It’s the end of summer, the best time of the year to think about your income taxes. Seriously!
If you have not filed your 2013 tax return because it is on extension (you have until October 15, 2014), get it done now. Rushing through it in October is not a positive move.
For 2014, will you owe or get a big refund? You probably should adjust your withholding if either is the case. Payroll withholding should provide “just enough,” not too much and not too little. Changing your withholding is easy. Just submit a new W-4 to your payroll office.
Do you pay estimates? Now is a great time to reassess your estimated tax situation. You can adjust your 3rd quarter, (due September 15) and 4th quarter payments.
Is your 2014 tax-filing material building up in a pile? Straighten it out now. It will make it filing your return next year much easier.
Your favorite non-profit organization will happily pick up unwanted household items and clothing any time of the year. So help out the charities now. Just be sure to get a receipt and put it in your newly created tax filing system. Household goods, furniture, clothing and nick-knacks can add up to very meaningful contributions. List them out with the following information: Description of item, approximate acquisition date, original purchase price or original value, date of donation, organization receiving donation, condition of item, (excellent, good, fair, etc.), estimated value (10% - 30% of original). You will be surprised at the amount of the donation. If any item exceeds $5,000 in value you must obtain an outside, independent appraisal.
Earlier is better when it comes to retirement plan contributions.
Wade Financial Group is on your side for tax planning.