Tax-Saving Moves For 14 Big Life Events

Life is full of surprises and challenges. Luckily, there’s a tax form for just about all of them. Via Kiplinger’s, here’s 14 major life events that allow for smart tax-saving moves, and how to make those moves.

1. Graduating from college
2. Getting your first job
3. Getting married
4. Birth of a child
5. Buying your first home
6. Sending your child to college
7. Changing jobs
8. Working at home
9. Selling your home
10. Buying a second home
11. Getting hit with a major illness or injury
12. Getting divorced
13. Retiring
14. Death of a spouse

(Photo: tjean314)

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  1. AshleyKeen says:

    I resent that “Getting Married” and “Having Children” are listed before “Buying your first home.”

    I feel so underaccomplished…

    • jpmoney says:

      @AshleyKeen: The order of the list is pretty interesting. I like the “changing jobs” -> “working from home” -> “selling your home” interaction myself. Things fall apart much?

      Does it really matter anymore though? My (current) fiance and I bought our house a year ago, before our engagement. Then again, we’re also not planning children at all.

      I guess its like my mom said recently: “you seem to have put the cart before the horse, but do what is going to make you happy”.

      • lordargent says:

        @jpmoney:

        Getting hit with a major illness or injury -> Getting divorced

        “Bob was never the same after the accident.”

  2. Rectilinear Propagation says:

    Via Kiplinger

    Am I the only one that read that as “Val Kilmer”?

    The article kind of makes it sound number 8 only applies if you’re only self employed but I can’t imagine those rules don’t apply just because you kept the regular 9-5 job too.

  3. j-o-h-n says:

    The college one seems to contradict itself:

    “Hope and Lifetime Learning Credits. … You can’t claim both credits for the same student in the same year.”

    and later

    “The Hope Credit may be received along with the Lifetime Learning Credit”

  4. Brazell says:

    I also read that as Val Kilmer, and my first reaction was, “Oh good, he’s doing something these days.

    Most of these are a little ridiculous. “Getting your first job” is NOT a tax saving move… you go from paying little to no taxes to paying 40% of your income in taxes. Even if you can deduct job searching expenses, it’s still called a “deduction,” because you’re deducting the probably about less than 1/100th of a percent of the overall you spend on taxes.

  5. crabbygeek says:

    Great info, now I can save some money on my taxes!

  6. Jabes says:

    I am not too sure the “buying a home” one is up to date. It talks about a $7,500 tax credit that has to be repaid. My understanding is that for 2009 it’s now $8,000 and doesn’t have to be repaid.

    • Hil-fish says:

      @Jabes: The article is from December 2008. The stimulus package was but a gleam in Obama’s eye at that point, so yeah, that info is out of date.

      • joshua70448 says:

        @Hil-fish: Well, technically it’s true, it just doesn’t include the newer tax credit. The $7500 credit (that has to be repaid) is still in effect, and you can claim it for purchases until July 1. However, you’d definitely want to claim the newer $8000 credit instead if you bought after January 1.

    • heybtbm says:

      @Jabes:

      I’m glad I’m not the only one who noticed that.

      Old article…that explains it.

  7. SwatLax says:

    What about going to grad school?

  8. morgasco says:

    Um, I’ll ask the obvious question regarding this topic. Where’s tax cat?

  9. korybing says:

    I read the one about getting married and I’m suddenly scared. I can barely do my own taxes, let alone the taxes for both of us. This will be a financial explosion.

  10. georgi55 says:

    The Buying your first home is old and it still talks about how the $7500 is interested free loan, and does not mention the current $8000 credit if you buys home before 12/1/09