The tax filing deadline is a few months away! If you haven’t already filed your taxes, the first half of this entry will offer three tips to save a few bucks when it comes to tax preparation. And if you’re among the 75 percent of Americans who will get a tax refund (congrats!), the second half of this entry will offer ideas for three smarts ways to spend that extra cash.
How to Save on Tax Preparation
1. Shop Around – There are plenty of options when it comes to filing your taxes. Call several places to compare rates, and choose the most affordable option. In most cases, the best rate will be found at small town privately-owned tax preparers – often half the cost of the chain preparers.
2. File Your Own Taxes – For simple returns, it might make sense for you to prepare your own tax return. When tax time rolls around, there’s many options around where you can file for free.
3. Be Prepared – Whether you’re paying someone to do your taxes or you’re doing them yourself, having your paperwork in order will help save time and money … and probably a few headaches.
Try *E-file.com:
- Offers free federal tax returns for those who qualify for a 1040ez.
- Free Error Correction – Their software will automatically check your tax return for common errors. If their software finds any errors, it will prompt you to correct them.
- Get Your Refund Quick – Who doesn’t want their refund quickly? Filing online allows you to receive your refund quicker than off-line.
- Helpful Software – Our software will walk you through common deductions and credits that you may be eligible for with its easy and quick question & answer format.
Three Smart Ways to Spend Your Tax Return
1. Add to Your Emergency Fund – A good emergency fund includes enough savings to cover three month’s of mortgage, food and utility bills. If yours isn’t close to that, or even if it is, you might consider using part of your tax return to beef up the fund.
2. Pay Off a Credit Card – Credit card debt is a pain, especially if that debt carries a high interest rate. Pick your highest interest credit card and use your tax return to pay it off or at least make a nice dent in your debt.
3. Fix Something – If you’ve been putting off a car or home repair because of a lack of funds, now’s the perfect time to finally get it done. That includes that leaky roof, broken dishwasher or replacing those balding tires on your car.
Want to save money this year? Create a budget today!