Late last week, I gathered up all of our tax documents and took them to our tax guy. And yesterday afternoon, I got an e-mail saying that our returns are done. I’ll delve into this in more detail in the future, but here’s a quick summary…
It looks like we’re on the hook for about $5,600 in additional federal taxes and another $3,200 to the state. Yes, this resulted in a small underpayment penalty on both our federal and state returns.
On the state side, the underpayment was intentional. We’re bunching our deductions into alternate years, so I wanted to hold off on making those state payment until 2014. But on the federal side? I was just lazy.
I should also note that, while I’ve previously created an artificial overage such that we could buy an extra $5k in I-bonds with our tax refund, I’m not sure it’s worth the headache. I probably won’t bother this time around.
And now… Here are some articles that caught my eye this past week:
- Go Curry Cracker 2013 Taxes — Looking for a roadmap to minimize your tax bill? Here it is, for your reading pleasure. How low can you go?
- Protecting Your Portfolio From Old Age — Simplify, simplify, simplify.
- Vanguard Financial Plan Review — See also part 2 and part 3.
- Retirement Risks: It All Starts With Longevity — An interesting perspective. The longer you live, the more likely it is that other risks will manifest.
- As Cash Use Drops, Do Crime Rates Follow? — There’s evidence that a transition to electronic welfare payments has reduced crime rates. Is this a general trend?
- IRA Contribution Countdown — Fund your 2013 IRA before April 15th.
That’s it. I hope your week is off to a great start.