Tax reform has moved closer to becoming fact, so there is at
least a middling chance that there could be big changes coming before the end
of the year that may affect how much we owe in taxes when it comes to file them
in early 2018.
Now just what those changes may be is still far from
certain, and may not be completely clear until we get down to putting pen to
paper (or fingers to keyboard) and actually entering information into tax
forms.
Even in this time of uncertainty,
though, one should not hide from taxes, or throw up our hands and decide that
there is nothing we can do. As always, there are advantages to handling these
things straight-on, and tackling them as early as possible.
And yes, that can mean starting now. So here are my top five
reasons to start preparing for tax season now:
1.
Choice of appointment time.
All the procrastination that
happens come tax time means that we get VERY busy in April as everyone tries to
finish up in days what they had months to do. I like to think that we do a good
job of accommodating everyone, but that means you may need to take an
appointment time that’s not ideal. I assure you, however, that many of those
ideal times are open in January and February.
2.
Staring early equals more time
And let’s be honest, the vast
majority of us do not keep a folder through the year where we can slide in
pertinent tax documents that we have gone over and collated chronologically. A
little mindfulness now means there less chance that you’ll forget about
something you need in the future.
3.
More time equals more opportunity
Also, when the time crunch is not
on, you have more of a chance to gather information that you may not have even
known would help you. One of my favorite things during tax season is making
people aware of deductions they did not know about. But when it’s April 15th,
tracking down a receipt to save yourself $20 pales in comparison to just
getting things filed on time. If it’s
February 15th, though, going home and spending the 15 minutes it may
take to get some another documents turns
out to be a much more manageable proposition. And when it only takes five
minutes, most of us are okay with working at a $240 an hour clip, right?
4.
Decrease your stress
We’ve all waited into April at
some point to do our taxes, right? We also all spent the weeks before that
thinking of how we should get moving, how we’re going to spend the weekend
getting everything together, and then feeling the stress build as it doesn’t
happen, right? Why not make yourself a promise now to not feel that pressure
this year.
5.
Moves can still be made
And this is because you don’t even
have to wait until the calendar changes to start this work. I’m not going to
pretend that there is some secret magic move that we can do in these final
weeks to remove your tax bill or even decrease it by 50 percent. We can,
however, do some smaller things like making charitable donations or putting
money into retirement funds that could decrease your final bill.
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