Taxes

We (and by we, I mean The Husband) is in the beginning stages of filing our taxes. We have received, or tracked down, all of the documents we need. Because we sold and bought a house this year, the number of documents we need were increased several-fold!

I’m hoping we get a decent refund.

The good news so far, is that we don’t have to pay taxes on any of the proceeds from the sale of our old house. (I didn’t think we would, especially because we rolled it right back into the purchase of another house, but with the US government you never know!)

But we still have a long way to go.

Depending on the size of any refund we get I want to drop half into savings and the other half straight towards our debt. We don’t have any family vacations planned for this year which is usually what we put our tax returns towards, so I’m hoping it will be one month where we can put money into savings instead of taking it out.

I’m also hoping we can use a small chunk to wipe out another chunk of our credit card debt. With a balance of about $16000 to go, and only 8.5 months left to do it in, we need to pay off about $705 per month (not including interest) to meet our goal of being under $10000 of credit card debt by the end of the year. Any amount of tax refund would benefit our goals.

Apparently, I’m still shooting for the ever elusive <$20000. It has been well over a year since I have had less than $20000 of debt. By virtue of reaching less than $10000 of credit card debt, we will fall under $20000 of total debt. I can’t wait to see that first number of our debt roll back.

My husband always does the taxes so in this instance, I am at his mercy until he wants to finish preparing them. Until then, we don’t know exactly how much of a refund we will get (if any).