Pay property tax with a credit card?
Dec 9, 2017, 1:38 pm
#76
Join Date: Dec 2004
Location: SFO
Programs: BART Platinum, AA Plat Pro
Posts: 1,158
It is true that increasing your 2017 property tax deduction could put you in AMT for 2017, HOWEVER: you don't have to claim every deduction to which you are entitled. Consider example of someone with $15k of property tax, for both 2017 and 2018. Since we know 2018 deduction will likely be limited to $10k, our guy prepays $5k in 2017. IF increasing his 2017 deduction from $15k to $20k puts him in the AMT for 2017, he could simply omit the "extra" $5k deduction from the 2017 return. He's then no worse off (or better off) than if he had not prepaid the tax (ignore TVM).
Dec 9, 2017, 1:59 pm
#77
Join Date: Oct 2013
Posts: 1,322
You implied earlier that paying too much would put you -- irrevocably -- in the AMT for 2017 and make you worse off than had you done nothing. I'm just saying that there's really no downside of the type you describe, while also acknowledging that there may ultimately be no upside either.
Dec 10, 2017, 9:39 am
#78
Join Date: Dec 2004
Location: SFO
Programs: BART Platinum, AA Plat Pro
Posts: 1,158
You implied earlier that paying too much would put you -- irrevocably -- in the AMT for 2017 and make you worse off than had you done nothing. I'm just saying that there's really no downside of the type you describe, while also acknowledging that there may ultimately be no upside either.
Dec 11, 2017, 10:24 am
#79
Join Date: Apr 2005
Location: Chicago
Programs: AA ExecPlat, UA Silver, Marriott Titanium, Hyatt Globalist
Posts: 1,446
My property tax is paid from my escrow account with my mortgage company. I make monthly mortgage/escrow payments with Chase Ink Preferred using Plastiq (earning 3X UR points which more than offset the 2.5% credit card fee). Then I transfer the UR points from my ink to my Chase Sapphire Reserve to redeem at Chase's travel portal at $1.50/100 UR points rate for maximum gain (flights about this way count toward EQM and EQD).
So essentially I'm making 2% paying property tax (and insurance and mortgage). I'm even thinking about making a big mortgage payment right before I sell my condo.
So essentially I'm making 2% paying property tax (and insurance and mortgage). I'm even thinking about making a big mortgage payment right before I sell my condo.
Last edited by ChrisFlyer66; Dec 11, 2017 at 11:39 am Reason: remove referral links
Dec 11, 2017, 7:14 pm
#80
Join Date: Oct 2003
Location: New York
Programs: DL, AA, BA, SPG
Posts: 271
My property tax is paid from my escrow account with my mortgage company. I make monthly mortgage/escrow payments with Chase Ink Preferred using Plastiq (earning 3X UR points which more than offset the 2.5% credit card fee). Then I transfer the UR points from my ink to my Chase Sapphire Reserve to redeem at Chase's travel portal at $1.50/100 UR points rate for maximum gain (flights about this way count toward EQM and EQD).
So essentially I'm making 2% paying property tax (and insurance and mortgage). I'm even thinking about making a big mortgage payment right before I sell my condo.
So essentially I'm making 2% paying property tax (and insurance and mortgage). I'm even thinking about making a big mortgage payment right before I sell my condo.
Dec 14, 2017, 5:36 am
#82
Join Date: Jan 2014
Programs: Amtrak Guest Rewards (SE), Virgin America Elevate, Hyatt Gold Passport (Platinum), VIA Preference
Posts: 3,134
This of course depends on what you'd be doing with the money otherwise. If it's sitting in a money market account earning <0.5% this is a reasonable bet. If it's sitting in the stock market getting 2% in dividends, not so much.
Jan 10, 2018, 6:16 pm
#83
Join Date: Feb 2012
Posts: 159
Further update - SUCCESS! First installment paid. Acquired 9x500 VGC using the Vons/Safeway/Albertsons promo. Brought in my stack of VGCs and wound up with the same guy I talked to yesterday. Easy peasy. No drama whatsoever. From the time I left my car at the parking meter to being back at my car was 15 minutes! He once again reiterated that what I was doing was completely normal and people have been doing it for years.
Again, this is Orange County, CA
Again, this is Orange County, CA
Ah, remember the good old days of Vanilla Reloads at Office Depot for 5x on Ink and then quickly load them to the Bluebird online, and then just write a bluebird check to county office?
Jan 10, 2018, 8:39 pm
#84
Join Date: Feb 2005
Location: So Cal
Programs: UA Gold/0.744MM, WN AL, Hyatt Diamond, MR Scum, Hertz PC, National Exec, Avis PC
Posts: 5,561
I'm also in OC and loving this idea. I think now with the Freedom 5x Q1 bonus it works even better if we can in fact find VGC at a place that accepts mobile payments (ApplyPay, ChasePay, etc.) Any recommendations? I've been using ApplyPay at Sprouts and Trader Joes, but they don't do VGCs. I don't see Vons or Ralphs listed on either Apple or Chase Pay. I'd love to get 5x for the property taxes!
Ah, remember the good old days of Vanilla Reloads at Office Depot for 5x on Ink and then quickly load them to the Bluebird online, and then just write a bluebird check to county office?
Ah, remember the good old days of Vanilla Reloads at Office Depot for 5x on Ink and then quickly load them to the Bluebird online, and then just write a bluebird check to county office?
Jan 11, 2018, 11:11 pm
#85
Join Date: Feb 2013
Posts: 170
My property tax bill comes along with an option of payment by discover card. It is printed payment slip with Discover 4 digits printed so that no other card can be used
For payment above $3000, Discover charges flat $38 fee for property tax payment
I use Discover miles 1.5% cash back . In one transaction in June of every year, it helps to get cash back of $142 by paying full $12,000 taxes in one installment
For payment above $3000, Discover charges flat $38 fee for property tax payment
I use Discover miles 1.5% cash back . In one transaction in June of every year, it helps to get cash back of $142 by paying full $12,000 taxes in one installment
Jun 7, 2018, 9:35 am
#89
Join Date: Jul 2017
Programs: UR, Marriott, AA, WN, Chick Fil A Red
Posts: 182
Same here. It was hard to cancel the 16 fee free payments of $500 I had set up. If plastiq would mail the checks to me, that would work too but they won’t. I did due diligence though, even emailing the county assessor to see if payments in multiple envelopes could be set up as a one time courtesy. Nope!
Jun 7, 2018, 11:11 pm
#90
Suspended
Join Date: Mar 2013
Posts: 465
Same here. It was hard to cancel the 16 fee free payments of $500 I had set up. If plastiq would mail the checks to me, that would work too but they won’t. I did due diligence though, even emailing the county assessor to see if payments in multiple envelopes could be set up as a one time courtesy. Nope!