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7 Tips For A Stress-free Tax Season
By: Robin Lakes
For many Americans, April 15th is the most stressful day of the year. The date
when federal taxes are due can strike fear into the hearts of the most stoic
taxpayers. Writing that yearly check to Uncle Sam can be quite distressing,
especially if you find you owe more than you thought you would. What can be
especially troubling is that the stress can stay with you, year in and year out.
But for many people, the stress begins long before the filing deadline. It may
occur as early as December when the tax forms first arrive in the mail. Or it
may happen when your W-2 form comes across your desk at work. It may happen when
you hear about tax season on television. Even getting your yearly interest
statement from your bank might be enough to put you over the edge.
You may know some people who seem completely relaxed when tax time rolls around.
It seems that they have everything in order, and they have little to worry
about. For such people, tax day seems to be a virtually stress-free experience.
You’ll find them whistling through the hallways at work—while you’re hunched
over your calculator, wondering whether you can pay your tax bill.
You need to realize that you can handle the stress of tax season without going
ballistic. However, this means that you must be pro-active when it comes to
handling your taxes. A little bit of planning can go a long way to reducing your
taxes—and your stress level.
To begin with, it could help you immeasurably if you seek the services of a
financial planner. He or she can help you to take control of your finances,
which can reduce your stress level considerably. Also, the financial planner can
help you to employ certain strategies which will enable you to reduce your tax
bill.
Next, you have to seriously consider whether it will do you any good to do your
taxes yourself. While figuring out your own tax bill can give you a feeling of
control, it can also increase your stress level tremendously. Therefore, you
might seriously consider hiring a tax accountant to handle the stress of your
taxes. While such a move will not eliminate your stress entirely, it can
seriously reduce it.
Keeping folders of all the documents you need for filing your taxes can also
lessen your stress. If you keep the folders current throughout the year, you
will not be in a mad rush at tax time to find the papers you need to file your
return. You might consider color-coding the folders for easy reference.
Also, keep the folders in a central location. While a filing cabinet might be
the best solution, you might also consider a hope chest, an end table, or a desk
drawer. And be sure to keep all your records for at least three years in case a
question arises about your return later on.
Another strategy for reducing your stress is putting an end to procrastination.
While it might be tempting to wait until the last minute to file your taxes, it
only increases your stress level. If you file your taxes long before the due
date, you can rest easy when April 15th rolls around. You might be amazed at how
much easier it is to deal with tax season when you’ve done some advanced
planning.
If you find yourself facing a large tax bill, chances are you will feel stress,
no matter what time you file. Therefore, you might consider opening a savings
account specifically earmarked for taxes. This way, you can save for tax day
throughout the year. Another option is to increase your withholding on your
weekly paycheck so that you don’t have such a huge bill to pay at the end of the
tax year.
There is no reason to become overly stressed over taxes. They are a natural part
of American life, the means by which the government is able to function. If you
take a few pro-active steps, you can significantly reduce tax-related stress. It
may be hard at first to break old habits. However, once you do, you might be
amazed at how relaxed you feel when April 15th rolls around.
About the Author:
Robin Lakes specializes in helping people resolve their problems and complaints,
and achieve a sense of well-being in their busy, stress-filled lives. She has an
extensive background in research, education and writing, and is currently the
staff writer for Livet, Inc. at www.livetinc.com |
