Homeowners/Renters Insurance

Which tax credit would yield the greatest financial benefit to a married BYU student earning $19,400 per year with three children?

Regardless of your answer in the previous question, assume the Monsoons have an AGI of $60,000. In 2018, the Monsoons also paid $10,000 in tithing, donated $100 worth of household goods to Deseret Industries and had medical expenses of $5,000. They also paid state income taxes of $4,000, local income taxes of $2,000, property taxes of $5,000, and mortgage interest of $4,000. Calculate the Monsoons’ 2018 taxable income.

True or false. It is almost always a good idea to mix insurance with investing products (e.g., whole life insurance).

True or false. To calculate taxable income, you subtract the sum of the standard deduction plus the itemized deductions from the adjusted gross income (AGI).

Against what losses should you most likely insure yourself (transfer risk to others)?

True or false. Long-term care (LTC) insurance covers the cost of nursing home facilities and long-term home health care to a certain daily limit (e.g., $100 per day).

  Rates 2018 Rate Single Filers Married Joint Filers Standard Deduction $12,000 $24,000 10% $0 to $9,525 $0 to $19,050 12% $9,526 to $38,700 $19,051 to $77,400 22% $38,701 to $82,500 $77,401 to $165,000 24% $82,501 to $157,500 $165,001 to $315,000  

The Monsoons are financially savvy and want to take advantage of the principle of bunching. Assume for this problem, that the Monsoons expect to pay $14,000 in tithing and $8,000 in state and local taxes for the next few years (these are their only itemized deductions). How much would bunching save them over the course of two years if their marginal tax rate is 22%? (The standard deduction for a married filing jointly taxpayer is $24,000.)

Which type of life insurance typically has a cash value?