Procrastinator’s Nightmare: Tax tips for 2020

Procrastinator’s Nightmare: Tax tips for 2020

WILMINGTON, NC (WECT) - Simplicity is not a word usually associated with doing tax prep work but there are some simple steps you can do now to prepare for 2020.

“Organization makes all the difference in the world,” said local business owner Lindsey Klebe. “As I’m getting things throughout the year, whether it’s receipts or medical bills, I’m constantly thinking about my taxes and where I’m going to put that. It takes a lot of discipline, but it’s worth it. Have a system; don’t wait. Get it done now."

It’s on the front of Klebe’s mind and it should be. She runs a business called Simplicity Reclaimed, where she makes a living organizing other people’s stuff.

Those who file on tax deadline day and find a mid-April surprise, the lessons learned now can save you a bundle next year.

“Tax time should not be mystery. You shouldn’t be wondering if you’re going to owe or you’re getting a refund,” said Sue Riopel of Diana’s Income Tax Service in Shallotte. “You really need to keep track all year.”

There are some simple things you can be doing now to prep for 2020:

  • Check your withholdings - the W4 is the key document when you start your job or things change in your life. You can always change your W4, as needed.
  • Think retirement - saving for the future can help your taxes, today. That’s sheltered money, which may decrease your income, come tax time, but it’s putting it into your nest egg, tax free, until you need it.
  • Think “what if” - think about possible changes to your life. If your income could fluctuate. You may want to try high and low scenarios to get a hold of your tax burden.

"There are so many things that are all conglomerated into your tax return. That’s your tax return for your entire life, right there, and it’s important you keep track of it all year long,” said Riopel. “That’s important instead of coming at tax time and wondering, ‘what’s the big mystery?’”

To learn more about ideas and steps to get more organized click here.

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