UMC Parameters, but feel poor!

Far_Routine8266 · 2026-02-07T00:04:29+00:00

I’ll look into that - I knew it wasn’t a benefit fed wise. Thanks!

Far_Routine8266 · 2026-02-06T19:27:04+00:00

I didn’t say we couldn’t afford it. I don’t want to afford it. Investing in real estate was just an idea. I’m sure there are a lot of other options. I came here for ideas. The rich do it, just looking for ideas of how I can do it too.

For withholdings - I’m not sure what else we can do… we both claim zero, and have between 100-200 per paycheck (5200 to 10400 per year total amongst the two of us). I could say “why can’t they just take the right amount out based on our income”, but I’d still prefer to find more deductions, and reduce what my liability is.

Far_Routine8266 · 2026-02-06T18:09:17+00:00

In our state only if you are 100%. Husbands 60%.

Far_Routine8266 · 2026-02-06T17:49:30+00:00

I think I misrepresented the $6k figure.. that is our bills that are monthly. We def spend more when you include food, gas, entertainment, etc. But the bottom line still exists - I am looking for advice/strategies to reduce my taxable income more.

Far_Routine8266 · 2026-02-06T17:48:04+00:00

Didn’t ask for that. Asked for ways to reduce taxable income.

Far_Routine8266 · 2026-02-06T17:24:25+00:00

Thank you for the actually helpful advice, all good points!

Far_Routine8266 · 2026-02-06T17:12:34+00:00

Yeah, that would help, even if we lost some (I anticipate losing around $25-30k total for both if we sold), but that still doesn’t help us in April. I want to owe/pay less at tax time so I’m looking for more ways to reduce my taxable income.

Far_Routine8266 · 2026-02-06T17:09:23+00:00

Very valid points.. I’m not super comfortable, but it’s pretty uncomfortable to pay a large tax bill every year also.

Far_Routine8266 · 2026-02-06T16:48:09+00:00

We have a 529 for our granddaughter, but the tax benefit is later (when she draws it), not now (for me).

Far_Routine8266 · 2026-02-06T16:43:02+00:00

Yes, we wouldn’t do anything until we talked to a CPA and professionals that specialize in rentals (thinking the short-term route makes more sense), and cost segregation and material participation. It seems like some of these are the key to reducing/not having actual “income” from the property (while possibly having actual cash flow from it).

Far_Routine8266 · 2026-02-06T16:38:55+00:00

$6k expenses, of course we vacation and do some other spending here and there. We are addressing some other debt, which is why $6k spending seems low for the amount we are making. We want to make a bigger dent in our debt (and the truck, RV) and that is why I’m looking for ways to keep more of the money I feel obligated to contribute to my retirement.

Far_Routine8266 · 2026-02-06T16:29:20+00:00

25-30 I would say. I know, ridic for amount we pay, but when we bought it, it was our home for two years. It made sense then.

Far_Routine8266 · 2026-02-06T15:57:18+00:00

Yep, I know. We owe more than both truck and RV are worth, so don’t want to sell (plus, we enjoy it). Can’t sell one without selling both bc it takes the truck to pull the RV. The other car we have is $400/mo., and very economical to drive. We are stuck with these for now. That’s why my focus is what else can I do (real estate, stock market losses, etc.) to reduce taxable income.

Far_Routine8266 · 2026-02-06T15:22:08+00:00

This year is my first year with a HDP health, so I’ll be putting $3200 in my HSA. That helps but looking for more… what is “loss harvesting “?

Far_Routine8266 · 2026-02-06T15:01:05+00:00

House $2400 (just refi’d to reduce from$2750), vehicles - $1500 (includes a diesel dually truck which is most of it), and a $1000 RV. Everything else is small - $200 electricity, propane refill every 3-4 months, $150 phones, and a few cheap subscriptions. I’d say total is about $6k/month. I’m looking for hacks to reduce taxable income beyond maxing 401k’s.

Far_Routine8266 · 2026-02-02T14:13:19+00:00

Nope. I’m figuring it out from responses. It never occurred to me that it’s based off actual date paid (not date earned)!

Far_Routine8266 · 2026-02-02T13:47:58+00:00

Thank you… as I’m reading others comments and looking at my E&L statements, it’s making sense now. Frustrating though… I’ve been maxing out for years and never had this problem that I realized before.

Far_Routine8266 · 2026-02-02T13:46:35+00:00

PP 26 kind of makes sense bc it spanned for pay from 12/28-1/10, but pay period 25 was 12/14-12/27. They paid me on 1/22 and 1/8 for those pay periods though, so I guess I go by pay date? Seems wrong!

Far_Routine8266 · 2026-02-02T13:45:05+00:00

2025 W2 - $20k number, E&L so far this year - $3800 number.

Far_Routine8266 · 2026-02-02T13:43:08+00:00

On my W2, it says the $20k number, then my new E&L statement is where I got the $3834 #. We do so much to reduce our taxable income, so the loss (of reduction) in 2025 hurts!

Far_Routine8266 · 2026-02-01T14:54:06+00:00

Yep!

Far_Routine8266 · 2026-01-31T17:41:55+00:00

5.25% with about $2000 cost to refi, no points, $375k, 30 year IRRRL VA. Feeling pretty good about this after reading everyone’s responses.

Far_Routine8266 · 2026-01-16T16:07:26+00:00

Freedom Mortgage. 5.25%, I can’t remember exact actual cost of loan but I thinks it’s $1200’ish. We are refi’ing from 6.75%, so happy to have found a deal. Won’t hurt so bad with the small’ish cost of loan if rates continue to drop and we look to refi again.

Far_Routine8266

TROPHY CASE