Why Tax Time is a Great Time for a Financial Review

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For the majority of folks who file taxes, it’s now crunch time. Between January and the filing deadline in April (for the majority of filers), we will all be hit with W-2s, 1099s, 1095-Bs, 1098s, annual giving statements, investment statements, and many other forms. All the statements arriving by post and online can be overwhelming.

This can also be a benefit. It’s around tax time that people focus on their financial situation. With all of the forms arriving, it’s a good time to organize and take stock of your situation and schedule a meeting with your financial planner. Here are a few things you can do.

Organize and setup your filing system for the current tax year! While you are receiving all of last year’s tax documents, go ahead and make files for the current tax year. That way, as you accumulate tax documents during the current year, your file is ready. This makes next year’s filing easier.

Identify what you owe and what you own. Tax time is a great time to review and learn about what expenses you have going out monthly and annually. It’s also a great time to take a look at your investment holdings. Most likely you are receiving bank, brokerage, or investment statements so give them some attention.

Make changes if needed. If, for example, you find you owe taxes for the past year, and you owed a similar amount the previous tax filing season, identify why. In many cases, you may simply need to adjust your W-4 withholding allowance through your employer. Early in the year is a good time to do this if you need to have additional taxes withheld.

Schedule time with a Certified Financial Planner™ to get started aligning your goals and resources and putting yourself on-track to a new financial year. The advice can be invaluable and today, CFPs offer a wide range of services and pricing.

Tax time is a great time to meet with your CFP.

Tax time is a great time to meet with your CFP.

Having so many financial documents arriving at one time and preparing to finalize your taxes is a great time for a financial review. You’ll have most of what you need readily available. As an independent Certified Financial Planner™, I can help you focus on your finances month-to-month and not just at tax time. Contact me and let’s get started. #talktometuesday #getstarted #HowIcanHelpYou #GetHelp #Hireaplanner #CFPPro #savemoney #tax #taxtime