A Financial Checklist for Tax Season
Staying organized can make tax time far less stressful and help ensure you don’t miss any valuable deductions. Follow this simple checklist to prepare.
First, gather all your essential documents. This includes your Social Security benefit statement (Form SSA-1099), any forms from pensions or retirement accounts (1099-R), and statements from banks or brokerages showing interest and dividend income (1099-INT, 1099-DIV). Don’t forget receipts for medical expenses and records of your charitable contributions.
Second, decide whether to itemize or take the standard deduction. Add up your potential itemized deductions—especially medical expenses, state and local taxes, and charitable gifts. Compare this total to the standard deduction for your age and filing status. Choose the option that saves you the most money.
Third, choose how you will file. You can use tax preparation software, hire a trusted tax professional, or see if you qualify for free assistance. The IRS offers programs like Tax Counseling for the Elderly (TCE) and Volunteer Income Tax Assistance (VITA), which provide free, reliable tax help from IRS-certified volunteers. For official information on Medicare, you can visit Medicare.gov.
Finally, file your return on time. The typical deadline is April 15th. If you need more time to get your paperwork in order, you can file for an extension, which gives you until October 15th to file. However, an extension to file is not an extension to pay. If you expect to owe taxes, you must still estimate and pay that amount by the April deadline to avoid penalties.
Disclaimer: This article is for informational purposes and is not a substitute for professional financial or tax advice. Consult with a certified financial planner or tax professional for guidance on your specific situation.
