Your Challenge: Gather What You Need for Your 2019 Taxes
Time commitment: 20 minutes, more or less, depending on how long you take to decide what to include, and to find the information if you do not have it handy.
I am always amused by the stories in the news in mid-April. Or the television reports with correspondents buttonholing people (who are filing their taxes at the last minute) outside of the post office at midnight on April 15.
Now, I can procrasti-clean with the best of them, but for taxes, I have found getting started early is the way to go. It makes filing your taxes a lot simpler when you want to complete this task. It also helps you get a refund earlier if you are likely to get one.
And as covered last week, keeping criminals from filing your taxes is important. If you’re not eligible for an IRS IP PIN, the easiest way to do this is to file your return as early as possible.
Now that it is February, most people will have most, if not all, of the documents and forms they need. It is time to gather them!
What documents and data should I gather to get ready for taxes?
These are just a few of the documents and records that you might need to file your personal taxes:
*W-2 from a job for either you and/or spouse
*any 1099s from your bank, from self-employed income; mortgage interest statements
*brokerage forms
*receipts for donations to charity
*any other miscellaneous receipts for things like education, medical expenses, and so forth.
If you are married, gather all of those documents for your spouse.
Here is an excellent overview of the documents and paperwork you might need to do your taxes.
Tax forms are required to be delivered by January 31. By now, you should have received, or can download, all the documents you will need to complete your taxes.
If you begin to gather your documents and realize you do not have something, you’ll know early and can reach out to get the forms.
Why should you gather documents for taxes so early?
Getting a head start on taxes is just a good idea.
For many people—especially if you are young and you do not have a lot of unique sources of income—gathering your materials should be pretty easy. If not, getting a head start is smart.
When should you gather all of your documents & data for doing taxes?
This week! You will be so glad that you did.
Where should you keep your documents for taxes?
Everyone will have a different system, but the important thing is to have one.
I keep a very basic manila file folder labeled “Taxes 2019” or the current year. Through the year, I file anything away that I might need for taxes. This includes receipts for gifts to charity, tax forms as they come in, record of miscellaneous income and expenses, etc.
And as the tax forms begin to arrive in January, I put them in the file.
How should I gather things for taxes?
If you haven’t received your W-2, any bank interest statements, mortgage interest/real estate taxes statement/brokerage account statements, take a few minutes to hunt them down.
Log into your various accounts—most financial websites will have a “tax forms” location. This time of year, it’s usually a banner at the top of bank/brokerage. Here, you can view and/or print the form.
Have you started gathering your tax forms for 2019 taxes?
