Helpful year-end tax tips
When the tax man rears his ugly head this year, don't get caught napping. Here are some helpful hints on how to reduce your tax woes before it's too late (generally when people call their accountant).

To ease your tax burden, 
open an IRA

How would you like to lower your taxes and start planning for your retirement at the same time? Chances are that you have heard people talking about how much they love their IRA, in particular the Roth IRA. 
Why should you open an IRA now? For starters, you will reduce your Adjusted Gross Income (AGI) by up to $2,000. And if you are younger and might have to make a withdrawal from your IRA before you officially retire, consider the Roth IRA. With the Roth IRA you can get penalty-free withdrawals in certain situations, but you will be taxed on your withdrawals. However, once you cross the magical age of 59 1/2, if you have had you Roth IRA for more than five years, you pay no income tax on your withdrawals.
To be eligible for a Roth IRA, single filers must have an AGI of $95,000 or less; or married couples, filing jointly must have an AGI of $150,000 or less. For traditional IRA, single filers must Have an AGI of at least $2,000 and married couples, filing jointly must have an AGI of at least $4,000. So come into your credit union branch office to find out more information about a Roth and Traditional IRA.

 
Double check your
retirement plans		 Do you qualify for the
Child Tax Credit
For a traditional or a Roth IRA you have until April 15 to make your contributions. But retirement plans that come directly out of  your paycheck, a 401(k) or 402(b) for example need to be funded this year. This means that you need to make all of your payments by December 31. If you haven't looked  into a 401(k), now is the time to do so. Like an IRA , a 401(k) will lower your adjusted gross income, thus easing your tax burden. Plus if your company matches any of your contributions, your investment has automatically grown.

Donate to charity
Both you and a charity can benefit if you give appreciated assets to the charity instead of selling the assets and donating the after-tax proceeds. The amount of the savings will depend on how much capital gains tax you would have paid on the sale. If you donate money and you itemize, your donations are deductible. Just be sure to get a receipt for any donations worth $250 or more.

 

 Since 1999, a $500 tax credit is available for each dependant child, including stepchildren and eligible foster children, under the age of 17 at the end of the taxable year. However this credit is phased out at modified adjusted gross income of $110,000 for joint filers, $55,000 for married taxpayers filing separately and $75,000 for single filers.

Organize your capital gains and losses
This strategy is a win-win for everyone except the tax man. If you own stock that was an under-performer, look to offset these losses with the sale of assets, with gains you may have think have run their course. By offsetting your gains with your losses, these gains come to you tax free. You can offset other income with losses in excess of gains to the extent of $3,000 per year. Any excesses will be carried forward to the next year.

 

 

Are you carrying the Albertsons Employees'
FCU VISA® card?

Want a convenient payment option? You can your Albertsons Employees' FCU VISA® card at over 14 million different locations, wherever VISA® logo is displayed. Simply use your card for payment , sign the receipt, keep a copy for your records and you're on your way. It's that simple and convenient. But the great advantages don't end there.

    Check out these great benefits:

  • No fees! Unlike most credit card companies, we will not charge you any annual fees on your credit card.
  • Protection of your purchases against loss, theft, and breakage.
  • Extended manufacturer's warranty on purchases.
  • Fast lost-card replacement. Simply call your credit union branch office or 1-800-991-4961.
  • Safety. Cash and checks can be costly if stolen. But you can cancel Albertsons Employees' FCU VISA® credit card quickly and easily.
  • Reservations. Your Albertsons Employees' FCU VISA® credit card allows you to reserve airline tickets, hotel rooms, rental cars and other services directly over the phone. So you don't need to send a check to confirm your your spot, and your reservation  is often guaranteed for late check-in or until the next day
  • Easy repayment. You don't have to skimp on vacation when you carry your Albertsons Employees' FCU VISA® card. Your substantial credit line can meet most any need. If you need your limit increased, simply contact your branch office.
  • Track your purchases. Each month you will receive an itemized report of all your credit card purchases.

To apply for an Albertsons Employees' FCU VISA® card, fill out an application and send it to your credit union branch office for processing. Once you are approved, you will receive your card in the mail and your PIN number will arrive a few days later. It's that simple!

Use our credit card and get  
cash back!

If you have an Albertsons Employees FCU VISA® card,
once a year, on your October statement, you will receive
a 1% rebate for the purchases you made past year. Imagine
that, a credit card that actually gives you money for using it.
Better yet, the more you use it, the more money you get
back! So even if you pay your credit card off every month,
you still get the 1% rebate on all of the purchases you have
made.

FINANCIAL HIGHLIGHTS
          (as of October 2000)

Member.......................46,094
Shares...............$102,485,781
Loans..................$75,979,176
Total Assets.....$125,223,204

The articles and opinions in this publication are for general information only and are not intended to provide specific advice or recommendations for any individual.  We suggest that you consult your attorney, accountant, or financial or tax advisor with regard to your individual situation.  Entire publication ©Albertsons Employees' Federal Credit Union 2000.  All rights reserved.,
TruGrocer Federal Credit Union