not become an asset. It simply goes away. Poof! Gone.
And yet, because we are used to taxes, we rarely ask the same questions we would ask if that same amount were going into a savings account.
A Realistic Example of Long-Term Loss
Imagine two homeowners. Same income. Same lifestyle. Same size home. Same goals for the future.
Homeowner A lives in a town where taxes are 30k per year.
Homeowner B lives in a comparable town where taxes are 18k per year. (Homeowner B just gave himself an after tax 'raise' of 12k, by living in a lower tax town).
Both homes might be beautiful. Both towns might be wonderful.
But the difference in yearly tax burden is $12k or $1000/month.
Now multiply that by time.
$12,000 Times 10 years $120,000 Times 15 years Equals $180,000
Times 20 years Equals $240,000 (Homeowner A lost nearly a quarter million dollars more than homeowner B, because of property taxes)
This is money that could have been used for:
6
Powered by FlippingBook