Anyone thankful this year they gave the gov an "interest free loan" in 2008?

[schmidtjas]

Anyone thankful this year they gave the gov an "interest free loan" in 2008?

What I mean is, is anyone else happy that the government had an interest free loan from them? I ask because although the money I'm getting back for my tax return is just my money that I overpaid them (what I mean by interest free loan), had I had that money all along in 2008 I probably would've invested it into the stock market and lost 30%.

So maybe we should all thank the government for holding our money safely for us?

(BTW this is more of a joke post, but I found it an interesting thought)

 

[Dennis]

Well, if we get anymore than what is equal to 1 exemption? We Used to increase our Exemptions the following yr..while we were working..

Not sure if you can still get away with that anymore..

 

[Gone4Good]

Aren't I doing that when I buy Treasuries these days?

 

[CuppaJoe]

I thought about revising my 2008 withholding but didn't want to tip off my employer that I was leaving in Aug. So, yes, the gov. saved me from some losses. The refund is equivalent to slightly more than one month's PF withdrawal, so with some frugalities I may be able to come in under 4% in '09, goal is 3.5% which is doable as long as the creek don't rise or the teeth don't abscess. That extra .5% could be a reserve for myself, hopefully with some growth or interest. Now, tell me again, how do we make cash grow?

 

[Dawg52]

Anyone thankful this year they gave the gov an "interest free loan" in 2008?

Normally I would not be happy overpaying this much, but my refund will come in handy. Worked on the tax return this afternoon and I will get 4k back on federal and will pay $300 on state. Lowering my 2009 estimates to get closer to a break even point.

But the refund will come in handy for my upcoming Cancun trip. Pay for a few med's this year too.

 

[FIREd]

At least the Feds are giving me back the money I overpaid last year.

My state doesn't have the money to refund what I overpaid (yet). From what I gather, state leaders do not feel the need to hurry and send me my refund check because they apparently have more important things to do with money "borrowed" from taxpayers at 0%. They are taking unbelievable liberties with money which doesn't belong to them in the first place IMO.

 

[Purron]

DH and I are getting a pretty good refund this year. Mainly 'cause this was my 1st year FIRE'ed and we hand lots of other changes. Normally, I prefer to owe the biggest amount possible without a penalty so the guvment gives me a loan. Even so, lookin' forward to the refund. We might just go crazy and stimulate the economy

 

[calmloki]

refund? 1/4ly payments here and typically a nice stout additional contribution to Truth, Justice and The American Way! each April 15th.

 

[tryan]

Our refund was all earned income credit (~5k) ... can't seem to get the feds to pay me any earlier.

 

[shotgunner]

In this case I was happy since my return was based on two things I could not have planned for, which was expected capital gain distributions not materializing and taking a capital loss late in the year by Tax Loss Harvesting.

 

[MichaelB]

What I mean is, is anyone else happy that the government had an interest free loan from them? I ask because although the money I'm getting back for my tax return is just my money that I overpaid them (what I mean by interest free loan), had I had that money all along in 2008 I probably would've invested it into the stock market and lost 30%.

So maybe we should all thank the government for holding our money safely for us?

(BTW this is more of a joke post, but I found it an interesting thought)

Happy? Yeah. The only thing worse than having a lousy portfolio year would be to have the negative portfolio but still pay taxes.
Kinda like '01 with freefalling NAVS but high distributions.

 

[Lawrence of Suburbia]

That fact that I got an unexpected $2k back this year, is merely an indication of how much less dividend income I got.

I'd left my witholding calibrated for 2007 - good times.

Of course, I'm doing what any sensible person would do with such a windfall - I'm going to Mexico, baby!! Goodbye, earthly cares; hello, jello shots at Senor Frog's!!

(Just kidding, I'm too old for the Frog's. I'll be drinking spice coffee at Las Palomas on the Malecon.)

 

[OAG]

$9K Refund this year - due to SS Mulligan and reflects taxes paid on SS benefits from 2004-2007. Usually, I owe between $0 & $50 at tax filing day.

 

[Dawg52]

That fact that I got an unexpected $2k back this year, is merely an indication of how much less dividend income I got.

I'd left my witholding calibrated for 2007 - good times.

Of course, I'm doing what any sensible person would do with such a windfall - I'm going to Mexico, baby!! Goodbye, earthly cares; hello, jello shots at Senor Frog's!!

(Just kidding, I'm too old for the Frog's. I'll be drinking spice coffee at Las Palomas on the Malecon.)

Don't drink the water.