Air Fresheners

Did you know that air fresheners are not only costly but have chemicals in them that are not good for you? Some stores have had to remove their air fresheners because the levels of some chemical were too high. So to be safe and save money at the same, use baking soda, coffee grounds, slice a lemon or open the window! Another option, if you grow your own herbs (which is economical) you can dry them and crumble them into a bowl and leave out. These are more economical and better for you and the environment.

Saving Money on Household Item

Instead of buying the snack size portions to take for lunches or even the "diet" packs of 100 calories, buy the large size bag and portion it into baggies of the same size.

Tax Time Tip #2

Did you know if you contribute to an IRA you can deduct the amount from your income tax ? There are limits on the amount, which vary depending on your age. Even if you have a 401-K or employer plan you can probably take all or some of the deduction. Here is a link to the IRS site that explains more about IRA's , As well as a chart below that shows the limits.

http://www.irs.gov/publications/p590/ch01.html#en_US_publink10006143

If you are covered by a retirement plan at work, use this table to determine if your modified AGI affects the amount of your deduction.

IF your filing status is ...	AND your modified adjusted gross income (modified AGI) is ...	THEN you can take ...
single or head of household	$53,000 or less	a full deduction.
	more than $53,000 but less than $63,000	a partial deduction.
	$63,000 or more	no deduction.
married filing jointly or qualifying widow(er)	$85,000 or less	a full deduction.
	more than $85,000 but less than $105,000	a partial deduction.
	$105,000 or more	no deduction.
married filing separately2	less than $10,000	a partial deduction.
	$10,000 or more	no deduction.

1 Modified AGI (adjusted gross income). See Modified adjusted gross income (AGI), later. 2 If you did not live with your spouse at any time during the year, your filing status is considered Single for this purpose (therefore, your IRA deduction is determined under the “Single” filing status).

THE LITTLE THINGS ADD UP

You don't need to make drastic changes in your way of living to save money. Doing little things will save you money in the long run. I will be posting a new tip every day to help you in these tough economic times.

Today's tip -

Make your own dryer sheets. Put a little bit of liquid fabric softener in a shallow pan with some water. Take a few clean washclothes and lay them in the solution for 10 minutes. Wring them out and lay or hand them to dry. Put one in each load to clothes in the dryer. And don't forget to pour the left over solution into the next load!

Tax Time Tip #1

I will be posting a new tax tip every day to help you save money on your income tax.

1. Do you know you might be eligible for the earned income credit? Follow the link below and take the test to see.

http://apps.irs.gov/app/eitc2008/Forward_Eligibility.do