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email this storyFive Things to Spend Money on Now
Posted by: Kristen // December 29 2009
As the clock ticks down to the end of the year, there are time-sensitive items you need to spend money on or before the 31st for tax purposes. And there are the post-Christmas bargains you’ll want to check out. Here are some Sly ways to use your money right now:
Give to your favorite charity. Support the cause that is close to your heart and reap the tax rewards. Charitable donations must be made on or before 12/31 to be claimed on your 2009 tax return. Don’t forget that objects you donate to Salvation Army, Purple Heart, or any similar organization also have a dollar value which can be deducted from taxes. Make sure you get an itemized receipt for those clothes, household items or (gasp!) unwanted Christmas gifts.
Buy that car. Not only do dealers have year-end sales events, but there is a special Stimulus package tax deduction which applies to new cars bought by December 31st. You may be eligible to take a deduction on the state and local sales and excise taxes paid on new vehicles with a purchase price of up to $49,500. Check out the IRS site for details and how to qualify.
Spend your health savings account balance. Use it or lose it: that’s the way health savings accounts work. Check with your plan administrator to find out our deadline for using the funds. For many people it’s December 31st. Since the rules governing these accounts expanded their use to cover non-prescription items as well, it’s easier to find ways to make good use of the money.
Warm up to deals on winter clothing. Great deals are to be found on winter clothing in general right now. Cold weather gear has been out since the summer, and retailers are looking to clear room for spring collections. It’s a great time to get a good deal on a winter coat. Holiday party dresses are going on sale too, as all that is left now to celebrate is the New Year.
Stock up for Christmas 2010. You’re sick of carols, and if you see another candy cane you’re going to smack someone. I get it – the season can feel super long, especially as the unofficial start date creeps up earlier every year. The smart shoppers suck it up though and shop the after-Christmas sales for obscene discounts on items that were selling for full price not 48 hours earlier. Grab Christmas cards, lights, ornaments, gift wrap, tree supplies, and all manner of seasonal tchotchkes at rock-bottom prices. Another Sly buy are those “pre-packaged for the holidays” gift sets that department stores are desperate to get rid of come 12/24. These basic gifts store well for stocking stuffers, boss/employee appreciation, or emergency gifts in the year to come.
