Many years ago, when I first started this blog, I wrote a popular post about tax refunds. Since I posted about taxes earlier this week (and since most of you probably didn’t see it because the blog was young) I thought it would be worth pointing out again.

So if you’re expecting a tax refund, it turns out you can calculate exactly how much of a refund you’re going to get. For free.

There are several calculators that will do it all for you online. Just answer a series of questions, and have some recent pay stubs handy. Hopefully you’ll see some money coming your way:

efile 2012 Tax Calculator

Here’s one from H&R Block.

Here’s one from 1040.com.

And finally, here’s the offical IRS withholding calculator. If you don’t get your withholding right, you’re not going to get any refund! So use this tool to make sure you’ve got your W-4 set up properly!

Related posts:

1. Calculate Your Tax Refund Today
2. The Quickest Way To Get A Tax Refund
3. Keep Your Tax Refund For Yourself

It’s that time of year again, if you can believe it.

I just started working on my taxes this weekend, so I thought I’d do a bit of research for a nice worker/job-seeker friendly tax post.

It occurred to me that we’re all pining away for refunds aren’t we?

Did you know that 3/4ths of Americans get tax refunds every year? And the average refund is around $3000? That’s not chump change!

If you think you could do something useful with an extra few grand in your pocket, then you’re probably also wondering what might be the the fastest way to make that happen.

Well, once again, the IRS is pointing out that the quickest way to get your tax refund money is to choose direct deposit when you file. The IRS has been on this direct deposit kick for many years now. It saves them money. It saves trees.

But it also saves you time and gets your refund into your hot little hands much faster. My accountant told me that if I filed my return today (Jan. 30th) and requested a check by mail, I’d be fortunate to see that check by the end of February. But: according to the IRS, if you enter your direct deposit information when you file your 2011 taxes, you can see the money in your bank account in as little as ten days.

In addition, the IRS is quite flexible:

You can deposit your refund into multiple accounts. With the split refund option, taxpayers can divide their refunds among as many as three checking or savings accounts and up to three different U.S. financial institutions. Use IRS Form 8888, Allocation of Refund (Including Savings Bond Purchases), to divide your refund.

So if you’re getting ready to file your return, make sure to sign up for direct deposit.

Bonus tip: why turn around and spend your tax return? Why not invest in yourself? Put the money into your IRA! It’s bonus money, right? Let it work for you.

Related posts:

1. How To Calculate Your Tax Refund
2. Calculate Your Tax Refund Today
3. Keep Your Tax Refund For Yourself

Have you ever wondered why your salary is what it is? At first glance you would probably say it is based on what you signed up for when you joined your company and on the salary increases you received since then. Perhaps this was based on the state of the economy, your company’s profitability or hopefully your performance. But let us dig a little deeper.

Are other potential employers knocking at your door to offer you a better salary? Do you feel well paid for what you know and do? Do you feel you are unlucky and deserve to be paid a lot more, and hope someday you will! Chances are you fall somewhere in between feeling well paid and not. Most people would like to earn more, but accept that they are probably paid close to the salary market for their set of skills, and for the effort you put in. After all, at least you have a job.

It could be worse.

In reality your salary is more a result of the supply and demand for your type of skills in your area, rather than a result of your actions. When demand exceeds supply for your skill type, you can demand a high salary, expect higher salary increases and consider better offers from other employers. On the other hand when supply exceeds demand, such as during a recession, or when an industry or skill set is in decline, it becomes tough to negotiate a better salary, in fact you would consider yourself lucky just to have a job.

Factors that pull salaries down through a decrease in demand / increase in supply for specific skills in a geographic area include:

• New technologies that produce products more cheaply, more efficiently, and with less people.
• Lower demand for products resulting in lower production volumes and, as a result, less jobs (i.e. economic recession).
• Skills that have become redundant due to technology changes.

Factors that push salaries up through an increase in demand / decrease in supply of specific skills in a geographic area include:

• Increased demand for products resulting in higher production volumes and, as a result, more jobs (i.e. economic boom).
• Skills that have become required due to technology changes but are not available in sufficient numbers

There are of course other factors pulling and pushing salary levels, there are just too many to cover. The world is not a simple model of supply and demand.
The cost of living is often used to motivate salary increases. High inflation drives higher salaries which in turn drives higher inflation. Central Banks focus a great deal on this aspect. On the other hand, deflation and recession, may lead to pressure to decrease salaries, as we have seen in some countries in recent years.

Trade unions aim to look after their member’s interests by negotiating salary and benefits on their behalf. While trade unions have the best intentions in negotiating “rates” with large employers, this can be counter productive to it’s members at times by not only preventing employers from pushing salaries down but also by preventing (or perhaps more accurately “discouraging”) employers from pushing salaries up.

So what is the moral of the story? If you want to earn a high salary:

• Work in a place where the economy is strong and growing
• Get skills that will be in demand, now and in the future
• Work in a place where inflation is low and stable
• Work in a profession or industry that is free of trade unions and wage regulation
• Choose an employer who practices performance based pay
• Choose an employer who offers you developmental and promotion opportunities

This is a guest post. About the author:

Steven is Chief Instigator at Xpatulator.com a website that provides cost of living index information and calculates what you need to earn to compensate for cost of living, hardship, and exchange rate differences. The complete cost of living rank for all 300 locations for all 13 baskets is available here

Related posts:

1. On Salary Transparency
2. Ask Brian- What To Do When Asked For Salary History Or Salary Requirements
3. Indeed Offer’s Job Search By Salary

It’s that time of year again. Tax time. So that means it’s also time to do my yearly reminder that certain aspects of your job search are tax deductible.

Let me start out by saying I am not a legal or accounting professional. The information I am going to share is guidance only, and is based on experiences I’ve had with clients. In addition, I am going to draw from publicly available IRS information. Please do not take my word for anything that follows: consult your own legal or accounting professional.

First of all, the form you want to refer to to learn all about job search expenses is IRS Publication 529.

Here are the things that are generally tax deductible for your job search:

• Phone calls, postage and printing expenses.
• All job search related travel. If the purpose of your trip is primarily related to your job search, you can deduct expenses related to it. If you are traveling for an interview, or evening traveling to apply or research open positions, this means you.
• Employment fees, association fees, agency fees and membership fees. If you pay to search, this is a viable expense.
• Resume related expenses, including the hiring of professional resume services. This can also extend to photographs you might take of yourself or even any expenses related to the promotion or advertising of your resume.

It is my understanding that you can deduct these expenses, even if your job search has not yet been successful.

Unfortunately, if this is your first time looking for a job, you cannot deduct any expenses. Sorry recent grads.

Also, please make note of these possible exceptions I found via H&R Block:

To qualify, your job search must be for a job in your current, or most recent, trade or business and should be at a similar level of responsibility with duties similar to those of your most recent job.

• If you haven’t held a job in that trade or business for an extended length of time, your job search will be considered for a new trade or business, and your deductions may not be allowed.
• If you held a college internship or valid job while in college and your search is for a job in the same trade or business, you will be able to deduct job search expenses.
• If you’re just out of school and had no paying jobs while in school that were related to your trade or business, your deductions won’t be allowed.

A bit more info:

The IRS classifies job search expenses as “miscellaneous itemized deductions.” Job search expenses are only deductible from your income if you itemize deductions and only to the extent that the total exceeds two percent of your adjusted gross income. Again, refer to Publication 529 on-line at www.irs.gov.

Finally, if you have to move for a new job, your moving expenses might also be deductible. If your new job is more than 50 miles further away from your former home than your previous job, you can deduct expenses for moving household goods and personal effects, and for travel to the new location. Publication 521 will give you all the information you need relating to moving expenses.

Related posts:

1. Job Search Is Tax Deductable
2. Tax Tip- Don’t Forget The Home Office Deduction
3. This Year’s Tax Code Changes

Generally, a severance package is made up of pay and benefits given by an employer to a dismissed employee. But contrary to some belief, a severance package is not given as an entitlement prescribed by law, rather it is an employer’s prerogative – which means this benefit is given as a token under the employer’s discretion.

While some companies may offer packages to departing employees, other companies offer nothing at all. Hence, severance packages may also vary in content. In any case, a severance package usually contains benefits meant to help an employee. In some instances, some employees even consult with lawyers to be able to negotiate for a better severance package.

In addition to the employee’s remaining regular pay, a severance package may also include some of the following benefits:

• Medical, dental or life insurance
• Retirement benefits
• Payment for unused vacation time or sick leave
• A payment in lieu of a required notice period
• Stock options
• Assistance in searching for new work, such as access to employment services or help in producing a résumé
• An additional payment based on months of service

Typically, severance packages are offered to employees who are laid off or those who retire. In some cases, they may also be offered to people who resign, regardless of the circumstances, or are dismissed or fired.

Employees may find the rules and policies governing severance packages in a company’s employee handbook. These policies are often based on local employment statutes and federal law.

Most severance contracts stipulate that the employee will not sue the employer for wrongful termination or attempt to collect on unemployment insurance. Otherwise, if an employee has plans to take legal action against his employer regarding his dismissal, he must return the severance pay or refuse to accept it.

An employee who gets a severance package offer has two options: to take a lump sum severance payment, or opt for salary continuation payments. However, before taking any of these options, he must take into consideration the following facts:

• If an employee needs immediate funds, he can take the lump sum option.
• A salary continuation payment option is better if an employee needs a health insurance.
• If an employee does not qualify yet for pension or retirement benefits, salary continuation may be a good choice.
• An employee must also consider the tax consequences of investing his severance pay. Depending on his investment, the money may be taxed as income or its earnings may be tax-deferred. On the other hand, a salary continuation option has lower income tax rate.
• Severance payments may also disqualify you from unemployment benefits. Typically, if you are receiving severance payments in the form of salary continuation and those payments equal or exceed your previous weekly wages, it qualifies as income.

To an employer, offering a severance pay as part of the package of a terminated employee may also be a difficult decision. At times, he may have to decide about the scope and the amount of benefits he must give to a dismissed employee. Some companies however have adopted a standard in calculating an employee’s severance pay.

How much really should an employee receive as severance pay?

Severance pay is normally contingent on several things, which include but are not limited to the following factors:

• Existence of an employment contract – Severance terms are written into many employment contracts and benefits may depend on what is written in the contract.
• The cause of one’s termination
• Length of service – Severance typically ranges from no pay to one or two weeks of pay for each year of service, with pay capped at a certain number of months.
• Size of the organization – Larger companies generally offers more formalized severance packages.
• One’s position in the organization – Executive-level or senior employees normally get anywhere from six months to one year of pay while management-level employees get anywhere from three to six months. Nonexempt staff might get anywhere from no severance to 12 weeks’ pay.
• Private, public, or nonprofit sector – Severance packages vary greatly, depending on the type of organization.

This is a guest post. About the author:

By Manuel Salvacion. Visit our website to learn more about employment severance package. To pursue a claim, consult with our skilled employment attorneys.

Related posts:

1. Relocation Packages In A Job Negotiation
2. Where Are The Jobs In The Stimulus Package
3. Should You Accept a Low-Paying Job Offer or Stick With Unemployment Benefits?

Over the past decade, it has become much more common for employers to run a credit check on potential candidates. This has become even more prevalent as the number of available of jobs is limited and the number of qualified applicants increases. However, many people still do not understand why their credit score matters in regards to employment and how their credit score may affect their job search. Here is a quick look at what your credit score is used for and how it could affect your job search.

In 1998, the SHRM (Society for Human Resource Management) took a poll and found that only 25% of employers did a credit check on prospective candidates. By 2006, more than 43% of all employers were doing this. Since the economy is in a period of slow growth, employers can be a little pickier when choosing new hires. With this being the case, more than half of all employers now use credit reports.

Why Will Companies Check Your Credit Score?

This is a common question that many people are asking. Unfortunately, they are asking the wrong question. When a potential employer gets a verified credit report, it will not include your credit rating, credit score, or any indication of how good or bad your credit is. What they will receive is a credit history based upon information that can be found using public records. This can include issues like prior bankruptcies, payment history, and tax liens.

Why Do Companies Check Your Credit History?

There are a variety of different reasons a company may want to check your credit score before offering you a position. In many cases, this process is used simply to verify who you are. Identifying information like social security cards and drivers licenses can be forged fairly easily, whereas credit reports are fairly reliable. Another reason that employers may want to see your credit history is because it can be an indication of how you handle credit responsibilities, which can provide insight into your character and how you manage your own lifestyle.

How Can This Affect Your Job Search?

If you have a poor credit history, there is a chance that you will not be able to easily find a position in a financial-related field such as working for banks/lending institutions, cash handling positions, or any position that provides you with sensitive information. Keep in mind that in order for an employer to gain access to your credit history, you will have to sign a consent form. If you know that they will doing a credit check, being proactive and addressing the issue right away can go a long way in limiting the damage that your credit history could cause. This is especially true if you can discuss what caused your financial issues as well as describe steps that you have taken to fix them.

In short, your credit score can in no way affect your job search, however your credit history can. Stay alert for any instances in which your potential employer wants to you sign a consent agreement so that they can gather credit related information about you. If this happens, address the potential issues that they may uncover. This can go a long way to minimizing any negative impact that your credit history can have on your potential job opportunities.

This is a guest post. About the author:

Jason Kay is a professional resume writer and regular contributor to JobGoRound.com, which provides job search tips, interview advice, and resume service reviews.

Related posts:

1. Ask Brian – Can Bad Credit Keep You From Getting Hired?
2. Ask Brian – The Ex-Felon Job Search Catch 22
3. Job Hunting Tips: Ideas For Undercover, Stealth Job Searching!

So you’ve recently been let go from your company and are receiving unemployment benefits when an amazing thing happens – you get a job offer. But it’s not the offer you were hoping for. While it will definitely pay the bills, it will result in you taking less than 50-percent of what you were making.

What do you do? Is it best to take the low-paying job or continue taking the unemployment benefits? This is definitely not a decision that comes with a textbook answer. However, you may benefit from some basic tips to help guide your decision.

Get a Good Grasp of Your Field

While holding out is not a bad idea for a while, it’s not the best idea to do so blindly. Meaning, if you’re applying for jobs and simply collecting unemployment benefits without knowing what’s going on with your field, you may be setting yourself up for a financial and career disaster.

Think about it; there is a reason that your job let its employees go. Business probably was not good. This means, depending on your field, suffering business may be widespread. Therefore, it is important that you spend time studying what’s going on in your field so that you don’t waste unnecessary time pursuing dead-end opportunities. Check to see if the companies you’re applying with are planning to layoff workers anytime soon. You could even take this paid time off to educate yourself in new fields. It may have been a blessing in disguise that propels you toward a passion you’ve always wanted to nurture.

You Were Given Unemployment Benefits for a Reason

One thing that you should keep in mind when deciding whether to take the lower-paying position is that you were given unemployment benefits for a reason. Not only are they meant to help keep you afloat as you look for new employment, but they were established to make sure that those who are recently unemployed don’t feel that they have to accept anything that’s offered to them.

While you are required to actively seek employment while receiving benefits, there is no rule that says you have to take anything you’re offered. So if you feel that you can go a while longer on the benefits you’re receiving then continuing your search for a position that is roughly comparable to the job you previously held in both salary and benefits isn’t necessarily a bad thing.

Choose Wisely – And According to Your Family’s Needs

As mentioned previously, choosing the right path in this type of situation is not easy. Depending on your family’s financial needs in the short and long term, your decision can vary greatly. So take time to sit down with your family and weigh your options collectively, to ensure everyone is considered in this challenging decision.

The decision to accept a lower-paying position can be devastating when you consider the years of hard work you may have put into another job. It can be a major blow to the ego and wallet. So make sure that your decision to accept or deny is an informed one to ensure you and your family can benefit for years to come.

About the author:

Heather Eagar is a former professional resume writer and is passionate about providing working professionals with current, reliable and effective job search tools and information. If you’re in need of a resume service, compare the top ones in the industry at http://www.resumelines.com

Related posts:

1. Unemployment Benefits Extended
2. How To “Hide” Unemployment On Your Resume
3. Your Employer Can Cut Your Benefits After Age 65

Each month thousands of employees move to a new community to start a new job. Moves often are more expensive than anticipated. Not only is there the actual expense of moving but, for a homeowner, there are expenses connected with selling the current home and buying another home.

Some corporations may offer to cover some or all of the relocation costs for employees who are moving at the company’s request. Larger companies usually offer a more elaborate relocation package than smaller firms. These benefits become particularly important when there is a large increase in housing costs.

When interviewing for a job, or considering a transfer, ask whether or not the company has a relocation program and find out as much about it as possible.

Below are listed some of the benefits which may be offered to a relocating employee. Each situation may call for a different bundle of benefits; analyze your own situation carefully. It is always best to negotiate these matters as part of a transfer package, before accepting the new job to avoid surprises to either party after the move has taken place.

• Cost of a familiarization and house hunting trip for the employee, spouse, and family.
• Extra time off (with pay) for traveling and house hunting in the new location.
• Moving expenses, including packing and insurance.
• Travel expenses (lodging, meals, gas, etc.) while traveling to the new location.
• Assistance in the sale of your current home:
  company assumes responsibility for monthly payments, taxes and insurance until the home is sold; price guarantee – if sold by the employee, the company will pay the difference between the net selling price and a specified price; alternative price guarantee - if employee cannot sell the house within a specified period of time, the company will buy it at a specified price; company will pay commissions and other costs of sale.
• Assistance in the purchase of a new home:
  company to pay rent of temporary quarters until a permanent home is located;
  buy down the interest rate; company may offer low or no interest loans. A salary level commensurate with any increase in cost of living between the new location and your old location.

How hard should you push for relocation expenses?

Try to analyze your bargaining position relative to the prospective employer. Does the employer have many options? Are there many qualified local applicants for the same job? Or do you have unique skills unavailable in the local market?

Ask yourself, “If I owned the company would I be willing to pay for my relocation?”

Join the forum discussion on this post

Related posts:

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In the past, I’ve written about what you should do first if you get fired or laid off.

Over the weekend, over at the WiseBread blog, I saw a new strategy that had never occurred to me before.

Essentially, it boils down to remembering to ask the HR folks if they’ll give you the unvested portion of your 401 (k).

A lot of companies have 401 (k) matching plans. It’s basically free money: they contribute x dollars to match every y dollars you contribute. The catch is, you have to stay with the company long enough for that to “vest.” If you leave too soon, they don’t have to make good on that money.

But if they fire you before the vesting can happen… well, that’s not your fault!

But a lot of employers are willing to give you the unvested portion of your 401(k) account if/when you’re being let go.

Especially if it’s not performance related and they just need to downsize. It’s not that big of a deal to them and in an effort to make these kinds of moves as painless as possible, there is a good shot you’ll get this money.

The worst thing that can happen? They say no.

Hmmm. I don’t know. If they’re in the saving money downsize mode, I’m not so sure they’ll be so sanguine about handing over the money.
But then again, this is one of those I suppose it can’t hurt to ask situations. I mean, they are going to give you (hopefully) some sort of severance package. So why shouldn’t the “free money” be a part of it?

Most of us, when we’re in the frenzied moment of being handed a pink slip, don’t tend to think clearly. So, make a mental note now. If you’re ever facing the proverbial firing squad, don’t forget to ask if you can take your “free money” with you.

It’s better than leaving money on the table.

And as always, if you find yourself suddenly laid off, it might be time to hire professional help.

Related posts:

1. When NOT to Put Money in Your 401k
2. The First Thing To Do When You Get Laid Off- Claim Your Intellectual Property
3. Your Job Search Budget

Not really a surprise, right?

A new CareerBuilder.com survey finds that nearly 40 percent of the 3,000 HR reps and managers polled plan to make administrative cuts at some point in 2009.

Furthermore, 65 percent of those who plan on cutting costs are also scaling back on company events like social gatherings and picnics. Sixty-one percent will curtail business travel.

Benefits, Perks To Be Trimmed in 2009. Via Cheezhead.

Related posts:

1. Where The Jobs Aren’t… April 2009 Edition
2. Should You Accept a Low-Paying Job Offer or Stick With Unemployment Benefits?
3. Unemployment Benefits Extended