Taxes

According to Better Money Habits, there are 6 things you need to keep in mind when you start doing your taxes:

  1. Keep an eye on your income. You only need to pay taxes if you have made income over a certain threshold.
  2. Save your papers. Saving all financial documents throughout the year will make doing your taxes much easier. See the Financial Documents section for more!
  3. Watch for income documents to arrive.You will need a W2 or 1099 form from every place you worked during the year, and your employer should automatically mail them to you. Don’t let these get lost in the shuffle!
  4. Learn which credits and deductions you can take. These will vary person to person depending on your individual situation, so make sure you check them out in order to save money!
  5. Mind your deadlines. Taxes are due in April, so make sure you start preparing early in order to have everything filed on time!
  6. Decide how to file. You can file directly through the IRS, or use a preparation software. Personally, I recommend using a free preparation site like turbotax in order to expedite the process and make sure you don’t miss anything.

Source: Better Money Habits