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Originally Posted by getforfree
Is there any limit how much you can write off? I will need to write off my mortgage interest, some work expemces, donations,and other stuff.
I was thinking. If there is no limit, maybe I can prepay my mortgage ahead in december this year, to claim more for this year; and then take standard deduction (which is like 10k ) for next year, while next years write-off would be worth only like 6K. Does anybody knows anything about that?
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I haven't tried that, but I know that is a good strategy if you itemize one year, but not the next. Make sure you double check the lenders 1098 & that it includes the pre-paid interest. Since the interest you pay in January is for December, you can include it in the previous years tax return. But it needs to be paid by Dec. 31. I also read something about pre-paying property taxes.
Kris10Leigh,
I used the irs witholding calculator a couple months ago, then took the number of exemptions to my employers accountant and they just changed it for my next paycheck. It was very easy to do. I'm going to check it whenever something major in my finances changes or at least once a year to keep the refund minimal.