Payment Plan for Taxes

I did my taxes! Honestly, I wasn't sure if I was going to be able to complete them before the deadline this year. I even looked into filing an extension. However, I decided to just carve out the time and get it done. I'm relieved that I finished them. However, I owe more money this year than I expected. Therefore, I had to figure out how to work out a payment plan with the IRS. It turns out that there are several options. How I Usually Pay My Taxes I'm self-employed. Therefore, I usually pay Read more [...]

Why I Hired A Tax Professional

Tax time is here. The last day to submit those returns is coming up in the next couple of weeks. If you are like me, taxes are frustrating, and the result always ends up with me owing to the IRS, which I think is too much money. I used to do my taxes using Turbo Tax for free, but here are the reasons I hired a tax professional to do my taxes now! https://www.youtube.com/watch?v=K1nR0iUVcjk Time For one, I don’t have the time. I am a busy person and work from sunrise to sunset. When I get Read more [...]

What To Do If Your Mortgage Company Forgot To Pay Your Taxes

When you pay the mortgage on your home, the money goes to a loan servicer. That loan services is supposed to handle the taxes on your mortgage. Usually, things go smoothly. However, mistakes do happen. Here's what to do if your mortgage company forgot to settle taxes. How Do Taxes Work Through Mortgage Company? In case you aren't entirely sure how this should all work, here's a quick refresher: You take out a home mortgage. Each month, you make a mortgage payment. This covers the loan Read more [...]

Putting Money in a Roth IRA Even Though I Have Debt

In the past few years, I've worked hard to contribute the maximum amount allowed to my Roth IRA. I have done this in spite of the fact that I have debt to pay off. Am I making the right decision? It feels like it's the right choice for me. What Is a Roth IRA? In case you're not familiar with it, the Roth IRA is a retirement plan. I am self-employed. Therefore, I don't have a 401(k) through my work. As a result, I need to take responsibility for my own retirement planning. The Roth IRA is the Read more [...]

Should Extra Income Be Taxed?

Do you have a side-hustle or other ways to make a little extra cash? I do, and If you're reading this, you probably do too. I am sure it is quite rewarding. The funds I make from my side-hustle allow me to make extra mortgage payments and fund my many investments in an attempt to retire early. Whatever your side gig may be, do you pay taxes on it? Should extra income be taxed at all? Here my thoughts on it. https://www.youtube.com/watch?v=sphgRMqQRw0 Should Extra Income Be Taxed? If you ask Read more [...]

One Simple Step to Simplifying My Taxes

I've worked as a freelance writer / independent contractor for well over a decade. Some years I do better than others with money management. Which in turn means that some years it's a lot easier than others to complete my taxes. At the start of 2021, I've made a super simple change that will simplify my taxes immensely. Operating as a Sole Proprietor Without a Business License People often ask me what my business legal structure is. Am I registered as an LLC or DBA? Do I have an Employee Identification Read more [...]

Here are 7 Taxable Items That May Surprise You

The United States tax code is complex. It’s chocked full of details, including information about what is and isn’t taxable, many of the taxable items may surprise you. The tax code is shockingly long and incredibly challenging to decipher, particularly for anyone who isn’t trained in accounting or finance as it relates to taxes. As a result, most people don’t know everything about taxes, including, at times, issues that pertain to their own situation. That can lead to some startling Read more [...]

Be Thankful: Give to Charity

As the end of the year steadily approaches, it's a good time to consider donating to charity. Make enough of thse contributions and you reach the minimum required to claim a deduction on your tax return.  Here are 10 great nonprofits that would appreciate your money or any kind of gift in kind, like toys and food. Books for Africa This organization is dedicated to collecting, sorting, and shipping books to underprivileged areas in Africa. Boys and Girls Club Kids in poverty-stricken communities Read more [...]

IRS Announces 2018 Tax Rates

Few people look forward to paying their taxes, but nonetheless the Internal Revenue Service has announced its 2018 tax rates, along with associated deductions, credits and exemptions. Highlights of the 2018 Tax Rates Highlights include adding another $500 to the maximum annual contribution to most of the numbered retirement plans, along with the government's Thrift Savings Plan. If you apply for ein in 2018 you may need to use a ein filing service. Numbered Plans The maximum contribution for Read more [...]