Watch flexible spending accounts
The flex plan also referred as flexible planning accounts in which many companies offer an employee steer part of the pay into special account can tap your medical bill or pay child care. To avoid the income or social security taxes will use or lose it the rule. The employer has adopted a great period of permitting by the IRS to spend money.
Check IRA distributions
To make a minimum distribution from an IRA can reach the age of 70 ½ in taking enough trigger of the most IRS penalty. The 50% tax amount should be withdrawn on your age, life expectancy and the account in an amount at the beginning year. Consider the withdraw withhold tax from payment can set the amount, but avoid the making of hassle estimated tax payments.
Avoid the kiddie tax
To prevent the family penalty by shift to tax bill on the income. The gain is large and the unearned child income exceeds in end up paying tax at 15% gain rather than zero percent.