Income refers to any money that you make. It could be from your part-time job, your hot-shot career, investments, inheritance, or even if you sell property. All income must be reported to the IRS and factored in when you pay your income taxes. Look here for more information about income, taxes and how to protect your assets.
Reverse Mortgage May Help In Retirement
When you're in retirement you want a consistent, stable flow of income such as from a certificate of deposit. What should you do if your CD's rate of return can't match the income you need? You could move the money into a Roth IRA. But changing over to a Roth IRA may cause funds to be taxed at a higher amount than what would otherwise be paid on a year to year basis. Another alternative is a reverse mortgage.
Calculating Monthly Income On A Home Loan Application
When applying for a home loan, how should monthly income be calculated? This home buyer's income included stipends and overtime that added to their gross income, so what should be reported on the home loan application? Bringing in a copy of your income tax return will ensure you report the correct income on your home loan application.
Finding Financing And A Buyer’s Broker
A buyer has a lot of assets but not a lot of income and is having a hard time getting financing. Most conventional lenders want to see that you have enough income to pay for the expenses of owning and maintaining your home. Without adequate income, it might be wise to liquidate assets to come up with a down payment.
Income Tax Filing Help Comes From City
You may want some help in filing your income taxes electronically and not know where to go. The City of Chicago offered free income tax filing help to residents including filing for the earned income tax credit. Mayor Daley encouraged income tax filers to sign up for bank accounts so they could have their income tax refunds direct deposited.
Student Loans Hurt Mortgage Application
A home buyer is having trouble getting a mortgage due to student loans. Mortgage lenders decide how much of a mortgage you can afford based partly on your debt-to-income ratio. What lenders do is simple math. A conventional lender will allow you to spend up to 36 percent of your gross monthly income on your total debt payments (mortgage, insurance and other debt).
Pay Off Mortgages Before Retirement
A homeowner wants to pay off his mortgage before retirement, but is unsure how to do that on his income. After age 59 1/2, he can withdraw money from a 401(k) plan without any withdrawal penalty. However, he may owe income taxes. He should look at options to gradually withdraw the money and let it continue to grow inb the stock market. A fee-only financial planner can help him evaluate his options for retirement.