savings account question

[g222leav]

if you put money into a savings account, you gradually recieve interest...now if you take all the money out, do you get taxed on the interest that you recieved...or do you get taxed on everything you withdrew...just wondering if you guys knew?

[DoPeY5007]

you should get a statment @ the end of the year if you got over a set $$$ value, and you have to report that when you do your taxes.



I am not sure what that $$$ amount is though

[brainsmile]

you pay taxes on interest earned for the calendar year regardless of how much you take out. It's based on how much total, transactions don't matter

[Kevster]

Originally posted by DoPeY5007
you should get a statment @ the end of the year if you got over a set $$$ value, and you have to report that when you do your taxes.



I am not sure what that $$$ amount is though

They won't report it if it's less than $10.

[Merlin]

You only pay taxes on the interest EARNED, whether or not you withdraw it. Given the current interest rate enviornment unless you're a high roller it won't make much of a difference.

[g222leav]

yea, cause i need to start saving and stuff, and i don't want the $$$ to be lying around in my checking because it would just tempt me to spend it...or i'd get mixed up and spend it accidentally.

i'm pretty sure you guys would volunteer to hold it for me wouldn't you?