Don’t beat me up too severely, but this is how I live my life, too. I suggest all Freepers take a look at their bottom line and see what they’re paying in taxes, (hidden and not so hidden) and adjust their lives accordingly.
Many years ago, I got fed up with my tax dollars being wasted on various social programs that I strongly disagree with so I, too, did something about it.
I’m not defending this jerk, but there ARE lots of things you can do to get your taxable income down below the radar, so to speak.
Some of the things we do in our household (two paycheck earning adults, one son in college) are:
*Fully fund IRAs and 401Ks. (We pay ourselves FIRST!)
*Not work overtime unless it cannot be helped. (I have a job that’s very busy from March-July where I can easily work 60-70 hour weeks if I want to. Those extra hours of pay gain me nearly NOTHING, in the additional taxes taken out.)
*Itemize your deductions. Get in the habit of keeping EVERY receipt for every dime you spend. You’d be surprised at all that can be written off as expenses. This is especially important if you pay for your own health insurance. (We do.)
*Start a small home-based business. I firmly believe that everyone has some talents they can exploit for cash, LOL! For me? I sell eggs from my laying hens, and do a small farm market when I have time, selling plants, jellies, raspberries, pumpkins, pesto, freshly-cut herbs, etc. (I had no time this year, but I’ll be better organized next; I had NO idea how time-consuming my new job would be during “garden crunch time.”) I also sell used books on Amazon.com for another income stream. My husband started his own computer repair business two years ago; so far, so good! First year was an $18K LOSS (Yippee!) and the next was a $10K surplus, $5K of which was taxable (Boo!) LOL!
*Be generous. You can donate up to $500 in cash, services, goods or your time to your community or church without a single receipt needed (though, keep ‘em as proof!) I donate books & cash to my library, donate goods to Goodwill and St. Vincent DePaul, etc. It does your soul good, plus it’s a tax deduction many overlook.
*Barter. We have a wide range of friends, all with different skills and we help one another out as needed. We know a carpenter/flooring & windows guy, a plumber, an electrician, a heating & A/C guy, a decent mechanic, etc. We all swap “services” between us, avoiding extra expenses and taxable income. Husband provides computer repairs and I provide bakery, garden veggies, fresh eggs...and I’ve done clothing repairs/alterations for some of they guys. (It’s amazing what someone will do for you once they know you can put in a zipper or sew on a button, LOL!)
*Own a home. Property taxes and home improvements upon sale are terrific deductible expenses. Just don’t buy more home than you need or can afford. And keep every receipt for every nail, can of paint and replaced window!
So, thanks for letting me get on my Soap Box again. Avoiding taxes (legally) is one of my favorite subjects and has been a favorite hobby for years. Our lifestyle doesn’t fit everyone’s idea of ‘The American Dream’ but we will be retired in our mid-fifties with cash in the bank. :)
Have I told you lately you’re my hero!!!!!!!????