We know โ the April 18th tax deadline has passed and right now youโre thinking, โHallelujah! I can STOP thinking about taxes for a few months!!โย
But before you put this yearโs tax season in the rearview mirror,ย letโs talk about it just one more time, while everything is still fresh in your mind.ย (Trust us โ itโll only take an hour and it will make your tax season next year WAY easier!)
All you need is a Word document, or a pen and a piece of paper, to do this simple brain-dump exercise.ย Ready?
ย First, answer 4 questions this week about this tax season you just finished:
ย (๐ญ) What mistakes did you make in your taxes this year?ย This could include:
ย 
Forgetting to file and pay your quarterly taxes
Sent out your 1099 documents late
Forgot to track your business mileage
Couldnโt find receipts for all of your major expensesย
Donโt you want an easy tax season next year?ย This is a great way to start!
The next question to ask isโฆ
(๐ฎ) What made your taxes more stressful this year? This could include:
Did you DIY your taxes โ and regret it?
Did you procrastinate on your financial paperwork until the very last minute?
Did you hire the cheapest bookkeeper you could find – and realized you got what you paid for?
Did you have to pay fees for late filing or interest penalties?
Jot down all the things you did right and all the things you did wrong to help ease the process next tax season.
Something else to ask yourself as youโre doing your brain dump isโฆ
(๐ฏ) What documents did you need to obtain, or send out this year?ย This could include:
1099 and/or W2 forms to your employees
Health insurance costs and paperwork
Business expense receipts
Financial reports, like a Profit + Loss Report
(๐๐ช๐ฅ๐ฆ ๐ฏ๐ฐ๐ต๐ฆ: ๐ช๐ง ๐บ๐ฐ๐ถ ๐ฅ๐ฐ๐ฏโ๐ต ๐ฉ๐ข๐ท๐ฆ ๐ข ๐ค๐ฆ๐ฏ๐ต๐ณ๐ข๐ญ๐ช๐ป๐ฆ๐ฅ ๐ฑ๐ญ๐ข๐ค๐ฆ ๐ต๐ฐ ๐ด๐ข๐ท๐ฆ ๐ข๐ญ๐ญ ๐บ๐ฐ๐ถ๐ณ ๐ต๐ข๐น ๐ฅ๐ฐ๐ค๐ถ๐ฎ๐ฆ๐ฏ๐ต๐ด ๐ฆ๐ท๐ฆ๐ณ๐บ ๐บ๐ฆ๐ข๐ณ, ๐ด๐ต๐ข๐ณ๐ต ๐ฐ๐ฏ๐ฆ ๐ฏ๐ฐ๐ธ!)
Do you want to be organized for tax season next year?ย Youโre taking the right steps to do so.
The final question to ask yourself when you brain dump your fresh thoughts isโฆ
(๐ฐ) Are you expecting any significant changes next year? ย This could include:
Buying a house
Getting married
Having a baby
Entering a new tax bracket
And thatโs your brain dump! Now, take your answers, and organize it these 5 simple ways:
๐๐๐๐ข๐จ๐ก๐ง๐๐ก๐ง: Write down a list of questions for your accountant
๐๐ข๐๐จ๐ ๐๐ก๐ง๐ฆ: Create a checklist of documents + data youโll need to gather
๐ง๐ข-๐๐ข: Write a to-do list for yourself (with due dates and frequency!)
๐๐ ๐ฃ๐ฅ๐ข๐ฉ๐๐ ๐๐ก๐ง๐ฆ: What could you do differently this year? (Apps to buy, who to hire, etc.)ย
๐๐๐๐๐ก๐๐๐ฅ: Add tax deadlines and other reminders to your business calendar
Ta-da! Easy, right?ย And if you want more helpful information to help you prep for next year, I dropped a link to a helpful blog full of resources in the comments below:
https://bench.co/blog/tax-tips/tax-deadlines/
Hopefully, that helps!ย Now – what about you?ย On a scale of 1-10, how painful was your tax season this year?
Or โฆ does that sound too overwhelming? If so โ no worries! Just reach out.
We LOVE helping our clients get easily prepped for taxes with way less effort (and stress). And Iโd love to help you, too!ย ย www.constructionprofitfirst.com โข info@constructionprofitfirst.com โข (352) 432-8104
