A lot of people filing their taxes forget to include part-time job earnings
PHOENIX (PRWEB) March 28, 2019
Filing taxes is probably one of the most stressful events of people’s lives that is why National Debt Relief aims to help by pointing out common mistakes they make every year. The article titled “9 Tax Mistakes You’re Probably Making This Year” released March 11, 2019, takes a look at common mistakes people make and how to correct them.
The article starts off by explaining that tax season is already in full swing and for some people, this means tracking down receipts and looking for their W-2s. However, there have been changes to tax filing making it a lot more straightforward. It has eliminated a number of deductions which means receipts may not be needed after all. Even with this, there are still a lot of people who makes costly mistakes.
One of the most common tax mistakes people make is overlooking the fact that their retirement savings can help them lower their tax payment. This is because IRAs and 401(k) accounts are designed to help consumers save for retirement by allowing them to contribute to them up to a certain amount, tax-free. This means that contributing as much as they can not only give them more money for retirement, but it also gives them a tax break.
The article also shares that a lot of people filing their taxes forget to include part-time job earnings. This happens when people take an extra job to earn money during the holidays. If that employer did not provide a W-2, people should not assume that they do not have to pay taxes on the income. The best thing to do is track it down because the IRS will catch up on that undeclared earnings down the road.
There is nothing wrong with people filing their own taxes. However, the possibility of making a mistake increases without a tax professional on their side. Some people might argue that the tax software is pretty thorough already. However, the cost of hiring a professional to guide them may be worth the extra cost considering what people can save if they do their taxes right.
To read the full article, click https://www.nationaldebtrelief.com/tax-mistakes-youre-making/