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If you are on w2 and owe big taxes, then you are intentionally under withholding. Unless you won IPO or buyout jackpot, then spend your time planning your retir
by aynyc 3y ago
If you are on w2 and owe big taxes, then you are intentionally under withholding. Unless you won IPO or buyout jackpot, then spend your time planning your retirement, not credit card churn (unless that’s your plan all along).
- pb7 3y ago>then you are intentionally under withholding What’s wrong with that? You can pay estimated quarterly taxes with a credit card too. Many churners do.
- aynyc 3y agoNothing wrong with churning, but it's not within the context of this post. Your goal is to churn, tax happened to be one of the venues. But for most people, churning is the wrong approach because their taxes are the biggest issue.
- pb7 3y agoIf you have legal strategies for avoiding paying 6 figures in taxes ever year, I'm all ears.
- deleted 3y ago[deleted]
- dheera 3y ago> If you are on w2 and owe big taxes, then you are intentionally under withholding. No, many W2 people also have investments and capital gains, and it's very easy to owe big taxes without under-withholding. Also, if your W2 income is, say, $500K, it's not out of the ordinary to owe another $10K or $15K even if you don't intentionally under-withhold. It's not within penalty territory but more than enough to get a sign-up bonus or two and get a couple thousand of it back in cashback, air tickets or hotel stays and things you'll use anyway.