It's tax planning season! You are trying to get all the exemptions and deductions that you can claim so that you are paying only the bare minimum tax requirement. At the end of the exercise, during filing the tax returns, you will know your effective tax rate . This rate can vary from 10% to 40%. Let's consider an average 30% Federal (including Social security and Medicare, don't forget these taxes!). In states like California, you are paying additional 10% State income tax . So your effective tax rate becomes 40% . It is definitely painful to shell out this much of your hard earned money. But it doesn't stop there. Add property tax on your house. Assuming $200K income and a $1MN home price, 1% property tax means $10,000 or 5% of the income. Your tax bill has already grown to 45% . If you are renting, your landlord will make sure to pass on the property tax they are paying, on to you. That's not enough either. Now let's assume that you are able to save 5% of...
I, Ms Vaidya , am entering into an agreement on this date (insert birthrate here) with my parents Mr and Mrs Vaidya (hereafter referred as the Parents). I understand that this agreement cannot be nullified. I agree to live a happy and healthy life. I will not hold the Parents responsible for the happiness in my life. I am entitled to get a lifetime loan of love and affection from them and I agree to repay in kind. I understand that the interest on this loan is accrued on a weekly basis and I will strive to pay the dues on time. I am also entitled to receive guidance from the Parents on a frequent basis and I agree to make best use of the same. I also understand that I will receive occasional discipline from them. Any and all arguments and disputes will be resolved in Vaidya Family Court and the decision will be binding on both the parties, the Parents and me. I will consult the Parents for their advice in presenting and selecting career options during my teenage and adult life and...