Posts Tagged ‘deductible interest’

Calculation question, what is better to pay off overall with consideration to tax deductions…?

Sunday, November 15th, 2009

I am trying to decide what is best to start using my extra money to pay off…a student loan at 5.4%, an auto loan at 4.99% or a heloc at 7.75% I know student loans and heloc interest is tax deductible, but assuming these deductions don’t affect a change in bracket (tax rate) what is the calculated difference in interest saved (assuming 15% bracket) on whether to pay which of these three….(I guess I’ve always been told pay non-deductible first, but with these numbers I just don’t see how that adds up…and most importantly how do I actually calculate the real interest I’m paying on tax deductible interest so I can compare it to nondeductible rates…) thanks in advance for any help!

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Does a 4.9% credit card loan beat a 9.2% home equity loan in terms of money savings and tax benefits?

Sunday, May 10th, 2009

I want to take out a ,000 loan and I want to see if the credit card deal is better for overall savings. It's a lower rate than the home equity loan, but will the higher APR of the Home Equity loan paired with the tax breaks be better than a lower credit card(i.e. non-deductible interest) loan?
The rate is for the life time of the balance until paid off. It is primarily for balance transfers but the money can be used in any way I'd like.

Related ‘deductible interest’ sites :


Publication 936 (2009), Home Mortgage Interest Deduction
It includes discussions on points, mortgage insurance premiums, and how to report deductible interest on your tax return. Generally, home mortgage ...
www.irs.gov/publications/p936/ar02.html
 
Publication 936 (2009), Home Mortgage Interest Deduction
Acquisition debt, Fully deductible interest., Home Acquisition Debt, Part of home not a ... Home acquisition, Fully deductible interest., Home Acquisition Debt ...
www.irs.gov/publications/p936/ix01.html
 
Retirement Loans: Is the Interest Deductible?
In order to be deductible, interest must be defined as deductible in the Internal Revenue Code. ... Interest that you pay on funds used to purchase investment assets ...
fool.com/personal-finance/taxes/2004/09/17/...
 
Home Mortgage Interest Deduction - Claiming Mortgage Interest ...
Mortgage interest is a tax-deductible expense. Mortgage interest is reported on Form 1040, Schedule A along with other itemized deductions. ...
taxes.about.com/od/deductionscredits/a/MortgageDeduct.htm
 
Welcome to Taxlogic
Personal interest is not deductible. Examples of personal interest include interest on a ... In most cases, you will be able to deduct all of your home mortgage interest. ...
www.taxlogic.com/t4bin/page/+/faq/deductible2.html
 
Student-Loan Interest May Be Tax Deductible
Taxpayers who meet certain requirements can deduct the interest on student loans on their federal tax returns. ... Student-Loan Interest May Be Tax Deductible ...
www.collegeboard.com/parents/pay/loan-center/37041.html
 
Prepay Your Mortgage?: With Tax Deductible Interest Payments ...
With Tax Deductible Interest Payments, the Answer Maybe No ... Consider the current mortgage climate: Interest rates on a 30 year mortgage have been hanging around 5.7 ...
mortgagesloans.suite101.com/article.cfm/prepay_your_mortgage
 
Not all mortgage interest is deductible
How to trace interest on your residential and rental properties' mortgages. ... Since the home equity interest isn't deductible on the AMT schedule, you can allocate ...
www.realestateinvestingtax.com/deductible.shtml
 
Home Equity: Interest on home equity loans is deductible ...
You can deduct interest on a home equity loan or line of credit-- to a point ... Home equity loan interest is deductible -- to a point. By Michael D. Larson • Bankrate.com ...
www.bankrate.com/brm/news/loan/19990203.asp
 
Converting non-deductible interest. Is it possible? - Desjardins
Home > Money tips > Did you know > Taxes > Converting non-deductible interest. ... This way, interest becomes tax deductible because personal debts are gradually converted ...
desjardins.com/en/particuliers/conseils/saviez-vous/...
 

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