this post was submitted on 15 Apr 2024
719 points (98.1% liked)
Funny
6808 readers
797 users here now
General rules:
- Be kind.
- All posts must make an attempt to be funny.
- Obey the general sh.itjust.works instance rules.
- No politics or political figures. There are plenty of other politics communities to choose from.
- Don't post anything grotesque or potentially illegal. Examples include pornography, gore, animal cruelty, inappropriate jokes involving kids, etc.
Exceptions may be made at the discretion of the mods.
founded 1 year ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
Most people aren't going to have anywhere near enough taxable investment income for that to matter.
I think I got about $.87 in interest payments from bank accounts in the past year. I don't think that's going to make a huge difference in taxable income.
You need a better bank account then.
Let's say you have $10k in cash (typical emergency fund) and get 4% on it (relatively competitiv; e.g. Ally gives 4.25%), that's $400 in interest (not including compounding), which is a reportable amount of income. If you're doing something clever or have a bit more cash for some reason (e.g. saving for a house), you could easily get into more interesting amounts of money.
There's your mistake right there, thinking people have even $10k to serve as a spare emergency fund.
I don't even have a thousand spare right now for an emergency.
I had like $6k savings until I did my taxes and apparently everything I saved up was how much I owed the tax man. I thought I had actually gotten ahead but turns out that was an illusion lol