New Year and New Tax Plan
@BelleStarr (61047)
United States
December 31, 2017 12:45pm CST
As we go into the new year we will also be going onto the new tax plan. As a senior, on a fixed income, I was concerned about how it would affect me personally. I am not trying to make a political statement, I am sure to most of us, the bottom line is our bottom line.
I called my accountant, and it is good news for me. Last year I filed a long form with $15,000 in deductions and $8,200 in personal deductions, this is $23,200. The new standard is $24,000 so I am going to stop filing a long form after this year.
I will also owe 3% less than previously so another gain for me. I will also still be able to claim any rental expenses and business expenses. All good news.
Now if only the state of our state income tax and taxes was as positive but that will come later. I am also going to see a major gain in my medical expenses, My Crestor is going from a Tier 3 ($135 for 3 months) to a Tier 2 ($9 for 3 months). Woot Woot!!!
I am thinking that 2018 looks like it might be a pretty good year for me at least financially. Have you checked out the new tax structure to see how it will affect you?
12 people like this
12 responses
@BelleStarr (61047)
• United States
31 Dec 17
That is why I called my accountant, is a complex plan that has quite a few different things to consider.
2 people like this
@rebelann (111163)
• El Paso, Texas
1 Jan 18
I worked over 24 years for a non profit @BelleStarr it was worth it in the long run though, I didn't make a lot of money but I also never had to pay for medical insurance so that was a big help. Imagine my disappointment when I found out Medicare was over $100 a month.
1 person likes this
@BelleStarr (61047)
• United States
2 Jan 18
@rebelann Oh I know well about that and we pay extra for dental insurance too, we have an Advanatage program but the YMCA membership is free so that is good but we pay about $50 each extra a month.
1 person likes this
@BelleStarr (61047)
• United States
1 Jan 18
My mom didn't have to file after she retired either, we do have to file both state and federal tax returns. Bummer but it is what it is. I guess with the two of us and we both have pensions it puts us over. My husband had a well-paying job, me I worked for a nonprofit so I never made the big bucks.
1 person likes this
@BelleStarr (61047)
• United States
1 Jan 18
It looks good for us so I imagine you should be on the receiving end as well.
1 person likes this
@Juliaacv (48415)
• Canada
31 Dec 17
It gets complicated doesn't it?
Next year will be a complicated one for our accountant, as my husband is having our investor flip some of his investments into another form, so that if he wanted to draw monthly from it he could. But he does not, he's got a goal in mind, and he's still quite a way from that goal so he won't be drawing off of his investments just yet. Mine were switched over a couple of months ago, so the accountant will be doing mine differently because I am 6 months older then he is. Fun fun, but at least we both have a professional doing it, which in my mind, is peace of mind.
3 people like this
@BelleStarr (61047)
• United States
31 Dec 17
It gets very complicated, we don't want to end up owing but by the same token we don't want them holding on to extra of our money, it is a fine line.
2 people like this
@Marilynda1225 (79706)
• United States
1 Jan 18
I have no idea how this will affect me and I will be calling my accountant sometime this week. Glad it seems to be working in your favor
1 person likes this
@BelleStarr (61047)
• United States
2 Jan 18
Thank you, I wanted to make sure there wasn't anything I should be at the end of the year. He suggested prepaying my property taxes but no,I don't have that much extra cash lol
1 person likes this
@BelleStarr (61047)
• United States
1 Jan 18
I am so excited about the Crestor now I won't have to order it from Canada anymore.
2 people like this
@just4him (306113)
• Green Bay, Wisconsin
1 Jan 18
@BelleStarr That's a huge plus!
1 person likes this
@allen0187 (58444)
• Philippines
1 Jan 18
There is also a new tax plan here in the Philippines and it applies this year. On paper, it would appear that people will benefit from tax breaks. A website wherein you can plug your salary and other details will show that your take-home pay will be higher in the new tax plan. What the government didn't say is that the new tax plan will cause basic commodities to be more costly. So in truth, although one is getting a higher take home pay, one also needs to shell out more to pay for things and services.
1 person likes this
@allen0187 (58444)
• Philippines
2 Jan 18
@BelleStarr this government of ours steal and kill with both hands!
1 person likes this
@BelleStarr (61047)
• United States
2 Jan 18
Most governments give with one hand and take with the other.
1 person likes this
@bunnybon7 (50973)
• Holiday, Florida
31 Dec 17
since i stopped working all together and am totally disabled and i no longer have John to figure it all out and i have no other income at all. no, i know nothing about it
1 person likes this
@bunnybon7 (50973)
• Holiday, Florida
2 Jan 18
@BelleStarr there is no one i can claim. even though i do pretty much provide for them at times, they are already claimed. my understanding of that what little i have is that you have to have someone you can claim you provided for.
@BelleStarr (61047)
• United States
2 Jan 18
Maybe you are eligible for some earned income credit? I know nothing about that but I guess it is worth checkingSometimes the local senior center will have educational seminars to help figure these things out, at least they do in Connecticut.
1 person likes this
@BelleStarr (61047)
• United States
1 Jan 18
I am glad to hear it, having to pay less taxes is always a good thing.
@BelleStarr (61047)
• United States
3 Jan 18
If ct keeps it up we may just move our main residence to Florida
@misunderstood_zombie (8142)
• United States
1 Jan 18
Good news, especially for you monthly medical expenses.
1 person likes this
@BelleStarr (61047)
• United States
1 Jan 18
Oh yes that is the best news ever, but you know how it is, they will find a way to charge me more for something else lol
1 person likes this
@misunderstood_zombie (8142)
• United States
1 Jan 18
@BelleStarr It does seem that way sometimes, hopefully not this time.
1 person likes this
@BelleStarr (61047)
• United States
18 Jan 18
The changes don't do into effect until now but they don't affect money earned in 2017 but hopefully, you get a refund anyway, we usually do.
