Should You Pay Someone to Do Your Taxes?

Filing your taxes can be complicated and overwhelming.

You know the process—gathering paperwork, sorting through receipts, and crunching the numbers.

Thankfully, there are a few ways to make this whole process easier. Consider if hiring a professional is a better option than filing your tax return yourself.

Hiring a Pro:

The bad news? You still have to organize your paperwork. They need information only you can provide. That said, working with a professional might save you time and provide more accurate returns. Professionals keep updated on the ever-changing tax laws and can often find benefits that are hard to unearth on your own.

Tax preparers vs. CPAs:

Tax preparers are trained to help people with their income tax returns. On the other hand, certified public accountants (CPAs) have passed a certification exam with a background in accounting and finance. Extra knowledge and education have perks, like preparing financial statements for businesses and individuals.

When do you need a pro?

  • You lack time or patience.
  • Your tax situation is complicated.
  • You plan to itemize deductions.
  • You had major life changes in the last year.
  • You don’t trust yourself to check all the boxes.
  • You own a business or multiple real estate holdings.

Doing it Yourself:

All the work will fall on you. It will take more time and research to make sure your returns are accurate and filed properly. If you’re one of the few people well-versed in tax law, this might be a good option for you.

Tax Software vs. the IRS website:

The IRS website allows you to download and print or request forms in the mail. They also offer a free online filing portal. These options are generally recommended for household incomes under $69,000, per the IRS website.

If your household income is over $65,000, it might be best to use tax filing software. Generally speaking, a more complex situation requires a fee-based program, which can range anywhere from $25-$100+ for state and/or federal filings. You might even have to file in multiple states.

When can you do it yourself?  

  • You have the time and patience.
  • Your tax situation is simple and straightforward.
  • You feel comfortable navigating business-related tax forms.
  • You’re comfortable hitting submit and want that control over your money.

Our goal is to educate clients and guide them towards success. Tax and Financial Planning go hand in hand.


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