The US Energy Information Adminsistration projects that by 2015 electronics products alone will account for 18% of total home electic consumption.
Waverly Light and Power has some great energy saving tips on their website at www.waverlyia.com
Saturday, February 28, 2009
Tuesday, February 17, 2009
Modular Homes Make Sense
Check out this article and what Bob Vila has to say about Modular Homes.
For more information about the modular homes Steere Home Builders builds, visit our website at www.steerehomebuilders.com for plans and options or contact us at tina@steerehomebuilders.com for how you can own a cost effective energy effecient modular home.
For more information about the modular homes Steere Home Builders builds, visit our website at www.steerehomebuilders.com for plans and options or contact us at tina@steerehomebuilders.com for how you can own a cost effective energy effecient modular home.
Monday, February 16, 2009
2009 Stimulus Plan for Homebuyers
Congress and the White House have reached an agreement on the recent economic recovery package.
The 2009 stimulus plan to help increase home sales, stop the falling real estate values across the country and reduce the number of foreclosures includes an $8,000 tax credit for homebuyers.
It will not need to be paid back like the previous $7500 credit, but rather is a 100% credit. Some may say that nothing in life is free.... but in essence, it is FREE MONEY.
While the final details are not yet fully available, this is how I expect it to work in force, based on how other tax credits work, and how a first time home buyer can reap the benefits of the tax credit.
You will have your Federal Income Tax Liability reduced by $8,000 for 2009 if you purchase a home between January 1 and December 1, 2009. However, this does not mean that you must wait until you file your tax return next year to receive the $8,000.
By increasing the amount of tax exemptions for a salaried worker, or reducing Federal Estimated Income tax payments for self-employed and 1099'ed workers, the $8,000 credit due you can be received throughout the remaining pay periods of this year, or even more quickly, depending how many exemptions you increase by over your current tax situation.
Certainly seek advice from a qualified tax professional, as soon as possible, when determining how to best take advantage of the $8,000 given to you by Uncle Sam.
If you are a salaried worker, you may submit a new form W4 to your payroll department. Use the IRS withholding calculator (www.irs.gov) to see how many exemptions you should claim to reduce your Federal tax withholding by $8,000 this year, or seek the advice of a qualified CPA if you want the $8,000 to show up in your pocketbook at a quicker pace.
Here's an example (for illustration purposes only, please consult a CPA for guidance on your individual situation if you are uncertain):
You are paid Bi-Weekly. You decide in March that you will buy a new home this year to take advantage of, and qualify for, the $8000 tax credit. $400 in Federal Taxes are currently being withheld from each paycheck. 3 Months (6 checks) have already passed with $400/check being sent to IRS -- $2400 to IRS so far in 2009.
Option 1: $8,000 credit means you will get a $8,000 refund (on top of anything else you were expecting) next winter on your 2009 1040 if you leave your paycheck alone and do absolutely nothing (certainly the easy choice, but maybe not the best financial choice?)
Option 2: you can immediately increase your withholding to stop paying any Federal Income Taxes for the rest of the year (adds $7,200 to your take home pay over 9 months (18 paychecks) at $400 per paycheck). Set aside (DO NOT TOUCH!!) the extra $400 your pay check increases by each paycheck until you buy your new home. Use if for the down payment, new carpet, new furniture, etc.; whatever you would like to use it for -- have at it! Having this extra savings in the bank each paycheck may also help with your mortgage approval (extra reserves, or extra monthly housing payments in liquidity, needed for qualifying -- this is a good thing!)
In the event you do not buy a home, you have saved the money in the bank because you HAVE NOT TOUCHED IT YET, RIGHT?? That money you will owe back to the IRS, so it can be paid right away before the end of the calendar year. Be careful, though, if you do change your mind or something happens to cause you not to buy the home -- that money taken out is due back to the IRS because you aren't eligible for the credit, and you could face an underpayment of tax penalty if you spend the extra monies from the credit and then do not buy the property.
Certainly, as you might be able to gather from my not so subtle hints, the main idea here is to NOT spend any of that money until you buy your new home. And there is no reason that you have to wait until next year to get the $8,000 you are entitled to receive for that new home purchase.
At Steere Home Builders, we have many affordable house plans to choose from that meet the needs of most first time home buyers. You can view our website at www.steerehomebuilders.com and view the plans that are available for you to begin building this spring.
The 2009 stimulus plan to help increase home sales, stop the falling real estate values across the country and reduce the number of foreclosures includes an $8,000 tax credit for homebuyers.
It will not need to be paid back like the previous $7500 credit, but rather is a 100% credit. Some may say that nothing in life is free.... but in essence, it is FREE MONEY.
While the final details are not yet fully available, this is how I expect it to work in force, based on how other tax credits work, and how a first time home buyer can reap the benefits of the tax credit.
You will have your Federal Income Tax Liability reduced by $8,000 for 2009 if you purchase a home between January 1 and December 1, 2009. However, this does not mean that you must wait until you file your tax return next year to receive the $8,000.
By increasing the amount of tax exemptions for a salaried worker, or reducing Federal Estimated Income tax payments for self-employed and 1099'ed workers, the $8,000 credit due you can be received throughout the remaining pay periods of this year, or even more quickly, depending how many exemptions you increase by over your current tax situation.
Certainly seek advice from a qualified tax professional, as soon as possible, when determining how to best take advantage of the $8,000 given to you by Uncle Sam.
If you are a salaried worker, you may submit a new form W4 to your payroll department. Use the IRS withholding calculator (www.irs.gov) to see how many exemptions you should claim to reduce your Federal tax withholding by $8,000 this year, or seek the advice of a qualified CPA if you want the $8,000 to show up in your pocketbook at a quicker pace.
Here's an example (for illustration purposes only, please consult a CPA for guidance on your individual situation if you are uncertain):
You are paid Bi-Weekly. You decide in March that you will buy a new home this year to take advantage of, and qualify for, the $8000 tax credit. $400 in Federal Taxes are currently being withheld from each paycheck. 3 Months (6 checks) have already passed with $400/check being sent to IRS -- $2400 to IRS so far in 2009.
Option 1: $8,000 credit means you will get a $8,000 refund (on top of anything else you were expecting) next winter on your 2009 1040 if you leave your paycheck alone and do absolutely nothing (certainly the easy choice, but maybe not the best financial choice?)
Option 2: you can immediately increase your withholding to stop paying any Federal Income Taxes for the rest of the year (adds $7,200 to your take home pay over 9 months (18 paychecks) at $400 per paycheck). Set aside (DO NOT TOUCH!!) the extra $400 your pay check increases by each paycheck until you buy your new home. Use if for the down payment, new carpet, new furniture, etc.; whatever you would like to use it for -- have at it! Having this extra savings in the bank each paycheck may also help with your mortgage approval (extra reserves, or extra monthly housing payments in liquidity, needed for qualifying -- this is a good thing!)
In the event you do not buy a home, you have saved the money in the bank because you HAVE NOT TOUCHED IT YET, RIGHT?? That money you will owe back to the IRS, so it can be paid right away before the end of the calendar year. Be careful, though, if you do change your mind or something happens to cause you not to buy the home -- that money taken out is due back to the IRS because you aren't eligible for the credit, and you could face an underpayment of tax penalty if you spend the extra monies from the credit and then do not buy the property.
Certainly, as you might be able to gather from my not so subtle hints, the main idea here is to NOT spend any of that money until you buy your new home. And there is no reason that you have to wait until next year to get the $8,000 you are entitled to receive for that new home purchase.
At Steere Home Builders, we have many affordable house plans to choose from that meet the needs of most first time home buyers. You can view our website at www.steerehomebuilders.com and view the plans that are available for you to begin building this spring.
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