$5100

[VickiVM]

You know you are paying more for those airline tickets than they are worth. People spend 18% more when they use a credit card on average. I would rather pay cash for everything and have much more buying power. I can promise you my credit score does not affect me in the least.

How much sense does that make? She buys her airline tickets, then pays the balance of her credit card at the end of the month so theoretically would have no interest charged. The only way she's paying more than they're worth is if the airlines lower the fares on the same flight in which case she can probably get credit for the difference either on her card or in a voucher.

Buying power is only relative to either how credit worthy you are and how much credit you have (if you choose to use credit) or how much cash you have (if you only use cash).

 

[LoraJ]

How much sense does that make? She buys her airline tickets, then pays the balance of her credit card at the end of the month so theoretically would have no interest charged. The only way she's paying more than they're worth is if the airlines lower the fares on the same flight in which case she can probably get credit for the difference either on her card or in a voucher.

Buying power is only relative to either how credit worthy you are and how much credit you have (if you choose to use credit) or how much cash you have (if you only use cash).

I don't think they mean interest but that if you don't have the cash in hand you won't spend as much.

For me, it doesn't matter, cash or credit, I spend the same. When i want something, I get it.

 

[Goofy'slady]

Sounds to me like some people forgot to put the sugar in their lemonade. Bitterness clashes with ones outfit - best not to put it on for risk of looking foolish!

I'm doing fun stuff with our large refund we got back this year! Don't have to pay off medical bills (thankfully, we don't have any) no CC debt to pay off (it's so refreshing) and our car will be paid off by the middle of the year and we're not even gonna take our refund to pay that off early.

Hey DISNEY, watch out here comes the LEIDELMEIJER'S!

T.

 

[VickiVM]

Bitterness clashes with ones outfit - best not to put it on for risk of looking foolish!

I have never heard that expression...how funny!

 

[ICF]

You know you are paying more for those airline tickets than they are worth. People spend 18% more when they use a credit card on average. I would rather pay cash for everything and have much more buying power. I can promise you my credit score does not affect me in the least.

really, 18%. How do you figure? I must have missed the 'cash discount' option on airline websites in the past?

I use my CC for EVERYTHING....and pay it off each month and neverever pay interest. I get hotel pts and haven't paid for a hotel in probably 10 years. Tell me again how it costs me more to use a CC and why cash is 18% better?

 

[livie1205]

We are getting a huge refund this year 5300.00! yaaahhh next year we will get about 6200.00 because we will claim my dss12.We have them take out as much as we can during the year so we have a big return...I think alot of people are just mad that they do not get a big return so they want to rain on someones parade.

 

[mefordis]

We are getting a huge refund this year 5300.00! yaaahhh next year we will get about 6200.00 because we will claim my dss12.We have them take out as much as we can during the year so we have a big return...I think alot of people are just mad that they do not get a big return so they want to rain on someones parade.

That's what I think. Otherwise, why would they even care?

 

[Kit'smommy]

We are getting a huge refund this year 5300.00! yaaahhh next year we will get about 6200.00 because we will claim my dss12.We have them take out as much as we can during the year so we have a big return...I think alot of people are just mad that they do not get a big return so they want to rain on someones parade.

Hey, if this is the only way you can save, more power to you. No bitterness here, but I just refuse to loan Uncle Sam my money.

Last year we got $100 back, so I think we got our withholdings just perfect. DH and I are both CPAs, and we reassess our tax situation a couple of times a year and adjust as necessary.

Then again, we are disciplined enough to put our extra into a vacation fund, gift fund, etc during the year. Just because we have it doesn't mean it gets spent.

 

[Green Tea]

I do have to laugh at all of the folks using TurboTax. They will make great Treasury Secretaries one day.

Huh?

 

[wdwfan16]

Hey, if this is the only way you can save, more power to you. No bitterness here, but I just refuse to loan Uncle Sam my money.

ITA. We are not bitter but very happy that we can save without another taking the money from us and forcing us to save.

What I find sad is that many are getting nice refunds and are then planning where to have "fun" with it. So they can't save and when somebody saves fore them and gives it to them they go have "fun".

If they then saved the refund for the future, I could calling it a savings plan but that is not what many do.

Huh?

You have not heard of Geitner (sp?)?

 

[phorsenuf]

What I find sad is that many are getting nice refunds and are then planning where to have "fun" with it. So they can't save and when somebody saves fore them and gives it to them they go have "fun".

Does anyone use/remember vacation saving clubs or Christmas clubs? Every week you would deposit a set amount into a special savings account at the bank and than at a pre-determined time you would get a check for the full amount (term was usually a year). The Christmas club ones were very popular back when I worked at a bank.

So if someone wants to put $20 (or however much they choose) every week into a savings plan and then take the money out for fun reasons at the end of the year then why does it matter of its XYZ bank in your hometown or the bank of Uncle Sam.

 

[wdwfan16]

Does anyone use/remember vacation saving clubs or Christmas clubs? Every week you would deposit a set amount into a special savings account at the bank and than at a pre-determined time you would get a check for the full amount (term was usually a year). The Christmas club ones were very popular back when I worked at a bank.

So if someone wants to put $20 (or however much they choose) every week into a savings plan and then take the money out for fun reasons at the end of the year then why does it matter of its XYZ bank in your hometown or the bank of Uncle Sam.

If they are saving that in addition to other money for their retirement, new roof for their home, tires for the car etc, then it is not a problem. If this is all they save and as soon as they blow it on a vacation or gifts they are flat broke then it is the same as I described above.

 

[Lionqueen2]

YES they are. You paid in and you are getting it back. IT IS YOUR MONEY. You need to be aware of what your deductions are going to be at year's end and adjust your withholding appropriately.

Like I posted previously. I take 10 deductions on my W4 when I only have 4 deductions on my 1040. I do this so that I won't be getting back a huge refund.

I just can't believe how many people are happy to let Uncle Sam have that $40-$50 a week, hold it interest free and then give it back.

I completely agree with you. I would much rather be in charge of my own money than let Uncle Sam handle it for me.
In fact, if the government permitted it, I would opt out of the deduction system all together and just pay all my taxes in a lump sum when they are
due in April, but I also know that that will never happen.

 

[DMickey28]

Yeah Denise, that's great. I'd LOVE THAT! We are still waiting for one more w-2 to file. Then we have the first time homebuyers tax credit so I don't know how that will delay things. I am praying for $1K back since an error in filing status for 6 weeks at DH's new job caused $1400 extra to be taken out in October/November. I figure we should at least get that back but I am being cautious since we have had to owe every year except last year. DH made significantly less this last year though, at least $40K less so hopefully that helps us.

I am excited to do the taxes but scared too ... can't handle owing money this year!! We do get the $8K back but we borrowed some money for our down payment so that goes right back out the window!

 

[HeatherC]

unsubcribing. thanks!

 

[MiniGirl]

There are many reasons why people want to get large refund checks.

My dh decided years ago to get more taken out each month so that his take home pay would be smaller. He was already paying his ex-wife a large sum each month in child support and she was constantly taking him back to court for more about every 6 months. He wanted to show that his take home pay had not changed, and it worked. She started taking him to court every couple of years instead of every 6 months -- saving us quite a bit in attorney fees.

Now, before everyone starts flaming away, consider this. My dh's ex would not have been awarded all that much more money. We have since given this money to the kids directly -- not their mother who used the child support for things other than supporting the children. Also, if it means that Uncle Sam gets an interest free loan in order for us to keep more of our money, then so be it. We'd rather Uncle Sam use it for a short time than the attorneys get it. We'd never get it back then.

All I'm trying to say is that different people have different reasons for the way they do things. It's no skin of anyone else's back, so why argue about it. If someone was asking for advice or opinions, then feel free. After you have given it though, just accept that someone else may be living in different circumstances than you and what is best for you may not be best for them.

 

[It'sWDW4me]

I had a very nice surprise when I did my taxes last night. I had read of quite a few people's refunds dropping considerably from last year so I first went on the IRS site and used their esitmator. That came back with a pretty big refund so I was skeptical. I used the free TurboTax for the first time and I just love how easy it is to use! Watched the ticker go up and then down, and down, and down with each entry of info. When all was said and done - a $1,635 refund! I was expecting maybe $700 back so I was pleasantly surprised when I found that I was now eligible for EIC (no OT and no raise in 2009 dropped me into EIC territory) plus there is the "making work pay" credit of $400.

The very best thing....... this refund covers all but $100 or so of my August Disney trip!! Thanks Uncle Sam!!!!!

 

[Minnesota!]

Better than having an extra $120 a week?

To each his own.

Definitely better! $120 a week - I would find a way to spend it. Throw it as extra on student loans, buy my husband new shoes, etc.

Hey, if this is the only way you can save, more power to you. No bitterness here, but I just refuse to loan Uncle Sam my money.

Last year we got $100 back, so I think we got our withholdings just perfect. DH and I are both CPAs, and we reassess our tax situation a couple of times a year and adjust as necessary.

Then again, we are disciplined enough to put our extra into a vacation fund, gift fund, etc during the year. Just because we have it doesn't mean it gets spent.

We put a huge chunk of money each month into savings - about 50% of my DH's pay. And then I put a good chunk of MY pay into my IRA. We are very disciplined about it.

We are debt free except for student loans (which are deferred but I am still paying the interest on them monthly so that it's not a huge number when we graduate), and for my son's tuition.

SO - when we get our $6K check in Feb, I will pay for my son's school for next year, and then redo our kitchen and bathroom. Anything left over will go towards the vacation fund...

If I was getting it back weekly, I would still need to save it "somewhere" to get enough to be able to do those things. The interest I would earn on it would be so minimal...it's so much better for ME to get it all back in one lump sum.

Gotta do what works best for YOU and not care what anyone else does.

 

[LoraJ]

Why do people assume that if someone gets a refund back they don't save as well?

 

[testifyoncruises]

really, 18%. How do you figure? I must have missed the 'cash discount' option on airline websites in the past?

I use my CC for EVERYTHING....and pay it off each month and neverever pay interest. I get hotel pts and haven't paid for a hotel in probably 10 years. Tell me again how it costs me more to use a CC and why cash is 18% better?

There was a study done that showed people on average will spend on average 18% more every time when using a credit card than they would if they only paid in cash. McDonald's saw their in-store sales rise over 57% when they started allowing people to pay with a credit card.

Using cash has a psychological pain to it that using a credit card doesn't and people on average are far more frugal using cash only. Personally I would rather using that 18% we save and fly when we want and stay where we want and not worry about 'free' hotel stays or airline tickets.

I have also found that having cash has increased my buying power considerably. DP and I haggle all the time on high ticket items and have found that cash makes prices instantly decline.

So maybe you do not spend or think you do not spend more using a credit card, then good for you. That is how they come up with averages. There are those who spend a great deal more than 18% too and justify it because they "pay it off each month". They are folloing themseves on the deals they think they are getting.