4 Things To Think About During Tax Season

Posted - February 15, 2020

You can count on two things in life: death and waiting until the last possible moment to do your taxes. If this season of the year has your financial life in a tailspin, we’re here to help you out. Whether you’re preparing for tax payments or saving for an upcoming summer trip, here are a few financial elements to think about as we approach the tax deadline on April 15.

  • Start Saving Now

According to estimates from the Tax Policy Center, 65 percent of Americans pay a federal income tax. While the number can vary, it can be an unexpected financial burden if you aren’t ready for it. Not paying your taxes isn’t an option, so what do you do? Start saving now. Even a couple months of saving can put you in a better position on April 15. Next year, you can start saving even earlier.

  • Consider Hiring a Tax Professional

Hiring a tax preparer is often a wise decision. Even if you don’t think you can afford it, consider the financial pros and cons of hiring one. A tax professional may cost anywhere from $150 to $300, but they can save exponentially (or increase your refund amount) when tax time rolls around. These professionals live and breathe finances and taxes, and know how to utilize the right deductions to maximize your investment.

  • Cut Costs Where You Can

It can be difficult to save and prepare for tax season if your recurring costs are out of control. Take a look at your budget and see if there is anywhere you can cut back. Do you really need to eat out at lunch every day at work? Do you really need that expensive cell phone or cable TV package? Downgrading and living within your means can reduce stress and help you save for a big tax payment or summer trip.

  • Manage Your Pay Wisely

Finally, managing your paychecks is another way to prepare yourself financially for April and the summer months. With pay access solutions like Spentra, you can access up to 50 percent of net wages earned at any time. This means you can avoid late fees, address unexpected bills and even set some money aside ahead of time. Spentra has several features that can enhance your financial wellness and quickly put you in a better position for tax day (and beyond).

To learn more about getting Spentra set up at your place of employment, contact us today.