Author: Tammy Doss
As we find ourselves in mid-year 2023, it's a great opportunity to reflect on the first six months and jump into action. Yes, income taxes come around every year, and now is the perfect time to plan!
Here's a chance to review where you will stand at the end of the year. It might be the right moment to consult your tax professional for advice or do a little calculating on your own.
REMINDER: If too many taxes are deducted from your paycheck by the IRS or the State of California, they hold your tax money and earn interest on it before returning it to you when you file your tax return and receive a refund. The government is getting the benefit of the interest you could have earned if you had put your money into a savings account. So, manage your money wisely!
Are you deducting enough taxes or too much from your paycheck?
Are you saving anything?
Have you considered a holiday savings account?
You have the ability to change your W-4 (IRS withholding document) and/or your DE4 (State of California withholding document) at any time. Simply complete the form, submit it to a Job Shop representative, and your changes will be reflected in the next payroll. Consider these additional factors:
Marriage or divorce this year?
Childbirth or adoption?
Caretaking for an adult family member?
Starting a 529 Plan for your children?
These items can affect your withholding options, and consulting a tax expert is always beneficial due to the complexity of these issues.
If you feel you're withholding too much or too little, make the change now. Be prepared at year-end to file your taxes without owing money that you haven't set aside.
Have you considered a savings account for emergencies or special occasions? The Job Shop offers direct deposit, allowing you to allocate part of your net check to both checking and savings. Even small amounts can add up quickly for things like emergency auto repairs or holiday gifts.
Make these small changes to ease your financial life come April 15, 2024! Understand that you are the best person to manage your own finances and plan ahead.
You can request new tax forms at any time. Once you're confident that your changes (or lack of changes) are complete, take the time to explore the opportunities that the Job Shop can offer. Whether you're looking to find the perfect job or update your current position, we're here for you.
Wishing you all a wonderful summer and successful financial planning!