So I'm a Second Lieutenant, married with (almost) three kids. The way military pay works, I qualify for the Earned Income Tax Credit (EITC), since only my base pay is taxed, not the allowances. I think that I'll be able to claim a tax credit of about $3k in tax year 2010 and $1k in tax year 2011.I have about 130k to invest and I'm wondering if it's feasible or recommended to invest in such a way that my investment income is below $3100 so that I can remain eligible for the EITC. I'm new to all of this, so I'm sure there are better places to look, but the guy I talked to USAA couldn't recommend any funds that would have good returns while avoiding income.What do you think of using the $130k to buy some stocks through a brokerage that don't pay dividends and not selling them for a couple years until I'm not eligible for the EITC? If I don't sell them I haven't realized any gains, so it's not taxable, right? If I keep an eye on them I could sell if they start to tank.Thoughts?Thank you.
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