Tag: tax avoidance
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You’re paying way too much in taxes; Spend more time working for yourself
Taxes are a topic that very few people understand. I constantly hear the terms credit, deduction, and write-off, all intermingled in an incoherent way that is certain to signal a lack of tax code understanding. I can’t tell you how many times a married friend or co-worker has said, “man, this mortgage interest is really helping me on my taxes”, not understanding that they would need to deduct approximately $25k in said interest in order to change their tax situation (barring other large deductions). Fear not, I’m going to give you a 5-minute crash course on taxes, not by using fancy terms, or by quoting tax code, but by laying it out in numbers instead! With that said, I do need to give a few definitions to get you started.