It is here (or almost here, depending on when you are reading this article☺)! Taxes are due and what a stressful time of the year (for some!). However, I hope to help remove those unwanted emotions and replace them with some top of mind tips that you can employ right now (yes, even if today is April 15), to change the relationship and mindset you have about taxes, filing taxes and tax season.
1. Educate yourself about taxes: The best way to conquer the unknown or scary is to approach it head on. The more you learn about taxes, the less scary they become and the more empowered and confident you are. Here’s a good read, A Good Guy’s Tax Journey
2. File an extension: If you’re not ready. Don’t stress. Simply file an extension or ask your professional about filing an extension. It’s better than being late and subject to late fees and penalties.
3. Communicate: Do NOT go M.I.A. if you have a tax situation to handle. The worst thing you can do is ignore the IRS. If you’re not sure about what to do, see tip #5. However, don’t use that as an excuse to do nothing.
4. Make affordable payment arrangements: Once you make contact, setup an affordable arrangement to pay your liability. By affordable, I mean, the number your budget says you can afford to pay on a monthly basis. If you do not have a budget, then you need to get one! Email me (email@example.com), I got you!
5. Seek a professional: You do not have to go this alone. Seek a professional to help you navigate the tax season. I know for a fact that you pay for what you value, so its time to value your financial health and put your money where your mouth is. Invest in a professional when times get rough and you need some help.
6. Get a 2nd opinion: If something seems “off,” it usually is. Don’t feel any type of way about questioning your taxes. You don’t want what happened to me, to happen to you
7. Keep a file just for tax stuff: Keeping tidy records is always a good practice for anything financial, especially your taxes!
8. Don’t expect a refund: You setup yourself for disappointment when you’re solely focused on a refund. Instead, focus on not owing the IRS. If you are eligible for a refund, awesome. Tip #8, is especially for you!
9. Read 8 simple strategies to make the most of your tax refund : You’ll thank me later ☺
10. Volunteer with VITA or another agency to help others with filing their taxes: The best way to learn more about something is to teach it. Further, you’d be giving back and we all can stand to do that a little more, right?
Ideally, you will employ at least one of these actions today or this week. Frankly, by reading this article you are already employing tip #1. However, as I teach my clients, it is important to continuously educate yourself about money, at least once a week. Let me help you do that.
Join my community of money masters and wealth builders, so you can stay in the know about future articles like this and get your weekly (or almost weekly ☺) dose of knowledge. Further, you should check out the video for this article and subscribe to the Youtube channel! Videos further your education, but you can also hear and see me share more tips and resources about money. Plus, I’d love to get your questions, comments and feedback!