Mortgage Acceleration In The News - 1/28/10
Hey everyone!
There is a common fallacy that the money someone pays for interest on their home saves them the same amount of money in taxes that they paid in interest. Basically people think that there is a dollar for dollar deduction on their taxes but it doesn't work that way. Most people look at it more like a tax credit and not a deduction, Let me explain...
Lets just compare two examples, someone that doesn't have a deduction and someone that does.
Lets say someone has a taxable income of $30,000 and no mortgage interest to be deducted. That means that if they were in the 20% tax bracket they would pay 6,000 in taxes.
If that same person got to deduct 11,000 of mortgage interest then it would drop their taxable income down to $19,000 and they would still pay $3,800 in taxes
So there is a savings of about $2,200 a year. Also, keep in mind that the deduction decreases each year as interest charges decrease with an amortized loan.
If a person could pay off their home in 8-10 years and save $150,000 in interest, it would take someone almost 75 (150,000 / $2,200 savings and decreasing) years of tax savings to equal 150,000 in savings. But if the mortgage is only 30 years, that means that they would cap out at less than 50,000 in tax savings (2,200 X 30 years - the fact that the $2,200 would decrease more and more each year)
So it doesn't really make a lot of sense to me why someone would want to pay 150,000 in interest to save $50,000 on their taxes?
Check out what Suze Orman and Dave Ramsey have to say about mortgage acceleration
Suze Orman's video click here
Dave Ramsey's video click here
Recent News
6/7/11 - 4 Different Ways To Get Help From Professionals
By Nancy Smith
Debt is a very big problem for almost everyone these days. If you are facing similar problems, you can find debt help to solve your problems. There are various… Read More
10/19/10 - Webinar Training Power Points
Below are 4 links where you are able to download the powerpoint presentations that Anagram uses during its Mon-Thurs Webinars.
Monday- Web #1 Software & mistakes to avoid.(download here)
Tuesday- Web #2… Read More
8/5/10 - Client Testimonials
Niels Hendrickson (Anagram Agent)
Bryon Hom (San Jose, CA)
I have been working with Anagram Financial Management and Niels Hendrickson for just over a year now and they have been great… Read More
4/22/10 - BBB- Anagram Financial
Here is a link to our Better Business Bureau page.
click here
Read More
2/11/10 - Private Label Update Status
We started updating PL websites yesterday. We started alphabetically with domain names that start with the letter A. We have updated the following Private Labels accordingly...
Domain names that start with… Read More
2/10/10 - Software Version- 1.7
The long awaited day has finally arrived! Anagram Financial has finished and released Software Version 1.7. This version is currently being updated on all current private label owners for free and will… Read More
1/28/10 - Mortgage Acceleration In The News
Hey everyone!
There is a common fallacy that the money someone pays for interest on their home saves them the same amount of money in taxes that they paid in interest. Basically… Read More
1/22/10 - Anagram Financial Webinar
Hey Everyone!
Thanks to everyone that was on our webinar last night! We had a really good turnout and we look forward to seeing everyone again in another 2 weeks!
We recorded… Read More
12/17/09 - Release of version 1.7
Hey everyone! Anagram has been working on version 1.7 of its mortgage acceleration software for the past 6 months. Final testing is taking place right now and all software owners will receive… Read More
12/9/09 - A special offer this holiday season
With all the hustle and bustle this holiday season Anagram Financial wants to give you a Christmas gift that keeps on giving. This Christmas we are offering 2 for 1 Private Labels… Read More
