Safe homeowners insurers; curing holiday debt hangovers; college aid tips; the queen's tax bill UNLIKE BUSH, CLINTON FACES STIFF STATE TAXES
By Elizabeth M. MacDonald

(MONEY Magazine) – Once Bill Clinton moves from the Governor's mansion in Little Rock to the White House in Washington, which jurisdiction will tax his $200,000 salary? Well, here we go again. Like President Bush with Texas (MONEY, January 1992), for tax purposes, Clinton will be considered a resident of a state (Arkansas) where he doesn't possess a house or an apartment of his own. But unlike Bush, whose home state of Texas has no income tax, Clinton will owe about $13,000 in Arkansas income taxes on his '93 return, up from $8,200 in '92, estimates senior tax manager Stephen Ryan at Grant Thornton in Chicago. The Razorback State levies a 7% tax on wages of $25,000 and above. ''We will definitely tax Clinton's salary, since we still consider him a resident,'' says Clarence Collins of the Arkansas tax department. Even though the Clintons have not owned or rented a home for themselves in Arkansas since December 1983 -- after they moved into the Governor's mansion -- they are state residents for several reasons. ''Among other things, he votes here, and the family car is registered here,'' says Collins. Furthermore, since 1987, the Clintons have co-owned the two-floor $180,000 Little Rock townhouse (above) occupied by Hillary's parents, Dorothy and Hugh Rodham. Mrs. Rodham told MONEY: ''We're not moving to Washington. What would I do there?'' The Clintons' state bills could easily top $13,000 next year. If, as seems likely, the President-elect spends even a day working while on holiday at the $8 million beachfront estate in Summerland, Calif. recently leased by his Hollywood producer friends Linda Bloodworth-Thomason and Harry Thomason, California tax authorities plan to demand 1993 state income taxes. A month in California could cost the Clintons about $1,200. ''We'd tax him, since there's nothing in our law that exempts his salary,'' says James Shepard, of the California Franchise Tax Board. No wonder First Families spend so much time at tax-free Camp David.