As real estate prices drop, many people around the country are moving to new places and signing new leases. Some of them aren’t exactly as big as we’re used to. Although it would be great to find space for all your furniture, when you’ve gotta move, you’ve gotta move.
And, who doesn’t want to make money on stuff we no longer have room for?
Here are some ways to monetize your favorite couch:
First Things First
From Craigslist to eBay, the recession has created a great market for used items. Go there.
Old school! This is a good way to get rid of your things, make a few dollars, and meet the neighbors. If you need a refresher, here are some tips.
Earn Some Goodwill
Donations don’t put money in your pockets directly, but they provide tax write-offs—and karma points. If you’re having trouble selling items for a reasonable price, on say Craigslist, you can donate them and receive tax deductions in the amount of their full value, as determined by YOU. You can reap that benefit from some organizations like Goodwill that allow you to value your own merchandise. Be aware that if you donate more than $5,000 worth of goods, you must have the items appraised by a certified appraiser.
Some other things to note about donations:
- Not all charities are eligible for tax exemptions, so do your research. You can find a list of eligible charities on the IRS Website.
- Remember to get a receipt of your donation, make an itemized list of contributions, and file Form 8283 (Noncash Charitable Contributions) with your 1040 at tax time.
- Charitable donations don’t save you money unless they exceed your standard deduction amount. In 2009, a single person needed to donate more than $5,700 for the write-off to have made a difference.
Still no takers? Even if your trash is not someone else’s treasure, try to avoid making it fodder for landfills. Consider instead giving away your unsold items for free on Freecycle. Recipients are responsible for picking items up from you, enabling you to avoid movers and disposal fees.