How do you manage the property taxes? Like do you save/invest it every month somewhere and then pay it on the due date? Any recommendations?

like
Posting as :
works at
You are currently posting as works at

I save each month in a HYSA so that I have the cash handy for when I need to pay taxes. I do this currently for all real estate taxes. I might start doing something similar for income tax returns as well as we owed a lot this year and it might make sense to keep something aside if it happens again next year

like

We use Barclays just because we use it for our emergency fund and I like to see all my accounts together. I have heard Marcus provides better rates.

like

My mortgage company impounds for it.

like

I don't escrow only because my lender wanted a full year on advance on mortgage close, and i wasn't interested in giving them an interest free loan.

So i had been putting enough money aside every month in an HM Bradley account to at least earn a little interest on it while it sat there. Now that they've dropped their rates in putting it in my chase savings account (which pays low enough interest to basically be nothing) until i need it.

I have admittedly considered Blockfi for this since the rates are so good (7-8%) but the risk/reward analysis doesn't support it. A few hundred dollars a year extra isn't worth the risk of not being able to pay my taxes if Blockfi explodes and loses my money. It's a tail risk but still a real one.

like

Another reason I didn’t want to go for an impound account for property taxes.

like

I just save a little each month to have enough to pay every 6 months. Escrow is probably easiest though

like

I chose not to impound the property taxes thinking that I can have that money invested in a safe instrument like CD or ETFs instead of giving it to the bank in advance. Thoughts?

like

Interest on Impound Accounts
California also requires that interest be paid on an impound account to the borrower. Under California Civil Code section 2954.8, any lender who finances the purchase of a one- to four-family residence in the state and maintains an impound account must pay interest on the amount of at least 2 percent simple interest a year to the borrower. The interest must be credited to the borrower’s account annually. It cannot charge any fee in connection with the maintenance or disbursement of money received. https://homeguides.sfgate.com/california-law-impound-fees-mortgages-99751.html

like

Escrow / impound. That way there’s no remembering when to pay or when to move funds around.

I used to try and invest the money, but you won’t get much return with less than 11 months of time unless you’re taking big risk.

like

Estimate and save 1/12th each month in a HYSA, pay once when due.

I did this when we still had a mortgage, and I think it’s good to build the habit to build because no one will escrow it for you after the mortgage is paid off.

As for remembering, I think an adult homeowner should be able to pay one or two bills per year. I put a recurring annual reminder in my calendar six weeks before the due date, and use my bank’s online bill pay, so it’s really not hard.

like

Separate bank account. Our clearing account gets swept for taxes, bills, and investing and is supposed to hit a target number every month. The extra cash for taxes acts as an emergency backstop for liquidity in addition to our E-Fund as worst case as you can pay property taxes with a CC in a pinch. Writing a +10k check every December does suck though. Gets rehydrated amortized over 10 months

Pay twice per year

Related Posts

With interest rates rising, I Bonds are back in the discussion. Thoughts?

Does anyone put their cash in stablecoins for high apy returns? It seems risky, but the allure of the high rates of 8-10% is better than my high yield savings right now

like

Hello, I am going crazy. I am supposed to close on a house on Tuesday. The buyer did not perform an inspection and the lender did not order an appraisal. The lawyer says that everything is good on her hand but I am not sure if she is the deciding factor here. Can a home close without a physical appraisal ? I don’t have a closing time yet, just the date. My realtor reached to the lender and have no heard back.

Have had the amex delta reserve 11 mos and will have to pay the annual fee next month. Want to cancel it to get amex platinum. Any risk in cancelling within a year? Will i still get the sign up bonus?

like

I want to spend $10k on a cruise to Antarctica. My wife doesn’t want to go and doesn’t think I should spend the money either. I make 200k and she makes 65k. I worked hard to get a 37k hot skill bonus from all the certs I studied for. We are recently married. I’m discouraged because I feel like I can’t save and spend my money the way I did before. I know marriage is supposed to be united financially, but since we are recently married it’s tough to give up my freedom financially. Advice?

I am working from EU since last year (internal transfer from India), also doing freelancing for an another startup since last 2 years and the payment is going to Indian account.
My employer assigned a tax consulting company in India to support me in filing tax, somehow the tax consulting firm found that bank account via AIS document (not sure how they get it in that doc), as they found some interest credited for that saving account. Will I be in trouble? will I have to pay penalty :(?

like

Are there options trading coaches or mentors? I’ve done well in stocks trading, have basic knowledge of derivatives from the BComm in Finance and various books/online resources.
But I feel like I’m really lost in the actual practical aspect of options trading and would love to learn directly from someone who’s experienced and successful in it. Preferably someone who’s smart about risk-minimizing strategies.

like

Would you co-sign a lease for a friend to help him qualify the income requirement?

like

Can someone suggest me integration steps for apple pay ? I am facing issue in using sandbox test card even after change device region to US and also add my account on apple developer sandbox.

I receive RSU every year and a portion vests every year. What is the best way to manage the tax implications on these? I tried moving it to 401k to avoid taxes but was told I could not do that. What do most people do with these?

like

Need advise: Looking to calculate our fire number and not sure whether to consider the mortgage payment into it or not.
HHI: 410K, monthly expenses: 7.5K (3K mortgage, 1.5K daycare, 3K everything else), no car EMI. We are mid-30s and 2 kids, 4 &1. expecting daycare expenses to go down in 2 yrs. And mortgage should be done in next 7. I intend to RE in next 10 yrs.

like

How much household income should be to buy $1M house? Also what is the approximate down payment? I know 20% is the ideal but how much do people typically pay.?

likeupliftinghelpful

I received a pretty fair rent renewal offer (about $100 more a month) is it worth it to negotiate? Anyone heard of a leasing company not allowing you to renew if you negotiate?

Already have a crazy week lined up, prepared to work 65+ hours. The semi-retired partner decides (without asking) that I’ll have time to work on his daughter’s (not simple) taxes in 2 days. Oh. Ok 🙄

How to choose which financial advisor to work with.
I have no financial experience and an advisor reached out from equitable.

What's a good percentage (they're offering 2% as a fee)

like

Why would certain banks raise dividends if there is a supposed recession coming? Does that seem a bit bullish and that things are priced in?

likefunny

Hi Team
I've declared the tax under my profile payroll and what is the use of FCP?

Newbie in investing. Have 50k saved and would like to invest in index. What is the best time (now vs after new year) to do that?

like

How can I buy a home with no monies? 🥲

like

More Posts

What companies work a 4x10 schedule and have full time remote positions?

like

Anyone know of any tech jobs out there that seem complex? Ones that someone can do with zero schooling but lots of experience behind them?

like

Anyone know if proxy materials are mailed out on a certain day, can the proxy can be filed with the SEC after 5:30 pm that same day and be considered ok? Rule requires proxy to be filed the same day materials are mailed or given to shareholders.

like

Anyone ever tried an at home vet service? See great reviews on Yelp and am thinking about it. It’s costly to get a car to pick us up. He’s a big cat and very scared of things so a train isn’t possible.

like

Hi Fishes, Can any one
please tell me what would be the CTC range for
"Development Engineer 4" - Comcast
India(Chennai). Total exp 8yrs relevant to the
role 3.8yrs. Tech stack- Python, SQL,
GCP(BigQuery), Docker, REST API.

like

Hi Guys,

Can someone please tell me how much time will cognizant take to release an offer letter after completing CDF1 and CDF2 form?

Anyone else concerned that our clients’ stocks are two dozen times the value of our own and we’re not budging?

like

Best agency in Red Bank?

like

I've never understood this, why do there seem to be more female librarians than male?

like

Hi Friends,

I have an experience of 5 years in US Taxation, may I know the expected package of an Assistant Manager or Tax Supervisor in the industry. My current package being 10.5 Lakhs. Deloitte USI , PwC , RSM , EY , KPMG

like

Hello fishes,

I have 6 and half YOE in front end development. (angular and hybrid applications). I joined my current organization ( product based) in Feb for 24LPA. The work here is too stressful and there is absolutely zero WLB. So I decided to start looking out again. However I am not getting good interview calls. Are most companies not hiring now ? Or could it because my CTC is too high ?

like

I am a clinical research coordinator working in Austin, Texas. I have my Masters in Cell & Molecular Biology and have a year of laboratory research experience.

I’ve been in my position for 5 months now. I make $27 hourly which amounts to about $51,000 yearly. Am I being under paid? Are all coordinator positions hourly? As a laboratory researcher I was salary :(

How do I go about asking for a raise or should I explore other companies or medical schools that have clinical research?

like

I have an MD that re-records his voice everyday..ie " It's Friday October xx, and you have reached xx". That's just crazy.

like

How much do Senior Managers 1 in Forensics make? Areas like GA, FL, NC, TX?

like

There should be an equivalent to Sima Auntie for other POC, specifically lawyers b/c whew these apps ain’t it

like

Has anybody quit a job on a L1A visa to get a new one on a 0-1? Can you tell me about your experience?

like
like

Who is GT’s 401k with?

like

Does anyone have an idea on what salary should be expected when applying to a major biotech company (GSK, Novartis, J&J, AbbVie etc...) as an entry level (3 years experience) Pharmacology & Toxicology master degree with an emphasis in Drug Discovery and Development with technical expertise in electrophysiology/neuroscience domain (several published papers on sodium channels) ?

like

Additional Posts in Personal Investment Chatter

Undergrad senior trying to set myself up properly. I have a Roth IRA in Vanguard and am planning to open up a taxable investment account. Should I open it with Vanguard or a robo-advisor?

Buying a Rolex oyster. Good investment?

funnyhelpful

Any pointers towards a good article on the pros and cons for investment properties and what are the top considerations? Trying to learn the right options with increasing portfolio and ensure money is invested appropriately, instead of just spending it away!!

like

Any Value Bulls that have made out on the recent rotation? Curious if you are out there and how much upside you see on the horizon for value

like

Does anyone have recommendations on etfs to buy that aren’t super technology concentrated? Trying to diversify my portfolio a little. Open to real estate and bonds as well!

like

VTI or VOO in a Roth IRA?

like

Does anyone put their cash in stablecoins for high apy returns? It seems risky, but the allure of the high rates of 8-10% is better than my high yield savings right now

like

I keep having to justify to myself whenever I buy a "want" that I can clearly afford. The frugality mindset is a problem....

like

Thoughts on XOM long term? Currently at 44

like

How do I jump my credit score from 720 to 750? I currently have no debt

like

So I’m only contributing to 401k enough to get employer match, and I’m saving an additional ~20% and putting 90% of that into my vanguard mutual funds. Reasoning is that I don’t want to lock away all that money maxing out 401k. Have 3 months expenses liquid in a savings account. Is this really dumb? Essentially trading tax for the option of actually using my money.

like

I know most people on here are obsessed with Tesla, but does anyone have any thoughts on the Lucid Air Dream Edition? It’s a nice looking car, and I love the interior.

like

If I sell all my stocks now (at a loss) but later buyback at lower price, I am sill better off right? Just making sure I’m not missing anything..

like