Free From Broke

A Personal Finance Blog for Regular Folks

What You Need to Know About Taxes

Most people don't enjoy paying taxes. But the more we know about them the better we can plan for them. Articles here contain information on new tax rules as well as how to save and plan for your taxes.

Tools to Help Organize Your Taxes

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When you’re down to the wire at tax time, organization is your best friend.

Your best option is to stay organized year round so that you aren’t scrambling at tax time. There’s not much worse than trying to find a tax document right before you file your taxes or head to the accountant.

Whether you are trying to get organized at the last minute, or whether you are looking to stay on top of your taxes the whole year, there are tools to help you.

Read on and you’ll see how easy it can be to keep track of your tax documents throughout the year. Looking for misplaced tax docs is not a stress you need to have!

Here are 5 Great Tools to Help You Organize Your Taxes

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How to Spend Your Income Tax Refund – 25 Ideas

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Are you getting a big IRS income tax refund?

It’s always nice to get a nice chunk of change coming back to you, isn’t it?

But what will you be doing with your income tax refund?

I’m not always fond of looking forward to a large refund but they do happen and I know some people love getting them.  If you are getting a large income tax refund then at least put some thought into how you are going to use that money.

Having money in the bank is a great thing and when it’s a sizable amount you can really make some differences with your finances.

I came up with some ideas for a large income tax refund. 

I’ve broken it out into different sections to make it easier for you to find something of interest.  Make sure to read through to the end and add your suggestion in the comments!

25 Ideas for Your Income Tax Refund

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Where’s My Tax Refund? How to Check the Status of Your Tax Refund

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When you are expecting a tax refund, it is normal to file a little bit early.

The very next thing you say once you file is “where’s my refund?”  We can’t wait to get that money owed to us.

Indeed, many people have already received their tax refunds.

When you get your tax refund depends on two main factors:

  1. How you filed (mail or e-file)
  2. How you receive your refund (paper check or direct deposit)

If you mail in your tax return and opt to receive your refund in the form of a check from the United States Treasury, it can take as long as two months or more to see your tax rebate.

This is the combination that takes the longest.
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What is a Refund Anticipation Loan (RAL) and is it Worth It?

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It’s tax season again, and if you’re expecting a tax refund you’ll probably want to get your hands on it as soon as possible.

In the past, taxpayers had to wait weeks upon weeks to receive a paper refund check from the IRS, but people sought a faster alternative.

The answer for millions has been the refund anticipation loan.

This option is offered by some tax preparation firms and is essentially a short-term loan taken out against your anticipated tax refund.

How a Refund Anticipation Loan Works

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Paying Taxes with a Credit Card: Pros and Cons

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Are you thinking of paying taxes with a credit card?

The thought of clearing a debt with the IRS in one fell swoop is certainly appealing, and if your credit rating is not in good standing in order to obtain a bank loan, that credit card can sure look good.

But is using a credit card to pay taxes a wise decision?

Before we explore the pros and cons of paying taxes with a credit card, let’s examine paying taxes through an installment agreement with the IRS.

First things first, contacting the IRS and working out an installment agreement is one possible option to manage your debt.  Complete the IRS Installment Agreement Request Form 9465.  If you owe $25,000 or less this process can be completed online.  The IRS may allow you up to 60 months to pay your tax debt.  Within 30 days, the IRS should let you know if your request has been approved and what you will be required to pay.
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