More tax-reduction strategies for next April 15th

April 15th seems like a long ways off – but if you start thinking about the tax man now, the pain of filing later might be a whole lot less.

First, make sure you've maximized your 401(k), IRA or other tax-deductible retirement plan, or up your contribution now thru December.

If you can't qualify for a Roth IRA, open up a non-deductible IRA. In 2010, you'll be able to convert that cash into a Roth IRA and never pay tax on that money again.

Add to your deductions, by contributing more to charity and upping your contribution your child's 529 college savings plan.

Secure your investment losses and gains now, so you can plan for them. And, plan to make your January mortgage payment in December if you're going to itemize this year but maybe not next year.

How to Compare Incentives From Builders

There's nothing like a market slowdown to get the competitive juices flowing.

Some new home builders have started advertising the fact that they're desperate to move property. Several ads I saw in the weekend papers state "incentives are available."

Folks, those are the buzzwords for freebies and deals. What's being offered? Everything from free upgraded tile and carpet to discounts on room additions and garage bays, to lower prices and extended warranties.

Everything is on the table.

But a new move is how much more realistic builder's pricing has become: I toured a multi-million dollar mansion recently where the builder decided to price the home $300,000 less – a reduction of 10 percent right off the bat.

No matter what the builder is offering as an incentive, you can put a dollar figure on it. Use those dollar figures to help compare incentives on an apples-to-apples basis.

Get a CLUE about the condition of the home you want to buy

How do you know what is the true condition of the home you want to buy? Well, you could rely on the seller's disclosure statement, or the industry knowledge of your real estate agent.

Or, you can order a CLUE report. CLUE stands for Comprehensive Loss Underwriting Exchange, and it's a compilation of the past five years of losses filed against an insurance policy on a piece of real estate.

What can you find out? Well, you might find out that the home has a history of mold remediation. Or, that the basement once flooded. Or that part of the house burnt down and was rebuilt.

With insurance companies getting pretty darned picky about who they'll insure, buying a house with a history of mold problems can mean you'll never be able to buy a solid homeowner's insurance policy. Better to know now, than later.

You can order a CLUE report on a house for just under twenty dollars at ChoiceTrust.com

Health Care Costs Only Going in One Direction

Over the past five years, the average U.S. worker has seen his health care costs double. Unfortunately, insurance costs are project to rise 8 percent next year, both in payroll contributions and out-of-pocket spending.

According to a new study by Hewitt Associates, the combined premium and out-of-pocket costs for health-care coverage will climb to more than $3,300 per year. Employers will pay an annual tab of $8,304 per person.

That's a lot of cash out of a company's bottom line, which is why more companies are eliminating health benefits, or changing to high-deductible plans that shift more of the health care burden to their employees.

Unfortunately, that's a tough nut to crack. In many cases, employees can't handle the rising cost of health care. With wages stagnant and housing costs rising, health insurance sometimes drops off the radar screen.

What can you do? Start saving for "sick" days in addition to "rainy" days.

Think About US Taxes When Living Abroad

My friend Tom Kelly has started writing a series of books about buying second homes in foreign countries. His first book, "CASHING IN ON A SECOND HOME IN MEXICO," gives readers tips on navigating the maze of buying real estate in another country – especially if you plan to retire there.

If you find it tough to file your federal tax forms now, just try living or retiring abroad. Newly signed tax laws include something called "stacking provisions," which allow your excluded foreign income to be counted when calculating your overall rate.

The bottom line – Congratulations! You're in a higher or even much higher tax bracket.

There are some places to go for help. Try the Association of Americans Resident Overseas, at AARO.org, or the websites TaxMeLess.com and EscapeArtist.com.

And check out the global forum at the Financial Planning Association's website, fpanet.org. I'll put links to these sites at my website, ThinkGlink.com.