Tax season is at hand, and all small business owners everywhere cringe a little (at least I do!). It’s one of the many things on my to do list to complete before the baby comes in the end of March. We started doing our own taxes a couple of years ago (right around the time they got more and more complicated, ha), and I’ve picked up a few strategies along the way I wanted to share with you today!
Here are 5 ways to make filing your taxes less stressful this year and rethink your tax filing strategy:
1. Plan ahead + Keep Track
When running a small business, the most important thing is to keep track of everything. Receipts, income, expenses. At the beginning of every year, I start a new spreadsheet keeping track of all of my income and expenses. Then when it comes to filing taxes, I have everything right there in front of me. When doing any freelance work, I also highly recommend putting money away to pay your taxes throughout the year, with each paycheck. That way, you know exactly how much can expect to pay.
2. Start Early
Taxes can already be stressful enough, the last thing you want to do is add the stress of a looming deadline. I definitely recommend filing early. That way, if you run into any issues you have plenty of time to resolve them.
3. Gather everything you need
As paperwork for your taxes starts to come in, keep it all in one place. I’ll refer back to my spreadsheet to see what I’m missing, and what I’m still waiting to come in.
4. Give Back
I was so excited to discover 1040.com, a give-back online tax filing company where filing your taxes can be done with good purpose! For every tax return filed, they donate $2 to Healing Water International. Overall, 5.3 million gallons of water have already been donated. That’s enough water for over 29,000 people to have clean water for a whole year. Amazing, right!?
5. File with 1040.com
This year I’ll be filing with 1040.com. Not only does it do good for others, but they also make filing your taxes so much easier! 1040.com offers both federal and state filing, and a freelance/self-employment questionnaire. They’ve streamlined a new and improved interview to making filing self-employment taxes easier than ever! Yes, please!
When you file with 1040.com, you’ll also save the most money. Many people qualify for their EZ package, which is free! If you’re taxes are a little more complicated, with children or a mortgage, they have an additional package for 24.95. Or, if you area freelancer or run your own business, their most expensive package is only 44.95. Such a deal! They also prompt you with information you might need as you are filing, that will help you prevent making mistakes and make sure you don’t miss anything.
Affordable, simple filing that gives back to others. I don’t think there’s much of a better option out there.
This post is in partnership with 1040.com. All opinions are my own.