Quote:
Originally Posted by Buehler445
Ok. Don't look at a rental as an opportunity to take itemized deductions.
You report rent income on a schedule E. All your expenses are account ted for on the schedule E so you're taxed on the net. If you finance a rental don't put the interest A (itemized deductions). Unless you can get a far better rate on your house than a rental but even then you risk losing the deduction for the rental at all if you don't get to the standard deduction.
RE: paid off house. Does t matter how it happened, it's still a big deal.
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Ah hell. Should've known it wasn't that simple. Apparently the only way to itemize deductions is to have a giant mortgage and a shitload of kids.
Something else occured to me, lewdog mentioned that the max we can put in the 401k is $18,000/yr, and the Mrs' pension buyout will well exceed that. So her idea of putting it all in 401k won't work then. Maybe we should just take the tax hit and buy a Corvette. /shrug