Tax Refund 101

Are you in need of a tax refund?  What if I told you that you could control your refund probability? 

We often forget our controllables that can make that refund check a reality.  Although they take a little extra time and may affect modern comforts a bit, it may be well worth it if you get that IRS check.

A quick and relatively painless way to impact your refund potential would be lowering your W-4 withholdings. This will increase your income tax, and while your immediate take-home pays maybe less, you can avoid payout and could get a refund windfall the following tax season.  

Another way to maximize your deductions takes a little bit of organization. It's as easy as labeling a folder 'tax deductions' and placing anything that's tax-deductible throughout the year in this file.  As you begin to plan and prepare, you’ll utilize this folder as it will now contain all sorts of deduction paperwork.  If you find you’re better virtually, Turbo Tax has various software programs such as Quick Books that can help and are also great if you’re self-employed as it keeps track of business expenses and income.

Saving, expanding your education and donations of household goods, have tax benefits too, and are worthwhile avenues to explore.  Saver's Credit is a credit for lower to middle-income taxpayers, and there is the Simplified Employee Pension IRA for those that are self-employed.  Being 50 provides benefits too. You’re able to increase your contributions to your retirement account up to 25,000. For those wanting to learn a new career with a moderate income, the Lifetime Learning Credit is a significant tax credit on tuition expenses.

If this all stills seems too complicated, leave the tax refund rules to the experts as there is software such as TurboTax It’s Deductible, that tracks all of it for you making taxing times, not so taxing!