Saving Money at Tax Time

No one likes to be hit with a big bill when tax time rolls around. If this has happened to you recently, changes are that you’re either not working with a Naperville tax advisor or you’re not working with the right one. While many people cannot avoid paying back something come tax time, paying very large sums of money year after year could indicate that you (or your accountant) aren’t doing something right. If you’ve been unhappy with tax amounts in the past, consider these tips for saving money and making tax payments more manageable.

You may, for example, wish to ask your Naperville tax advisor about making quarterly tax payments rather than just making payments all at once. You may still end up paying the same amount in taxes, but it’s a lot easier to pay large tax amounts in three installments than it is to pay everything in one go. Plus, if you let your accountant handle all the tax forms and paperwork, quarterly filing doesn’t have to be a big hassle for you.

It’s also not a bad idea to consider opening up a retirement account. There are several different types of accounts available, which allows you to stay in control, and you’ll also be able to cut down on your taxable income. Not only will you be saving money on your taxes, but you’ll also be saving money for the future, so this is truly a win-win option no matter how you look at it.