USER’S GUIDE — 47Mortgage Interest Tax Savings —21% or 30% Tax BracketWhat is the mortgage interest tax savings for the first year (if loanstarts in January*) on a $310,000, 30-year loan at 7.25% interest?Base it on 21% tax bracket (default). Then, recalculate based on a30% tax bracket.STEPS KEYSTROKES DISPLAYClear calculator o o 0.00Enter the loan amount 3 1 0 ) l 310,000.00Enter interest 7 • 2 5 ˆ 7.25Enter term 3 0 T 30.00Find monthly payment p “run” 2,114.75Enter Yr. 1 1 a “run” 1-12Find total interest in Yr. 1 a 22,376.60Find total principal in Yr. 1 a 3,000.36Find prin./interest in Yr. 1 a 25,376.96Find remaining balance a 306,999.64Find remaining term a 29.00Find mortgage interest taxsavings in Yr. 1 basedon 21% tax bracket a 4,699.09(etc.—keep pressing aif you want to automatically find nextyear’s amortization values and mortgage interest tax savings.)Enter 30% tax bracket 3 0 s p 30.00Enter Yr. 1 1 a “run” 1-12Find total interest in Yr. 1 a 22,376.60Find total principal in Yr. 1 a 3,000.36Find prin./interest in Yr. 1 a 25,376.96Find remaining balance a 306,999.64Find remaining term a 29.00Find mortgage interesttax savings in Yr. 1 a 6,712.98Return calculator to 21%tax bracket 2 1 s p 21.00*Note: If loan does not start in January, use the Month Offset feature (e.g., if loanstarts in July, enter 7 s )and begin problem).
