(02-11-2019 02:23 PM)Redwingtom Wrote:  

(02-11-2019 12:15 PM)UofMstateU Wrote:  

(02-11-2019 11:47 AM)Redwingtom Wrote:  For the love of God people, STOP LOOKING JUST AT YOUR REFUND!!!! It's basically meaningless.

I am getting $2,000 more refund this year. So all thanks are due to the great and powerful trump!!! Right?

N. O. I got a $2,000 tax credit this year for education expenses for my daughter which I didn't get last year. Additionally, anyone can pay in extra money and get a bigger refund. You need to look at your total tax as a percentage of your income and also your effective tax rate. That's the comparison you need to be making.

And as others have alluded...smaller refunds are what you should strive for. It makes little sense to let the government keep your money, interest free, for a year or more. Your ideal return should show no refund and perhaps even a small balance due each year...a small balance that does not require estimated payments and which avoids any underpayment penalty.

I take it your taxes went down, and probably significantly, right?

My total effective rate dropped 5.11%. But $2,000 of new credits played into that. Without the new credits, my effective rate dropped 1.83%. So no, not real significantly IMO.