Five Ways to Make Tax Season Less Stressful Next Year
Now that tax time is over, most people are heaving a sigh of relief and closing the lid on the shoebox full of receipts.
But now is actually the time to make a plan so that next year isn't so awful, suggests Organizing Professional Janice Russell.
"No one wants to think about their taxes now, but if you spend a little bit of time on it, next year will be less painful," said Russell, president of Minding Your Matters Organizing.
Russell offers these some ways to make it easier next time:
-- Keep all your receipts for the current year separate folders: one for medical, one for monetary contributions, one for goods and services. That way, it's easier to take to an accountant. Make sure to keep these folders handy since you'll use them frequently.
-- Set up a simple folder system that ensures you keep previous tax paperwork: 10 folders labeled "Tax Year 0" through "Tax Year 9" and one labeled "Returns." "Tax Year 0" holds paperwork and returns from 2010. "Tax Year 3" was holding everything from 2003, and now you replace it with everything from 2013. After 10 years, the old paperwork can be deleted, but keep your returns forever by storing them in "Returns." Thanks to Freedom Filer (http://freedomfiler.com/Home.cfm) for this suggestion. While you don't usually need to keep tax records for ten years, this remove-and-replace system is easy to maintain and ensures that you have records should you need them for any reason.
-- Got a lot of incoming documents? Start keeping a checklist of what you need to do your taxes (W2, 1098E, interest statements, etc.), and check them off as they arrive.
-- Track your charitable giving with this free service: https://turbotax.intuit.com/personal-taxes/itsdeductible/
-- Not sure how long you should keep certain receipts and papers? Check out our Organize Your Paper Deletion post. (http://www.mindingyourmatters.com/organize-your-paper-deletion_030414) There is no sense keeping items you don't need at all.
"Effectively organizing for your taxes isn't something you do every spring; it's what you do every day as you collect financial information and receipts," Russell said. "Just a few small changes can take away the stress of doing taxes each year."
Press Contact
Contact: Janice Russell
Email: overseer@mindingyourmatters.com
Phone: 919-467-7058