It is February 12th and I have just begun to assemble the documents and comb through my records looking for stray items that could be deducted. The same records which I make a vow to do better at keeping the next year so I don't have to spend days looking. Usually a promise I make as soon as the previous years taxes are filed and forgotten about just as quickly.
I am genuinely scared of my taxes this year. I knew the task would be daunting, I just didn't expect it to be so overwhelming. This is what I am facing:
- state filings in two states
- sale of a home
- moving/relocation expenses
- job finding expenses
- work related expenses that we've never had before
- 3 W2's
- 4 1099's
- 3 1098's
- cash charitable donations
- non-cash charitable donations
- and something I probably haven't even thought of, or found, yet.
This year I am going to have to call in the big guns and hire a professional. I don't think me and my computer are up to the task. There are too many things that can go wrong and I am terrified. Almost to the point where I am paralyzed!
Yesterday I spent most of the day with a highlighter in hand combing bank statements and asking questions like "what did you go to Atlanta for again?" And on the phone with our mortgage company tracking down tax forms that were mailed to our old address even though I know we gave them a forwarding address.
I think we have come to the end of an era: when our taxes were easy to prepare and refunds certain. This year I have no idea how the numbers are going to shake out. I am praying for a break-even scenario, but bracing myself for the worst. I hope I am wrong.
How are your tax preparations going for the year? Still have about 62 days left to figure it all out. In the meantime I had better find someone fast! If for no other reason so I can be put out of my misery and know already.
Welcome to OUR world!! :) I remember being so impressed with you last year when you said you were doing your own taxes! I could never do ours. They are incredibly convoluted. We go to the professionals.
ReplyDeleteI spent over 5 hours going through just his travel receipts for last year. Then I went back over our credit card bill to make sure he hadn't forgotten anything. Well, he did forget about other charges and I spent another 2 hours "dialing for dollars" via our cc statements.
Last year they were easy! W2, mortgage interest, charitable donations... piece of cake. This year I am going nuts and won't even attempt it. And next year - forget about it.
DeleteNow you're speaking my language! :) As a tax accountant, I can say that all those things can make your tax return really complicated - even the professionals might have to scratch their heads for a minute! I cannot wait to gain the knowledge and experience to help other doctors and their families sort out their taxes in the future. Good luck!
ReplyDeleteI wish I knew that language, it would sure come in handy right now! I just wish I knew exactly what I needed to get in order, and reading the IRS website is not very helpful. I am sure there is a market for specialized tax accountants, you might be on to something.
DeleteI vote you splurge on an accountant this year. We found someone who specializes in accounting for docs when my husband was in residency and we've been using her ever since. She's great cause she has also advised on how tI handle stuff during the year to reduce our tax liability overall. The lawyer who reviewed your hudband's contract could probably refer someone.
ReplyDeleteThank you for the suggestion. It would be nice to have a lasting relationship with someone who knows what they are doing! I didn't even think of contacting the attorney. I will start there!
DeleteI hate tax season...the part about getting a mini refund doesn't even excite me because Im with you...its so stressful. Definitely time to bring a professional! Good luck!
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