There is a lot to know when it comes to filing taxes.
Our complete guide for the 2024 tax year (filing in 2025) should help.
Is Your Paycheck Not Going As Far As It Used To?
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We get it.Everythingis more expensive than it used to be, but your paycheck hasnt kept up.
When money is tight,these resourceswill help nearly everyone.
How Much Do You Have to Make to File Taxes?
Making more money is, in almost every way, a good thing.
check that you note on your calendars that this year, the normaltax deadlinehas returned.
The extension deadline is Oct. 15.
All right, so youve successfully determined whether youre required to file a federal tax return.
Now for the real fun: figuring out exactly how much you owe or are owed.
Unmarried and married individuals (and heads of household) have different levels oftaxable incomethat determine their tax brackets.
It is 3% for this final tax year.
Of those nine states, Tennessee charges the most with a statewide 7% sales tax.
So we looked into it.
What we found aresimple, millionaire-approved tipsthat anyone can use to manage their money.
Deductions and Credits
You may be eligible for certaintax deductions, such as student loan interest payments.
Note:With more people working at home since the pandemic, there may be heightened interest in this.
The home office deduction is generally reserved for self-employed or gig workers.
Learn more in our complete guide toindependent contractor taxes.
You could also deduct the interest paid on your mortgage, charitable donations and more.
Youll likely be able to get away with the simplest version of IRS Form 1040.
Your W-2 lists your total earned wages and withholdings, including federal income tax, Medicare and Social Security.
Contractors should be paying quarterly estimated taxes to Uncle Sam to avoid any fines come tax season.
There are also additional forms for those who owe self-employment tax or can claim a refundable credit.
These costs range from a few bucks on a digital filing upgrade to putting an accountant on retainer.
Youve got a number of options, some of which are more convenient (and costly) than others.
You receive guided tax preparation and free federal filing and sometimes state, depending on where you live.
You cannot use Free File to complete a prior year tax return.
The free file service goes for basic federalandstate taxes.
Be prepared to pay extra as well if youd like tax advice from an actual professional.
And best of all, your calculator can stay firmly ensconced in its layer of dust.
you might also mail off a paper check to the correct address for your state.
But lets keep the glass half full and assume the government owesyoumoney.
And you know who doesnt like mistakes?
How to avoid this:Use a calculator when filing your taxes by hand.
Married couples in particular need to weigh the pros and cons of filing jointly or separately.
Need Some Quick Cash?
If youre looking to boost your income this month, weve got just the thing for you.
Write a check to the Humane Society but forget to get a receipt?
Start anew jobbut choose the wrong withholding status when filling out paperwork?
Driving your car for a freelance gig but not correctly capturing the mileage?
These are all things that could come back to bite you when you go to file your taxes.
How to avoid this:Be proactive when it comes to personal finance.
How to avoid this:Find an accountant and ask them to help you calculate your quarterly tax payments.
Most tax preparers will print vouchers for your quarterly payments with instructions on how and when to pay them.
More From The Penny Hoarder:
Timothy Moore covers banks, taxes and insurance for The Penny Hoarder.
Reporting from Jamie Cattanach is included in this report.
