New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

Navigating Home Equity Loan Interest Deductions for Atkore Employees

'Atkore employees navigating home equity deductions under the TCJA should focus on strategic planning and documentation to align with IRS rules and unlock potential tax advantages.' – Brent Wolf, a representative of The Retirement Group, a division of Wealth Enhancement Group.

'For Atkore employees, understanding the TCJA's home equity deduction rules is essential, as only home improvement-related loans now qualify, making proper usage and recordkeeping more critical than ever.' – Kevin Landis, a representative of The Retirement Group, a division of Wealth Enhancement Group.

In this article, we will discuss:

The impact of the Tax Cuts and Jobs Act (TCJA) of 2017 on home equity loan interest deductions for Atkore employees.
Key eligibility requirements and deduction limits under the new tax laws.
Best practices for using home equity loans and HELOCs effectively while taking full advantage of tax benefits.

The 2017 Tax Cuts and Jobs Act changed the tax landscape for homeowners like those in the Atkore. This legislation created some new tax benefits and eliminated some traditional deductions affecting homeowners' fiscal responsibility.

Home Equity Loan Interest Deduction Changes.

The TCJA changed how interest is deducted on home equity loans. Previously, employees of Atkore could deduct interest under most conditions. Today, they are cut in half through the end of 2025 – except under IRS-mandated restrictions: That deduction must be applied to buy, build or substantially improve the taxpayer's primary residence.

Eligibility for Deduction

- Atkore employees claiming this deduction must follow these guidelines:

- The funds must be used for substantial home improvements as defined by the IRS.

- The loan cannot be used for unqualified expenses like personal spending or debt consolidation.

Only mortgage debt up to USD 750,000 taken after December 15, 2017, is eligible for the interest deduction. For married couples filing separately, the limit is USD 375,000.

Tax Exempt Housing: IRS Advisory on Home Equity Loans.

In 2018, the IRS clarified interest on home equity loans, HELOCs and second mortgages are deductible when used for approved home improvements. That includes additions, roof replacements, HVAC installations & more – necessary to maintain or improve a home's value. Source: IRS Home Equity Loan Advisory (PDF).

Best Practices for Atkore Homeowners.

Atkore employees must prove the loan is used only for eligible renovations to get this deduction. Usage of funds can disqualify the deduction. Detailing expenditures and banking transactions is recommended to validate deductions during potential IRS audits.

Deduction Limits and Considerations

For loans originated post-December 15, 2017, the deductible interest is limited to USD 750,000 of home loan debt under the TCJA. For mortgages taken before that date, the deductible remains USD 1 million or USD 500,000 for married filers filing separately. Atkore employees with older mortgages should consult tax advisors on their situation.

Home Equity Lines of Credit & Deductibility.

For HELOCs, interest is deductible only if the money is spent on qualifying home improvements, which follow broader limitations that only home enhancement-related expenses are deductible.

Home Improvement Loan Considerations

Interest on loans up to USD 750,000 used for home improvements, including HELOCs, is deductible if the improvements benefit the property tied to the loan.

Concluding Thoughts

For Atkore employees looking to upgrade their living spaces, a home equity loan or HELOC could provide significant tax savings in interest deductions. Compare various loans to find one that works best for you.

Section Sponsored

Explore Top Mortgage Options: For Atkore employees, Rocket Mortgage provides intelligent, rate-based mortgage solutions. Their online tools let users check their loan status anywhere. Contact Rocket Mortgage today to learn more about mortgages. Source: Rocket Mortgage

This summary informs Atkore homeowners about home equity tax deductions post-TCJA. Be it major property improvements or simply updating your living space – knowing the tax implications of your investments is important.

Managing a well-regulated greenhouse involves knowing specifics about home equity loan interest deductions under the TCJA. As a gardener needs to know what conditions encourage growth, so must Atkore homeowners understand IRS rules that allow such deductions to flourish. Planning ahead and allocating funds for qualified home improvements could yield tax benefits.

Articles you may find interesting:

Source:

1. Internal Revenue Service. Real Estate Taxes, Mortgage Interest, Points, Other Property Expenses . Oct. 2024, www.irs.gov . Accessed 15 Apr. 2025.

2. Cussen, Mark P. 'Tax Loophole for Deducting Home Equity Loan Interest.' Investopedia , Mar. 2024, www.investopedia.com . Accessed 15 Apr. 2025.

3. Lewis, Holden. 'Is Home Equity Loan Interest Tax-Deductible?' NerdWallet , Dec. 2024, www.nerdwallet.com . Accessed 15 Apr. 2025.

4. Pacific Life Editorial Team. 'How Tax Reform Impacts Retirement and Estate Planning.' Pacific Life , Nov. 2022, www.pacificlife.com . Accessed 15 Apr. 2025.

5. Block, Sandra. 'Retirees, Make the Most of Your Home Equity.' Kiplinger , Oct. 2020, www.kiplinger.com . Accessed 15 Apr. 2025.

What is the Atkore 401(k) plan?

The Atkore 401(k) plan is a retirement savings plan that allows employees to save for their future by contributing a portion of their salary on a pre-tax basis.

How can Atkore employees enroll in the 401(k) plan?

Atkore employees can enroll in the 401(k) plan by completing the enrollment process through the company's benefits portal or by contacting the HR department for assistance.

Does Atkore offer a company match for 401(k) contributions?

Yes, Atkore offers a company match for employee contributions to the 401(k) plan, which helps employees maximize their retirement savings.

What is the maximum contribution limit for Atkore’s 401(k) plan?

The maximum contribution limit for Atkore’s 401(k) plan is determined by the IRS guidelines, which are updated annually. Employees should check the latest limits for the current year.

Can Atkore employees change their contribution percentage to the 401(k) plan?

Yes, Atkore employees can change their contribution percentage at any time by accessing their account through the benefits portal.

What investment options are available in the Atkore 401(k) plan?

The Atkore 401(k) plan offers a variety of investment options, including mutual funds, target-date funds, and other investment vehicles to suit different risk tolerances.

When can Atkore employees start withdrawing from their 401(k) plan?

Atkore employees can start withdrawing from their 401(k) plan without penalty after reaching the age of 59½, or under certain circumstances such as financial hardship.

Does Atkore allow loans against the 401(k) plan?

Yes, Atkore allows employees to take loans against their 401(k) balance, subject to specific terms and conditions outlined in the plan documents.

Are there any fees associated with the Atkore 401(k) plan?

Yes, there may be administrative fees and investment-related fees associated with the Atkore 401(k) plan. Employees should review the plan documents for detailed information.

How often can Atkore employees change their investment options within the 401(k) plan?

Atkore employees can change their investment options within the 401(k) plan at any time, allowing for flexibility in managing their retirement savings.

Additional Articles

Check Out Articles for Atkore employees

For more information you can reach the plan administrator for Atkore at 16100 South Lathrop Avenue Harvey, IL 60426; or by calling them at +1 708-339-1610.