Who does their own taxes?

[jayem]

I spent a good hour on the laptop yesterday doing the E-file for our 1040. And this was after several more hours over the previous 3 days, doing it first on paper. Once all the tax data is entered, then there’s the verification process before submitting it. The program wants driver’s license numbers for my wife and myself, issue dates, expiration dates, last year’s AGI, and signature PIN numbers for both of us. Since I’ve retired and get pension income, I had to enter data from every line on the 1099R statement I get from the pension provider. If E-filing is supposed to be fast and easy, then I’m the Man in the Moon. But I’m too cheap to buy TurboTax or hire an accountant.
And I still have to do the state return.

Does anyone else do it themselves?

 

[tampasteve]

We use TurboTax for federal, no state income tax in FL.

 

[seeking.IAM]

I have filed my own for decades, on paper for many years and using Turbo Tax in later years. My best friend in my first year of employment out of college was a banker with finanical smarts. I asked him to help with my taxes; I couldn't afford to pay someone to do them. Rather than doing them for me, he taught me. I have done them ever since, except for two years when I inherited a farm and was involved in a complicated farm partnership with co-owning relatives. I know nothing about farming business.

 

[PloverWing]

I do my taxes myself. I skip the paper these days: Data are entered into a spreadsheet first, and then electronically into the e-file form. It takes 2 or 3 days, and I grumble at the government the whole time. Why can't they just send me a tax bill? I get a property tax bill, and a gas bill, and an electric bill -- why not an income tax bill?

About half the time, I get mail back from the IRS saying "You entered amount X on line 25-Z, and you should have entered Y, so we've re-figured your taxes for you. Ha, ha, you get a B- on your tax return." Okay, not the "ha ha" part, but that's what it feels like: They made me waste several days figuring out something that they knew all along.

That's my annual rant. And, oh dear, it's March -- time to do the taxes again!

 

[GreekOrthodox]

I've been using Turbotax since the late 90s. When I first got the software, the software (at the time it was a physical CD) notified me that I was eligible for EIC with my kids and did I want to use it. I said yes and my return went from $200 back to $2,000. I've stuck with them since then. The other thing is that I can pull up old returns easily rather than shuffling through old boxes when we moved 6 times in about 8 years.

I think my fed and state returns cost me just over $100 and I have to file various investment schedules so its a somewhat complex return. In 2018, I had done some freelancing and I had to get spend about $150 for the schedule C portion but worth it.

The main thing that I like is that as paperwork comes in, I immediately submit it and then mark up the W-2 with "entered 2/10/21" so I know it is in there. So rather than sitting down for a weekend to manually add and look at tables and make mistakes, my taxes take 5 minutes here, 10 minutes there. At the end, I review things and that takes about an hour.

 

[pescador]

I use TurboTax every year, as it is worth the money to me not to either do them manually or hire someone (spending more money). One of the advantages IMHO of TurboTax is that it links data entered into one form into other relevant form(s) and points out missing data, errors, etc.

BTW, long ago -- 50 years? -- I used to do taxes on an abacus. I still have the device but a computer makes things a LOT easier.

 

[mama2one]

husband allows me to do taxes...lucky me
he only checks my math

continue to do paper as don't trust to send over internet since any site can be hacked

mailed federal taxes (certified) on Feb. 19th
the P.O. still has not delivered!

 

[mama2one]

doing it first on paper. The program wants driver’s license numbers for my wife and myself, issue dates, expiration dates, last year’s AGI, and signature PIN numbers for both of us. If E-filing is supposed to be fast and easy,

glad I still do paper forms as not doing twice
(paper, then online)

however, we do have to wait longer for our refund but we put it towards child's college fund

 

[SkyWriting]

I spent a good hour on the laptop yesterday doing the E-file for our 1040. And this was after several more hours over the previous 3 days, doing it first on paper. Once all the tax data is entered, then there’s the verification process before submitting it. The program wants driver’s license numbers for my wife and myself, issue dates, expiration dates, last year’s AGI, and signature PIN numbers for both of us. Since I’ve retired and get pension income, I had to enter data from every line on the 1099R statement I get from the pension provider. If E-filing is supposed to be fast and easy, then I’m the Man in the Moon. But I’m too cheap to buy TurboTax or hire an accountant.
And I still have to do the state return.

Does anyone else do it themselves?

Millions should switch to paper returns. With the increase in standard deductions, itemizing is relevant for far fewer.

In 2020 the standard deduction is $12,400 for single filers and married filing separately, $24,800 for married filing jointly.

So your itemized deductions must total higher than those amounts to be usable in any way. If you took the standard deduction last year, odds are extremely small that your charity giving topped $12,400 this last year. Just use the simplest form available.

 

[seeking.IAM]

...however, we do have to wait longer for our refund but we put it towards child's college fund

That is such a smart use of a refund. I wish I would have thought of that.

 

[Oompa Loompa]

I spent a good hour on the laptop yesterday doing the E-file for our 1040. And this was after several more hours over the previous 3 days, doing it first on paper. Once all the tax data is entered, then there’s the verification process before submitting it. The program wants driver’s license numbers for my wife and myself, issue dates, expiration dates, last year’s AGI, and signature PIN numbers for both of us. Since I’ve retired and get pension income, I had to enter data from every line on the 1099R statement I get from the pension provider. If E-filing is supposed to be fast and easy, then I’m the Man in the Moon. But I’m too cheap to buy TurboTax or hire an accountant.
And I still have to do the state return.

Does anyone else do it themselves?

I have used TurboTax to file my own taxes every year since 2007.

 

[Michie]

We have friends that own their own accounting/tax business. We always have them do ours.

 

[mama2one]

just checked usps.com

federal taxes still not delivered! it's been 13 days!

 

[MehGuy]

Been doing them myself although last year I sent them to an accountant.. plan to do the same this year. Just too much of a headache.

 

[OldWiseGuy]

I download and print the paper forms (three) from the government sites, fill in the forms in pencil, print out copies to Fed and State, hand-write signature and date (required), write the checks. Takes about an hour.

 

[mama2one]

That is such a smart use of a refund. I wish I would have thought of that.

after we became parents, first tax refund was good with adoption tax credit
we add tax refunds yearly & money like b'day gifts

college fund up to $45,000 so far & all painless

 

[seeking.IAM]

after we became parents, first tax refund was good with adoption tax credit
we add tax refunds yearly & money like b'day gifts

college fund up to $45,000 so far & all painless

Brilliant. That's much better than working two jobs like I did.

 

[Rajni]

I spent a good hour on the laptop yesterday doing the E-file for our 1040. And this was after several more hours over the previous 3 days, doing it first on paper. Once all the tax data is entered, then there’s the verification process before submitting it. The program wants driver’s license numbers for my wife and myself, issue dates, expiration dates, last year’s AGI, and signature PIN numbers for both of us. Since I’ve retired and get pension income, I had to enter data from every line on the 1099R statement I get from the pension provider. If E-filing is supposed to be fast and easy, then I’m the Man in the Moon. But I’m too cheap to buy TurboTax or hire an accountant.
And I still have to do the state return.

Does anyone else do it themselves?

I did my own taxes one year and it was a mistake. Of course, it didn't
help that the year for which I chose to do my own taxes was the same
year I had both sold and bought real estate. I messed up somewhere
along the way and the results were scary. It all worked out in the end,
but I'm not doing that again. Leaving it to the pros.

-

 

[mama2one]

year I had both sold and bought real estate. I messed up somewhere along the way

have never missed a deadline UNTIL the 2019 taxes
we also bought & sold a house that year & I procrastinated so much they're still not done...uggh

mailed 2020 fed & as soon as 2020 state/city taxes done, will have to tackle 2019