Tax season is amongst us and for many, including myself just the thought of filing my taxes can be stressful and has been complicated at times. I have been there, where I am looking for receipts, thinking of deductions, and hitting up employers asking “Where is my 1099?” Where in the past I have used a tax preparer, where I had to make sure I had all my paperwork lined up before heading out to my appointment, with online tax prep programs like TurboTax, you can file online with ease and in the comfort of your home and don’t have to feel rushed as there are another 20 people waiting to be seen by the same person. I have personally been filing online for years now and when I first tried doing them online, I was a bit hesitant as I kept thinking “How the hell am I going to do this all by myself?!” Well, the good thing is that when you do file online, you are not alone and you are not helpless.
When you file your taxes online tax programs like Turbo Tax, literally walk you through the process, like an abuela, holding your hand along the way, as they go through questions one by one. Every time you answer the question, the information is automatically updated in the system and you realize along the way, that “Hey this isn’t too bad”….. “I got this. I can do this.”
So, before you let income tax season get the best of you, take a look at some tips that can help encourage you to get it together and get on track to get your taxes done and get your money.
YES, YOU CAN FILE FOR FREE
You don’t have to spend a lot of money and waste time to get your taxes done. If you are filing a simple tax return with a 1040E or 1040ez, you can do it in the comfort of your home on a computer while sipping on some cafe for absolutely nada using Turbo Tax’s absolute zero.
GET ORGANIZED
Don’t be a deliquente when it comes to your taxes, okay, get organized as organization is key, in many things, including to when it comes to getting your taxes done. Don’t wait until December to start looking for receipts, invoices, or any other paperwork from the whole year. In the beginning of the year designate a nice safe spot and drop a file there and start loading up on your receipts, including expenses and donations in this one place. That way when December does comes around, you won’t have to go all Dora the Explorer looking for deductions, you already have it all lined up for you. Another good tip for this file is to add envelopes, or smaller files and separate them by month and type of receipts, so if you need to use or look for any of those receipts for anything else, before tax season, you just have to pull out your file and BAM, you are good to go.
DON’T PROCRASTINATE
The early bird may get the worm, but as an early filer you get your moola faster.
You save yourself stress by being organized throughout the year and when you file early you don’t have to worry like many people who file late, wondering why there money still has not been deposited. So don’t procrastinate when it comes to your taxes, the same way that you are procrastinating right now with some of your New Year’s resolutions, cough cough.
DEDUCTIONS, DEDUCTIONS, DEDUCTIONS
Deductions, especially those that you may not think are deductions, can help you get a bigger refund.
Let’s look over some deductions that may overlook:
- BUSINESS DEDUCTIONS: While many businesses including small business know to use their office rental or home office as a deduction there are other things that you can deduct as well. Everything from your cellphone, internet, clothing, car mileage. bank fees including ATM withdrawals, health insurance premiums, interest payments on business equipment purchase with credits, and startup costs as well if you are a business that is just starting out, can be deducted.
- MOVING DEDUCTIONS: If your family went through some changes in the last year, you should keep that in mind as well. So if you had to move, the expense from moving from one house to another can be deducted.
- RETIREMENT DEDUCTIONS: If you are saving towards retirement and put money into an IRA or 401k, you can use the money that you are investing for you future, as a deductions in your taxes now
- FAMILY DEDUCTIONS: While deductions for dependents like the Earned Income Tax Deduction is normally the first thing that families think of when it comes to deductions. There are other deductions to keep in mind. For example if you find yourself out of work, or are in the process of looking for a new job, the expense generated of that job search including childcare, while you are looking for a new job, can be deducted.
I hope that these tips for filing online came in the clutch, the same Turbo Tax has for me in the past. Where before I would pay someone over $200 to do my taxes, there have been times where they have made mistakes and left me to fend by myself with the IRS. Now, all I do is go online and if I have a question, I can look it up right on the site as I go along the process or even call and have a representative help me out as well. Plus if I need to find a deduction, or have to go and pick up my kids, I can log out of the program and come back later on and finish my return on my time, without feeling rushed and still spending less energy than I would going to an office to get my taxes done. So while some of my friends are running around and wasting time and money on a tax preparer, I am chilling with my taxes done, waiting on my direct deposit, as once again, I made tax season my bitch.
