For most Americans, there is nothing more stressful than the topic of money management. The cloud around taxes proves to be especially stressful, and can cause a great deal of anxiety. However, with a little preparation, your experience in filing your taxes can be improved greatly! If you can relate to the anxiety caused by filing taxes, here are a few ways to ensure your tax seasons goes off without a hitch!
Start preparing yourself now
Preparation is the key to success in many areas of life, but even more so when it comes to dealing with good old Uncle Sam. This is even more true for those who are self-employed. In the arena of taxes, it is best to be prepared with the necessary paperwork for all of your expenses, contributions and deductions. If you are to pay your taxes at the beginning of the year, it is imperative that you start saving your money as it comes in. Do not wait until the tax deadline is looming over your head to start frantically pulling together the funds you owe to the IRS. Preparing your money ahead of time will grant you peace of mind during tax season.
Decide how you will file
In the era of extreme convenience, there are now several options available to file your taxes from the comfort of your own home, whether you work for a large company or as an independent contractor. If you are a novice filer, the software available will streamline the tax filing process and guide you step by step until completion. Filing online and using W-2 software and/or 1099 software is recommended for those with less complicated filing procedures.
Using an accountant or tax service is the most traditional way to file and is recommended for those with more than basic needs. If you will be utilizing tax credits and deductions, it is best to sit down with an accountant to ensure that everything is filed correctly. Based on your situation, there will be several options available to you for deductions that you otherwise may not have been informed about. Utilize your options wisely to avoid extreme out-of-pocket costs.
Don’t get overwhelmed
There is a wealth of information available regarding taxes, and if you try to hack at it alone, you may find yourself in a big mess of stress. If you are unsure about how to file, which forms to use, whether you will be receiving or owing money, it is advised to seek out a professional. As a taxpaying citizen, it is important that you have an understanding of all of your options to avoid the feeling of not knowing when or where to start. More often than not, people allow uncertainty to creep in, moving them to inaction. One thing you do not want to drop the ball on is your taxes, so set yourself up for clarity with knowledge and extreme preparation. The more you know, the more comfortable you will be with the process, axing the stress factor.
The beginning of a new year does not have to be filled with dread and despair as tax season approaches. If you do the necessary homework, reach out for help when needed, and simply prepare yourself, getting through tax season should be hassle-free. Get a jumpstart on next tax season by preparing yourself today!
Kathy Sussell is an ADHD coach who helps teens, college students and adults with ADHD improve their time management, planning and prioritizing, initiating and finishing tasks, organizing paper and objects and other life skills. Kathy is the co-author of, Managing Your ADHD: Tips and Solutions from A-Z. She is the organizer of the ADHD Women’s Meetup Group that meets every month in NYC. For more information visit her website: www.bravolifecoaching.com or email Kathy at firstname.lastname@example.org