Q&A of the Week May 31, 2023

Question

What are the benefits of starting to plan now for my 2023 tax return?

Answer

When you start your tax planning early, you make it easier on yourself when you go to file your tax return - and you have more opportunities to save money. 

Here are a few considerations for your planning that could lead to money saved:

• Determine your tax bracket

• Understand tax credits versus tax deductions

• Decide if you will itemize or take the standard deduction

• Make contributions to a retirement plan

Being proactive gives you more time to figure out the different variables and what you can do to decrease your tax liability. We always recommend speaking with a tax professional.