Living Broke on Purpose has significantly reduced the amount of stress in our lives. It forced us to make financial changes that have allowed our day to day become easier. It also forced us to become more organized with our finances. We used to have piles of bills and random receipts laying around the house, in the car, crumpled in coat pockets and at the bottom of my purse, but now that we micromanage our finances we implemented ways to track our spending both within our home and within on small business.
No matter how big or small your life or your business, organization of your finances always makes things simpler come everybody’s favorite time of the year, Tax Season! I still have flashbacks to the first time we filed taxes as new homeowners and with my small business. It was basically like the blind leading the blind. Neither of us knew what to expect and I was running around the house like a chicken with my head cut off trying to pull everything I needed together. It was a nightmare, but listen filing your taxes doesn’t have to be hard as long as you don’t make them that way. Here are a few things you can start doing right now to help you stay organized and prepared for Tax season every year.
- Get a filing system: You can never go wrong with a filing system. You don’t need one of those big bulky file cabinets to keep your finances in order. To keep our home and business information separate we use labeled folders and a chic hanging folder box. It goes with the decor in our office and it allows for easy access. If I’m looking for an invoice or a contract from a client I can find it with ease without having to surf past the dogs medical records.
- Keep track of all business spending: It’s easy to mix up business and home spending, but harder to try to sit down and separate out the two months later. This is why I keep have a designated envelope strictly for business receipts in my wallet. If I purchase something directly related to my business I store the receipts in the envelope and then file them away at the end of the week. This method has saved me a lot of headaches.
- Create a checklist: Before sitting down to file your taxes create a checklist of everything you think you might need. If you’re a freelancer make a list of companies that you should be expecting 1099’s from. If you purchased a home make sure you have all your documentation from the bank and take a look at the IRS Tax Information for Homeowners which gives you guidelines on what you can and cannot deduct as a homeowner. Even though situations may change the great thing about this checklist is that if you miss anything you can write it down and use this checklist again to prepare for next year.
Even though our taxes are a bit more complicated Mr. Broke on Purpose and I still love to do taxes from the comfort of our own home and in doing so we always look for a company that has affordable packages and makes filing uncomplicated. Since we both live busy lives we want to be able to get things wrapped up in one sitting. If you’re like us you may find yourself considering TaxSlayer for your tax filing needs this year. The great thing about TaxSlayer is they’re all inclusive, all you have to do is choose the level of service and off you go. They make filing taxes simple and if you run into problems they offer free live phone and e-mail support to all customers! With over 50 years of tax preparation experience, you can be confident that you’re in good hands.
Is it weird that I say I’m actually looking forward to filing our taxes this year? If you’re ready to start filing your taxes file now at TaxSlayer.com. Got any other great tips for how to stay organized and prepared for tax season? Share them with us in the comments below!
I was selected for this opportunity as a member of CLEVER and the content and opinions expressed here are all my own.