This article is a bit misleading. If you check the tax forms the Energy Savings credits are limited to $500 if you aren't installing photo-voltaic. I did $45,000 in energy improvements and only qualify for $500 in credits. I'm not complaining, $500 is better than a sharp stick in the eye but don't count on a windfall. I would have made the improvements in any case just for the comfort. Just don't rely on a news story or salesman's advice when it comes to planning.

In 2008, the Federal tax rate on dividends and capital gains drops to 0 for taxpayers in the 15% tax bracket or less. For individuals that means about $40,000 in adjusted gross income, assuming you take the standard deduction. For married couples that means about $80,000 in AGI and taking the standard deduction. Depending on YOUR own tax situation, to keep yourself under these limits, you may want to avoid taking money out of your IRA even though you are between 59-1/2 and 70-1/2 and can do so without penalty . You may also want to think about postponing your social security if you turn 62 in 2008. The Bush tax cuts weren't only for the super rich. If you are an early retiree living off your dividend income, the tax cuts probably had a greater impact on your standard of living than the cuts did for much richer people, or much poorer people. In 2009, the low tax rates on dividends and capital gains will probably disappear if either Obama or Clinton becomes president. It is something to think about if it impacts you. Ironically, the 2009 tax increase, if it comes, will have a greater impact in high cost cities like San Francisco, which also has the nation's largest number of trust fund babies on a per capita basis.