College May Have Ended, But Your Deductions Don't Need To...

I'm consistently amazed at the number of graduates who don't realize that the interest they pay on their students loans is deductible. In other words, every student loan payment you make decreases what the IRS uses to calculate your taxable income.

With the maximum deduction for 2007 set at $2,500 per person, this can easily save you $500 - $750 in cash at tax time.

There are some rules about who can claim the deduction and what kind of loans are eligible. So, if you've got student loans, check out my extended review of the Student Loan Interest Tax Deduction.

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