YOUR FLIGHT DELAY BACKUP PLAN: HOW TO SECURE A REFUND
The holiday season is supposed to be a time of cheer and goodwill, but keeping that spirit alive when you’re stuck at an airport is challenging. If you’re traveling to see family this year, we hope your flight is on time and uneventful. But with large-scale airline delays repeatedly making the news since the pandemic began, it’s wise to have a backup plan. Before you pack your bags, know how to get a refund if the worst happens and you end up stuck at home. Fortunately, the U.S. Department of Transportation (USDOT) requires airlines to provide consumers with a cash refund when a flight is canceled or experiences a preventable delay or schedule change. Any refund should include baggage or service fees. The airline may offer a voucher or new tickets instead of a refund, but you can refuse these offers. Receiving a refund for a canceled flight is pretty straightforward. Speaking with a representative in person or over the phone will usually solve the problem. However, delays can be trickier. Unfortunately, USDOT does not explicitly define a significant reschedule or delay and decides the matter on a case-by-case basis if a consumer files a complaint.
Regulations also only require airlines to issue refunds for delays if the matter was “preventable” by the airline. So, you should receive a refund if workers fall behind or there’s a maintenance issue. But if a tropical storm rolls through town or a security threat grounds flights, a refund is at the airline’s discretion. Most airlines will provide a meal voucher for passengers waiting three hours or more due to a delay. For a particularly long or overnight delay, most also pay for a passenger’s unforeseen hotel stay. However, check your airline’s policy before you book. While most airlines commit to these benefits as a matter of customer service, no law legally compels them. If you believe an airline legally owes you a refund, but it refuses, you can file a complaint with Transportation.gov. However, many travelers prefer to utilize travel insurance for situations that fall into a gray area. Many credit cards offer this service to cardholders for free, and frequent fliers should keep one ready in their wallets.
DON’T MISS OUT The Top 5 Most Overlooked Tax Deductions of 2023
As 2023 draws to a close, we know that April is near. Tax season can be a daunting time of year, with many people searching for ways to minimize their tax liability. While you may be aware of common deductions like mortgage interest and student loan interest, several lesser-known deductions often go unnoticed. Here are the five most overlooked tax deductions that could help you keep more money in your pocket. Reinvested Dividends If you have investments in stocks, mutual funds, or other securities, you may receive dividends. What many people don’t realize is that reinvested dividends can be added to your cost basis, potentially reducing your capital gains tax when you sell those investments. This is important for long-term investors who compound their earnings over time, as it can result in substantial tax savings. Out-of-Pocket Charity Donating to charitable causes is not only generous but can also provide you with a tax deduction. However, many people overlook
deducting expenses incurred while doing volunteer work for qualified organizations. This includes the cost of ingredients if you prepare meals for a local shelter, mileage for driving to and from volunteer work, and other expenses related to your charity work. State Taxes If you live in a state with income taxes, you can typically deduct the amount you pay in state income taxes from your federal tax return. This deduction is often forgotten or underestimated, particularly by those who live in states with no income tax, but it can provide a significant benefit for those who itemize their deductions. Medicare Premiums If you’re self-employed and pay for health insurance, you can often deduct your Medicare premiums. This deduction can include premiums for Medicare Part B, Part D, and supplemental Medicare policies. Keep in mind that this deduction is only available if you aren’t eligible to participate in an employer-subsidized health plan.
Income in Respect of a Decedent (IRD) IRD refers to income received on behalf of a deceased person but not included in their final tax return. Beneficiaries who receive IRD are responsible for reporting it and paying taxes on that income. The good news is that you can deduct any estate taxes paid on that income. While IRD can be complicated, understanding and maximizing this dedication can help reduce your tax liability. By paying attention to these often forgotten- about deductions, you can potentially reduce your tax liability and put more money back into your pocket. Keep accurate records and consult with a tax expert to ensure you’re making the most of these opportunities to save on your taxes.
2 • CampbellWealth.com
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