Featured Articles:

1.  How to Cut Your 2004 Tax Bill

2.  Shocking!  No. 1 Source of Identity Theft

3.  Tech Tip Weekly: The Most Popular Passwords Are...

 

---

 

1.  How to Cut Your 2004 Tax Bill

 

Are you still dealing with your 2004 tax return?  Do you owe a bigger tax bill than you expected?  Are you missing a tax break because your adjusted gross income is too high?  Would you like a bigger refund?  Don't despair.  You might still have time to make some changes.  For example:

 

-You have until April 15 to make a tax-deductible IRA contribution for 2004.  If you qualify, you could contribute up to $3,000 and have it count as a deduction against last year's taxes.  If you were 50 years old or older last year, your maximum contribution is $3,500.

 

-Even if you've already made your 2004 contribution to a Roth IRA, it may not be too late to make a change.  You may be able to recharacterize your contribution as a traditional IRA contribution and take the deduction.  You'll need to set up a traditional IRA, make a trustee-to-trustee transfer, and report it on your 2004 tax return.  Check with us here at Prangley Marks before you try this though, to avoid any tax traps.

 

-If you're self-employed, there's still time to set up a SEP-IRA for your business.  You have until the due date of your return, including extensions, to set up the plan and make a contribution from 2004 earnings.  SEP-IRAs are easy to establish and flexible to manage.

 

Contact our office if you're interested in any of these ideas.  We can help determine whether you qualify and guide you through the process.

 

---

 

2.  Shocking!  No.1 Source of Identity Theft

 

A recent survey of consumers produced the shocking conclusion that about half of all identity theft is committed by close friends or relatives, who do it by stealing a wallet or pocketbook, and not only lift the currency and credit cards inside, but also the identity that goes with it.

 

The most frequently cited sources of identity theft, in order of occurrence:

 

-Lost or stolen wallet

-Fraud that occurs during an in-store or telephone transaction

-Corrupt employees

-Stolen mail

-Spyware on the computer

-Sifting through garbage

-Computer viruses

-"Phishing" through fraudulent e-mail

 

---

 

3.  Tech Tip Weekly:  The Most Popular Passwords Are...

 

A recent impromptu man-on-the-street survey in London concluded that the most popular passwords are the names of family members, sports teams, and pets.

 

And the most common password of all was...ADMIN

 

This changes from the same survey taken a year ago that concluded that PASSWORD was the most common password!

 

---