowners insurance closely resembles automotive insurance in one important respect: people who file repeated claims frequently experience difficulty obtaining coverage.

From a practical standpoint, a homeowner may discover handling small accidental losses out of pocket helps keep homeowners insurance premiums more affordable.

**Insurance companies do not have to sell policies to customers who pose a high risk of becoming claimants. This situation sometimes impacts a customer’s ability to qualify for home financing.

The Process of Filing a Homeowners Insurance Claim

After a homeowner discovers accidental damage to the property (or to visitors on the property), the insured typically files a claim by contacting the insurance company.

In many situations, the insurance firm will assign a property adjuster to investigate the underlying fact situation. This process might involve an insurance investigator or adjuster visiting the premises and photographing the damage.

When an insurance company approves a claim, the firm pays the insured property owner an amount determined by the terms of the policy.

An insured receives this payment less the cost of the deductible. In some cases, the insurer will also specify property mitigation requirements. (For example, insurance policies for commercial realty sometimes require a property owner to obtain water remediation or fire remediation services in order to receive full compensation.

Conceivably, in some states, insurance companies may include clauses requiring homeowners to obtain these remediation services, too.)

Research Homeowners Insurance Carefully

It usually proves prudent for homeowners to discuss their policy provisions in detail with their insurance agent before making a purchasing decision.

By shopping carefully for coverage, you’ll often locate the best available policy provisions for your circumstances. Individual homeowners insurance needs vary, so evaluating the most significant property risks in your location with your agent in light of your unique needs usually makes financial sense.

Helpful Resources to Continue Research:

Looking to sell your home? Use these tips to help you sell from area realtors.

If you found this advice, or any of my advice helpful, please consider buying from one of my affiliates at no additional cost to you and supporting The Military Move. When you click and make a purchase within 24 hours (at no additional charge), we receive a small donation. Thank you!

About the Author

Jessica Kane is a professional blogger who writes for Scaffold Store, the favorite and trusted scaffold supplier of the largest contractors.

Finances, Housing

The Buzz About Tankless Water Heaters

January 24, 2019 No Comments

Property owners in the Greater Seattle Area, as well as around the country, sometimes face an important decision: selecting a new water heater. Should you purchase a conventional water heater with a large tank, or a newer “tankless” brand? This brief article will discuss some of the pros and cons associated with the installation of this technology.

The Development of Tankless Water Heaters

Today, it startles most people to realize the concept of hot water on demand remains comparatively modern. An Englishman named Benjamin Waddy Maughan reportedly patented the first rudimentary water heater in 1868.

Known as the “Geyser,” this Victorian Era device heated water immediately before it entered a bathtub.(1) The invention served as one inspiration for the modern tankless water heater.

During the Twentieth Century, the concept of using a big tank to supply a steady stream of warm water directly to a residential plumbing system gained popularity. The public welcomed this innovation. Obtaining a dependable flow of warm water by simply turning on a faucet became a popular residential amenity during the 1890s and early 1900s.(2)

For decades, most homes in the United States relied upon large tanks to heat water for use in kitchens, bathrooms, and laundry rooms.

Electric Tankless Hot Water Heaters

Although experimentation with tankless water heating systems occurred during the latter half of the Nineteenth Century, this innovation did not become commercially available for several decades. During the late 1920s, a German firm named Stiebel Eltron began manufacturing small electric tankless water heating systems.

However, the technology did not really become competitive commercially for widespread residential use in the United States until the 1970s.(2) Today, consumers frequently opt to install tankless water heaters instead of conventional units with large tanks. Tankless designs operate using either gas or electricity. They fall into two categories.

Most frequently, an individual tankless system heats water immediately before use (at the tap level). A few companies also market “whole house” tankless systems designed to accommodate multiple faucets in a single residence.(3)

Some Important Tankless Water Heater Advantages

Tankless hot water heaters have gained popularity recently as a result of some important advantages. First, these units typically operate with greater energy efficiency because they heat water immediately before use. A homeowner does not spend money to heat 40 or 50 unused gallons of hot water at one time.

Second, tankless models tend to enjoy a considerably longer anticipated lifespan than units relying upon large tanks. The cost of this technology pro rated over the entire lifespan of the equipment usually proves less expensive. Additionally, gas-powered units often allow property owners to obtain federal or state tax rebates based upon the use of energy-efficient products.(4)

Third, tankless water heaters installed at the tap level frequently attach directly to a wall underneath a sink. The compactness of many modern tankless water heaters helps make them an ideal choice for use in some motels, hotels, and rental apartments. This technology does not monopolize valuable floor space.

Fourth, the absence of a water tank offers another important practical benefit. Although infrequent, leaks sometimes do occur in home water heating tanks. When they install tankless water heating systems, property owners don’t need to worry about ruptures in the tank soaking floors or causing water to spill onto nearby furnishings.(3)

Fifth, tankless systems permit the precise temperature regulation of hot water. This capability reduces safety problems associated with sudden spikes in hot water temperature. Many experts consider the new tankless units less apt to cause accidental hot water burns than conventional units.(5)

The Cons of Tankless Water Heaters

Of course, like every item of equipment, a tankless hot water heater also holds some drawbacks. These units don’t suit every residential property. Equipment with large tanks sometimes remains the best choice for several reasons:

First, the initial cost of acquiring a tankless system sometimes poses a practical barrier to the use of this technology. These innovative systems tend to cost between two and four times as much as conventional water heating equipment. Some buyers consider the initial outlay of funds prohibitively expensive.(5)

Second, property owners frequently must spend money on infrastructure improvements in order to use energy-efficient gas or electric tankless hot water heaters.

For example, it may become necessary to upgrade a home’s electrical system or expand the size of the residential natural gas line. These costs sometimes make the adoption of a tankless system quite expensive.(3)

Third, some rooms in residential properties simply cannot accommodate gas-powered tankless hot water heating equipment. These units require venting to an outside wall. This safety consideration makes this technology impractical for some homeowners.(4)

Fourth, tankless hot water heaters generate brief transient temperature fluctuations which sometimes create discomfort for people desiring immediate access to hot water.

This technology heats water shortly before it leaves the tap. However, bathers must wait a few seconds for the faucet to expel unheated cold water already in the line before they experience a reliable stream of hot water on demand. This problem proves most acute during the use of whole-house tankless heating units serving multiple faucets.(5)

So while a tankless system eliminates safety concerns associated with the use of overly hot water, it sometimes contributes to complaints from users that they must wait for water to warm up.

Fifth, the complexity of tankless hot water heaters means most customers must obtain experienced installation services. Since the use of this equipment often necessitates an infrastructure upgrade, it generally makes sense to depend upon an experienced, licensed HVAC or plumbing professional for assistance. The technology does not lend itself to DIY installation.(4)

Selecting A New Hot Water Heater

Both conventional and tankless hot water heaters supply pros and cons. Consider speaking with an experienced plumber or HVAC contractor about your situation before selecting the best equipment for your home. Not every tankless system suits every property. On the other hand, this technology sometimes produces significant long term savings!

Useful Resources to Research:
1. https://tanksandheaters.com/edwin-ruud-father-of-the-hot-water-heater/

2. https://www.neyerplumbing.com/blog/water-heater-service/a-short-history-of-the-amazing-tankless-water-heater/

3. https://home.howstuffworks.com/tankless-water-heater3.htm

4. https://www.angieslist.com/articles/what-are-pros-and-cons-tankless-water-heaters.htm

5. https://en.wikipedia.org/wiki/Tankless_water_heating

Looking to sell your home? Use these tips to help you sell from area realtors.

About the Author

Jessica Kane writes for PlumbersStock, the top choice of do-it-yourselfers and professional plumbers alike for all of their plumbing supply needs.

Finances, Travel, Work & Business

Businesses You Can Run Successfully While Traveling

May 2, 2018 No Comments

You may be at a juncture in your life at which you would like to travel a bit more than you’ve been able to do historically. This desire may be coupled with the fact that you’re also interested in working for yourself.

With the advent of these two desires, you want to identify a business that you can successfully pursue while traveling.

Through the list of possible businesses you can run online, you may find something that you think is perfect for you.

On the other hand, this list of potential business options may actually provide you food for thought from which you may be able to come up with your own business idea that is ideal for a person who is traveling.

Freelance Writer

A number of writers have found that they can successfully wed freelancing with different types of travel. This doesn’t mean that the write about travel. In fact, there isn’t any limitation on the topics or types of writing pursued when on the road.

Thanks to this being the digital age, freelance writing can be done anywhere and at any time.

Noting that, if you elect to travel and write, you should develop a strategy in which you set aside specific time each day in which to write.

Even when you are on the road, you can maintain a disciplined writing practice that makes it possible for you to earn money freelancing while traveling.

Web Design

Another business you can effectively run while traveling is web design. Armed with a laptop or notebook, and a solid internet connection, you really can pursue a web design business from anywhere.

As is the case with freelance writing, when it comes to web design while traveling, you should schedule out specific time each day to work.

Taking this approach ensures that you will make progress on behalf of your clients no matter where you happen to be at any given time.

As an aside, by taking to the road, you may have the opportunity to connect with other web designers.

Through this interaction, you may come up with some dynamic new web design ideas that you would not have been able to glean if you worked from a constant home base.

Consulting Business

The moniker consulting business is a broad, diffuse term. Understanding the vague general nature of saying your going to run a consulting business while you travel, there are a myriad of consulting options that you truly can embark upon while you travel.

Consulting comes in many different forms. If you have some sort of specialization of rather unique talent or skillset, you may be able to transform that into a consulting business.

In this day and age, a great deal of consulting relies upon digital and online resources. You can provide consulting assistance by taking advantage of digital technology.

You may not have to often meet face to face with your clients. This reality makes pairing a consulting business with travel a natural combination.

Operate an Online Retail Business

If you want to travel and earn a living at the same time, consider setting up some type of online retail business.

The doors are wide open as to what a person can do when it comes to an online retail business. For example, such a business can sell items you create. Such an enterprise can market products produced by another enterprise.

In the final analysis, what you do for an online business is only limited by your creativity.

As an aside, thanks to drop shipping, depending on the type of online retail business you create, you won’t have to worry about shipping when a purchase is made. This is particularly possible if you sell goods produced by someone else.

On the other hand, you can also arrange for drop shipping for the point at which your own creations are manufactured.

Online Instructor

An ever growing segment of the population is turning to the internet when it comes to learning and educational opportunities. Another idea you should bear in mind is providing some type of online instruction that you can provide while traveling.

This type of online instruction can include everything from tutoring to different types of classes provided by various schools or online educational programs.

You will need to work your travels around your class or teaching times.

However, as was noted before, not matter the type of business you establish, you will want to schedule business matters first and then work your travel agenda around that.

About the Author

Jessica Kane is a professional blogger who focuses on personal finance and other money matters. She currently writes for Checkworks.com, where you can get personal checks and business checks.

Family, Finances, Spouses

Did You Know This About SGLI

June 29, 2017 2 Comments

As many know, I recently had another addition to our family. Naturally for me, that meant I needed to update my life insurance policy to add my daughter and seek out more coverage. This started to get me thinking about my husband’s SGLI (as it is his only life insurance policy).

Do you know all the facts about SGLI (Servicemembers Group Life Insurance)?

One thing as a young adult that many of us overlook is life insurance. However, if you have a family or your active duty member is the sole provider (or perhaps a main contributor), you want to prepare for the absolute worst case scenario. The military offers SGLI (which ALL members should take in my opinion because it’s dirt cheap for the amount of protection is covers).

Let’s talk about why this is important.

Eligibility

Service members of all five branches (Air Force, Army, Coast Guard, Marines, and Navy) are automatically eligible for full coverage. This is great because after passing all the necessary medical exams just to get into the service, they do not have to do anything else to receive coverage – unlike outside coverage providers.

SGLI Coverage

The amount of coverage is up to $400,000 (or as little as $50,000 and up in $50k increments).

What does this mean for your monthly paycheck?

For $50,000 – it is $3.50 (your daily cup of coffee).
For $400,000 – it is $28.00 (one family meal to a fast food restaurant).

Why take $400,000? Mortgage, bills, and college tuition to name a few.

Now while many spouses already know about SGLI, you may not realize that this insurance does not follow your Active Duty member out of service. It only is covered up to 120 days after separation, unless the member becomes disabled. In that circumstance, they can apply for a 2-year extension.

It is very important for the service member to take advantage of VGLI (Veterans Group Life Insurance) within 120 to 240 days after separation. If they do, they do not have to answer additional medical questions which could increase your premiums A LOT!

Let me explain – most people go into the service around 18-21 years of age. They are healthy and in good shape. Fast forward 20 years to retirement, now you are 40 years old, marriage and baby weight has set in, working out isn’t the top priority, etc. Outside life insurance increases rates for each year of age – which is why it is important for you – SPOUSE – to get your coverage earlier rather than later. That health questionnaire could be the difference between premium rates and most people are healthier earlier in life!

VGLI is an excellent option for retired or separated members that want to continue their life insurance. Since the age of the member has increased – the rates will increase too. You can check those rates here. A $400,000 policy will cost between $68-88 per month for someone in their 40’s and will increase over time, whereas a $100,000 policy will cost $17-22 per month for the same person.

Why VGLI?

Since rates increase with age, rates can change based on gender, health, and lifestyle choices. When you rollover the SGLI to VGLI – your rates are based on age only. For those that use tobacco products – this is important because it will be very difficult to find a plan that compares with similar rates. Additionally, if you sign up within the allotted window, they will not give you a medical exam or investigate your health. You will not find this for most policies.

I can tell you that I was just asked simple health questions that included whether I use tobacco products and whether or not I am under the care of a physician for certain medical conditions or PTSD. If any of these apply to you, this is another reason to consider rolling your plan over.

Additional Coverage

One thing I wanted to ensure was that I had enough coverage on myself in case something happened to me. For the active duty member, you may find that $400,000 is not enough – you have a larger mortgage, multiple kids, etc. You can layer your coverage with outside coverage from USAA (I have mine through them and they are a great policy), MetLife, New York Life, or even your bank or insurance company may offer them.

To layer coverage, you will need to have a medical exam done to determine what premium you will pay. If the service member uses tobacco products, this is a HUGE factor on why they should NOT decline SGLI – because the premiums are through the metaphorical roof!! For real, not joking! I suggest purchasing a policy the earlier the better due to premiums and health changes.

End Thoughts

The whole point of life insurance is to ensure that your family is taken care of in the event that something happens to you or your spouse. This is not professional advice, just advice from one military spouse and mom. Speak with a professional about your options that are best for your family.

About the Author

Kelsey Ramirez is a Real Estate Broker in western Washington. She is also a veteran elementary school teacher, military wife, and mom to two daughters. She is the founder of The Military Move, a military-based website to help families in the PCS process. Kelsey loves to travel, write, and create amazing content. She has her Masters in Technology, which she uses to learn all new things digital.

With three decades of military support, Kelsey’s mission is to help new and existing military families in their unique adventures through all military topics including PCSing, budgeting, school choice and rights, housing, and especially just being a military spouse.

Finances, Moving

5 Incredible Tips For Your Next DITY Move

April 17, 2017 2 Comments

Seven years into the Coast Guard as a significant other/spouse and I was on PCS #3. Already knowing we had acquired more than our allotted weight amount, I had the brilliant idea of doing a DITY (Do It Yourself) move.

Ha!

For any of you that have done a DITY move, you either find the positives, or you hate it and choose to not do it again.

Okay, Kelsey – so what is your story?

My mother had moved in with us – yes, how lucky of my husband. So we got all the wonderful antique pieces that better be wrapped beyond wrapped to ensure no damage comes to it, and her 10 year-old dog.

Let me paint this full picture for you.

We were going to move 3 adults, 1 toddler, 2 dogs, 2 vehicles, and yes, the truck. No, it gets better. Which leads into my 5 incredibly awesome tips to make sure your DITY moves goes much smoother than mine – trust me!

Tip #1 – Do Not Underestimate Your Stuff

So my husband and his co-workers are packing up the truck. I provided beverages and pizza. Apparently, they supplied their own adult beverages too because when I saw the way they packed the truck – well let’s just say it isn’t the way I would have done it.

I think at the point when I saw the rental truck 90% full and we still had 35% sitting in the garage – I freaked out. Yes friends, we now went from the BIGGEST truck they would rent to us to the realization that we needed a 2nd truck (oh and a trailer for one of the cars as someone had to drive the 2nd truck). That $750 hurt. After all, one reason we do DITY moves is to make some money (which ultimately we did), but oh my goodness! Look at the guides the rental companies provide – we had a 3 bedroom house with a 3 bedroom truck – nope, did not fit. Give yourself a buffer!

~ I recommend Budget – they provide great military discounts.

Look at the guides the rental companies provide and give yourself a buffer

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Tip #2 – Downsize and Donate

Have your kids not played with their “favorite” toys in 8 months? You haven’t worn that ball gown that you wore to the ball in two years? The reclining couch is on its last hinge? It is time for a yard-sale or time to gift younger members from your unit your stuff. This decreases that weight you will probably need, and not to mention, who wants to keep moving stuff that is not being used over and over. Free yourself. It is very liberating unless you are my 4-year-old who feels we need to keep every “treasure.”

Tip #3 Have a Packing Game Plan

This is one that I find is to alleviate YOUR stress in the build-up phase to your move. There is a lot of stuff that you are not using in your home. Start packing all that stuff – bookshelves, kitchen dishes, extra linens, clothes, etc. Create a plan where you pack x amount of boxes per day. We did 5 boxes a day. By the time it was moving day, we were not so tired from packing everything the two-three days before. Create a plan and stick to it.

Tip #4 – Pay for Packers and Unpackers

My husband tells me every time we move (and we have moved more than three times due to changes in housing at the same unit), he’s “got this.”

That’s great for a 50-mile radius, but not when you are moving 500+ miles. If you have all your stuff packed like the game plan in tip #3, those packers can properly pack your truck, your husband/wife can relax as can you (and if he/she is on deployment and you have children – this is really a necessity), and you do not have to watch the insanity.

I did not do this – I WAS stressed watching that truck get packed.

I think it is because my idea of an arrangement and his idea are not aligned. I did, however, hire unpackers.

This was the best money spent.

They met us there, I pointed, they placed the boxes and furniture wherever it needed to go. Much smoother on the end side.

Tip #5 – Plan out Your Trip Before the Move

Depending on how far you are moving (cross-country or one state away), be sure to plan out how far you will travel each day. Do not try to travel too far as this is not a road trip in your family mini-van. The rental trucks move slower especially if you are moving larger loads. You will want to consider what hotels/motels are on your route if you do not have family or friends you can stay with. Don’t forget to look for pet-friendly hotels if you are traveling with fur babies.

About the Author

Finances

3 Tips to Decrease that Pesky Tax Bill

April 13, 2017 No Comments

Many families dread the week of April 18th (I cannot as my husband’s birthday falls within this week) because of the looming deadline that comes up every year – tax bill time.

Many families are excited at the prospect of receiving their W2s because it means refund time aka vacation money, house repairs, or maybe even stock in adult beverages to get them through the chaos until next month. No judgment. However, what I think many families do not know is that when you fill out your W-4 with your employer to withhold a higher amount of tax, you are in essence giving the government an interest-free loan.

Wait, what?

Yes!

You are paying taxes into a system that they ultimately use and are then responsible for repaying you for the “overage” that you have paid. You do not get to collect interest on the “loan” you are providing. This is not one of the lovely tips – however, it is useful information to ponder.

Not all families fall into this category of bringing in the bucks at tax time. Many families are shocked when they realize that they owe money – especially double income households. Don’t get me started on small business owners (although there are tips for them too).

I was asked the question, “Is it better to file married jointly?” Personally, I think if you use any tax software (Turbo Tax is a simple and easy solution), you should run your numbers both ways and determine that for your needs. Although I will say if you do not file jointly, you miss out on deductions that you could receive.

All situations are different because some people own land, multiple homes, or have a variety of income sources. In this case, you may want to seek out a tax professional to ensure you are not paying even more.

However, there are a number of simple things you can do to lower the amount you may owe come tax time.

Contribute to an IRA or Retirement Account

Seriously, Kelsey, I am not going to see this money. I hear you. However, you have two options – pay the government or pay yourself. Contributing to an IRA is taking that money for use in your retirement future.

Your 60-year-old self thanks you. The whole point of this practice is it will lower your taxable income and in return could lower your tax bracket. Not ideal for most (especially those that were envisioning a Caribbean cruise), but you were not going to see this money to begin with.

Now there is some preplanning here. First off, you must decide if you are going to contribute to an IRA all year long, or if you have been hit with your mega tax bill and now are going to take money from savings (hopefully) to pay it. In this case, if you can lower your tax bill by paying yourself and lowering your tax bracket – go for it. Regardless, your tax bill will have to be paid at some point – so this is ultimately the smartest option.

If you can lower your tax bill by paying yourself and lowering your tax bracket - go for it..

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Update your W-4

This one won’t help for this tax season, but it could for next tax season. If you find that you are having to pay taxes, you could have claimed too many dependents. I am not a fan of withholding the highest amount of taxes because it is your money and you should get it; however, just because you have four children and a spouse does not necessarily mean you both claim them. Be sure to check out the IRS calculator to see if it is time to update your W-4. If you are married, you can continue to withhold at the higher single rate or choose married. If you find you are paying taxes come April – you may want to consider the single withholding status (you cannot file single as a married individual).

Itemize Your Deductions

Own a home – deduct the interest. Pay medical expenses not covered by Tri-Care or Champus- deduct it. Are you a teacher – deduct your school supplies. Earning a college degree or post-graduate degree – deduct the tuition (only what you paid out of pocket). Give stuff away to Goodwill or Salvation Army – get a receipt and deduct it. If your deductions are higher than the standard deduction – this is a good thing for you.

How many people have lived in Florida (raise your digital hand) and chose to keep your residency because you do not pay state taxes? Did you know you can take the Sales Tax Deduction (this is a biggie). If you do not take the standard deduction (meaning you itemize), you can deduct all the sales taxes you paid. You choose either local or state taxes. For those living in an area that has a high tax, perhaps due to tourism, this could assist you. Check out this article from Bankrate to see how all that impulse (and necessity) buying can help you.