As summer fades and leaves begin to fall, we often shift our focus from outdoor adventures to the more pragmatic aspects of life – like school routines, work projects, and taxes.
And while tax season might seem far off, taking steps now can save you a lot of headaches in a few months. In this article, we walk you through important tasks to do for your taxes, and now is the perfect time to tackle them.
1. Organize Your Financial Records.
Start by getting organized. From summer vacations to seasonal gigs, gather all your relevant income and expense documents. Keeping all your documents in one place will simplify the tax filing process and ensure you don’t miss out on any deductions.
2. Review Your Summer Income and Expenditures.
Take a closer look at your summer financial activities. Whether you did temporary work, freelancing or rented out a property, be sure to get a clear picture of your summer income streams. As for expenditures, consider any possible deductions related to your summer, such as business-related travel expenses or home office costs incurred for remote work.
3. Address Life Changes Promptly for Tax Reporting.
Summer often brings about big life changes – marriage, relocation, a new job, etc. Ensure that all these changes are accurately reflected in your tax documents.
4. Project and Plan for Your Tax Liability.
Utilize the information you’ve gathered to project your anticipated tax bill for the year. This proactive step will help you avoid (costly) surprises and allow you to plan your finances accordingly. If needed, adjust your tax withholding now or make estimated tax payments to prevent underpayment penalties.
Morgan & Associates Prepare Taxes
As the days start to grow shorter and the weather cools a bit, take the opportunity to get a head start on your taxes. With a team of seasoned professionals, Morgan & Associates are happy to assist you with tax preparation or any questions you have. Use the form below to contact one of our team members.
Don’t wait until the last minute to prepare for taxes. Start now!