Image by: liz west
By Michael Sterling
Every year, depending on how much money we’ve made, we’re forced to decide whether or not we handle our taxes ourselves or hire a professional. Though there are many software programs which are easier to use, it’s hardly put tax accountants out of business. No matter what decision we make, it always seems to be the right one – for the time at least.
But, this year has offered many new incentives that you shouldn’t ignore, but just because a tax accountant seems to know them doesn’t mean you can’t either. Truth be told, they’re probably reaching out to the same sources you would be. For those who want to save a few bucks, take a look at some reasons why it will benefit you.
#1) Less Time, Less Money
The average price tax accountants from places, such as H&R Block and Liberty Tax Service, was anywhere between $150 to $300. Though it might seem little money when compared to the time, effort and cash you may end up paying the government, most of the time it’s a waste of money.
It’s a guarantee you will pay less for a software package than you will to hire a CPA or any other tax professional. Some services will do it for free, while other charge as little $10 – $15, like TaxAct Or TurboTax.
Once you have all the necessary documents in front of you, it’s possible to complete your own taxes in less than an hour, rather than having an accountant take several days to a few weeks to process paperwork and file your forms. A good tax software program will walk you through the process very easily.
*Note: If you have only a few deductions, sources of income or investments, there is little need to sit down with an accountant to sort it all out.
#2) Tax Deductions Are Easily Searchable
It used to be that most tax deductions were kept secret, forcing you to throw yourself at the mercy of a CPA. Nowadays with a simple Google search, it’s become easy to learn more about deductions that benefit you, and this year has shown to be a lot.
There are new deductions that have been implemented this year which will ultimately benefit you, your family, and your business. Websites like Investopedia will help you towards that direction. With so many tax cuts for parents, children, business owners, retirees and veterans, there’s no reason why you should depend on a CPA.
*Tip: If you are a man who has a lot of investments and/or a giant business, hiring a CPA might benefit you since they will be available year-round to answer important questions regarding your benefits. This can be a huge help when planning your yearly strategy.
#3) Everything Is Automatic
With your W-9s, bank statements and tax forms automatic these days, it’s kind of a no-brainer to opt into to a more hands-on approach when paying your taxes. There’s no need to whip out a pen and calculator anymore. In fact, a lot of employers will take care of a lot of your tax info for you with little hassle.
Because everything’s automatic, many platforms that handle our money are all connected. Tax companies depend on these types of platforms because they know this is where the customers are. Some tax software programs may even give you a deduction simply because you’re with a certain bank. That’s definitely a good incentive.