Chelse Stevens shares her tips for taxes.
Chelse Stephens from Capital Finance explains some tips to help you get more money back.
With less than a month before April 15th people are starting to remember it is tax time. During this time of year everyone is looking for ways to save money and pay less in taxes. Chelse Stevens with Capital Financial Group wrote the following tips up for us if you're looking to get more bang for your buck:
There are many ways to save on taxes, a lot of them are very complicated, but some of the easiest tips are some of the most lucrative. The easiest and yet the hardest is I would say is don't procrastinate. There is less than a month left until taxes are due and still most will wait till the week of to do their taxes. When you wait, you don't have as much time to go through all of those more difficult tax strategies and end up missing lots of deductions because you have to get them done. Also, the sooner you file the faster you will get your refund. The turn around time for a tax return monies increases as we get closer to April 15th.
Contribute to your retirement.
If you contribute to a traditional Ira, 401k, or other types of retirement accounts you can save on taxes. Contributing to these accounts reduces your taxable income by the dollar amount you contribute. This is a great way if you owe money on your taxes you can contribute to a retirement account and maybe end up not paying taxes.
Check your withholding
I've seen a lot individuals that are getting a lot of monies back in a tax return. The reason being that they haven't changed their withholding from when they were single. Getting a big tax return doesn't seem like that's a bad thing, but what is happening is you are giving the irs a free zero percent loan. Versus putting that money into savings or retirement. Anything is better than zero percent.
Use a professional
Having a professional on your side of the table will be worth every penny you spend as long as you choose the right person. If you pay a CPA $500 they should be able to save you more than that in taxes.
Itemize your deductions
Again you can't procrastinate because it does take time.
Presented by: Chelse Stevens
Presented on: March 17, 2014