I am anxiously awaiting my tax documents but not for the reason many think. I am not scared or upset that I might have to pay taxes. I do not think I am getting a refund so I am not even excited about that.
I simply want to get the documents so that I can file and cross that item off my list of things to do. Just knowing that I have this big project is weighing a bit on my mind and I just want to get it done so I can focus on other things.
I know a few people would wonder why I am anxiously awaiting my tax documents if I will not get a refund. The reason for that is you don’t want to get a refund if you have utilized proper financial planning techniques. In most cases, getting a refund means you let the government hold on to too much of your money. This is money that you could have been using on a monthly basis.
This is money that you could have been earning interest on if it had been in your account.
Yet you lost out on some of that opportunity, no matter how small, because you gave Uncle Sam a tax free loan!
I know that some people use income tax refunds as a method of forced saving and if that is the only thing that works for them then I really cannot fault those people. The thing is there is a better way to save! Get an account at a bank that is not your regular bank and set up automatic transfers to that account.
Do not get a debit card and do not sign up for online access! That way you will not be tempted to use the money…and since the transfers are automatic you never actually touch that money.
In any case, I have to wait for some of my tax documents to be available…..and some say they will not be ready until February!
Have you started preparing for your tax filing? Are you looking forward to it or dreading the process?