LJ;1390771 wrote:I'm only responding to posts directed at me. If you get it, why don't you move on?

LJ;1390771 wrote:I'm only responding to posts directed at me. If you get it, why don't you move on?

mcburg93;1390772 wrote:Because you are doing your normal know everything again. I mean we were told to quit pointing it out but here you are again doing it. Thanks for all your help.

LJ;1390774 wrote:I guess any tax planner that would tell you the exact same thing I am "knows evetything" too huh?

Pick6;1390743 wrote:You guys are horrible with your finances for missing out on that whole $17 you could have gained in interest!! GTFO


You ideally want to avoid big returns, but using a savings account to prove your point is laughable.

LJ;1390452 wrote: Tax returns are savings accounts for people who can't handle their money.

Automatik;1390767 wrote:I have a 401k, savings account, and got a decent return.

Am I doing it right?

Please LJ, give me some tips on how to manage my finances.

Automatik;1390779 wrote:Nice sweeping generalization.

Still waiting for tips on how to better "handle" my money...

Automatik;1390784 wrote:401k is not maxed, I can't do that at this time, but I am increasing it yearly.

My return wasn't outrageous by any means, I just think it's hilarious that LJ assumes everyone receiving a return "can't handle their money."

LJ;1390785 wrote:Everyone? No. There are sometimes credits that pop up late year due to unforseen expenses (energy credits and so on). But anyone who knowingly wants and chooses to get a big return is doing it wrong. Any tax planner or CPA will tell you the same.

sportchampps;1390787 wrote:As a tax preparer I'll give you a few reasons why it's good to get a return.
1. Protects against Tax surprises ie. let's say you sell some stocks at the advice of your advisor and you get hit with a tax penalty
2. If you happen to lose your job and your calculations are off you will end up paying outta pocket at a bad time in your life and if you can't make the payment the penalties are way more then the interest.
3. The opportunity cost is very low. Let's say it amounts to $100 a paycheck using current bank rates you would earn 6$ a year in interest.

sportchampps;1390792 wrote:And if your company doesn't match your 401k contributions which sadly many companies are moving away from then your much better off investing on your own if you have knowledge of the market.

sportchampps;1390793 wrote:The gaps in tax brackets are often so big that it wouldn't matter to most people if they worked 6 or 12 months they will be the same.

Example... You make 80k a year.... Fired after 6 months so you made 40k your gonna be in the same income level.

sportchampps;1390804 wrote:Ok I'll put it this way for you to better understand why it's not always best. You lose your job and need money for your family to keep their house and to eat. Your only option is so sell some stocks you had and cash out some of your 401k to close the gap between unemployment and your salary. Do you think the extra 6% will cover the penalties for cashing out your 401k and the additional taxes for selling stock. I've seen this happen to families during my intership and instead of getting a decent check they get a decent amount owed that is the straw that breaks the camels back.

hasbeen;1390823 wrote:I think more people agreed with LJ, but they wanted to call him a know-it-all douche anyways. smh

sportchampps;1390976 wrote:I guess my knowledge as a CPA and experience of real life situations mean nothing as you are an expert on what everyone should be doing with their money. Forget that I get my salary based on my knowledge in this area. The best situation is a middle ground where your tax return will allow you a small bubble to cover any unforeseen circumstances.