If you look up procrastination in the dictionary, there’s a picture of an IRS agent silently judging you for not filing your taxes on time. That may not be true, but what is true is that the majority of Americans put off their taxes until the last minute. This causes unnecessary stress and fatigue and unwanted long nights. This is despite that most people don’t even owe money to the IRS! One of the major concerns people have and why they put the task off, even with financial incentive, is the massive chore that it seems to be. Here a few tips that will help ease that burden.
1. Keep Everyone on the Same Page
One of the number one reason people don’t file is because they don’t receive their W-2s. In order to avoid this problem, verify with your employer what address they have on file for you right now. W-2s may come from your payroll department or it may come from your HR manager. Most employers have a procedure; however, depending on how large your company is, they may have not updated your information. A great time to do it would be at the end of the calendar year OR RIGHT NOW!
2. Fill Out W-2 as They Come In
According to the IRS, the average person will spend around 13 hours preparing their taxes! With that kind of time and that daunting of a task, no wonder people put it off to the very end. With a task like this, however, an early start in easy, digestible chunks may be a good strategy. Managing the time in 45 minute or even 20 minute increments over the course of three months is a lot easier than cramming paper into envelopes after twelve hours of staring at forms. In addition, if you’re doing them on-line, inputting W-2s or 1099s as you receive them is a great way to manage the time. That way you won’t have to worry about it later.
3. There’s an App for That.
With the rise of smart phones comes the rise of not only on-line gaming but up-to-the minute tax savings! Apps through programs like Turbotax or QuickBooks not only help you file at the end of the fiscal year but also stay current as you go. You can take pictures of receipts, demark certain purchases and some even have analysts at the ready. Services like these don’t always come free but are very helpful in keeping organized. However, if your phone has a camera on it, you could take the first step in taking photos of your receipts and placing them in a file. At least then you’ll know where they are and have a relatively organized log. A few hundred pictures beats a shoebox full of receipts any day!
For more Helpful Tips on Taxes and Finances, call SLF, LLC at (312) 620-6499
SLF, LLC can help you with problems with the IRS, levies or simply filing your taxes on time. The last people that you want to owe is the Federal Government because they know where you live! Call us at (312) 620-6499 to talk about it. We’re Here to Help!