I hate doing my taxes!

[DisneyDayTripper]

Every year I always forget how much I hate doing my taxes...my wife and I paid in way more than we thought we would need to and when I'm going through on TurboTax's free online edition it states we're going to owe $400...if I put my wife's info in first it states we'll get back $600....does this make any sense?

Anyone else had any troubles this year with doing their taxes on their own? I didn't know if it was because of that whole working credit stimulus thing that Obama did or what, but we thought we put in the difference in case we had to pay that back.

 

[golfgal]

There is something goofy with the online version this year. I think it just isn't fully updated yet-which is common until about mid-Feb or so with all the changing laws/forms, etc. I started using that and every time I opened it up it showed me different numbers. I just got done doing mine on the real version and those numbers are different from the online version . I went to compare the actual form but you can't open the forms on the online version until you pay so I don't know what the difference would be.

 

[DisneyDayTripper]

There is something goofy with the online version this year. I think it just isn't fully updated yet-which is common until about mid-Feb or so with all the changing laws/forms, etc. I started using that and every time I opened it up it showed me different numbers. I just got done doing mine on the real version and those numbers are different from the online version . I went to compare the actual form but you can't open the forms on the online version until you pay so I don't know what the difference would be.

We're trying to figure out if we should take them to someone to get done or if we should just buy the real version. We have pretty basic tax stuff because we're 24 years old and don't have any investments and only deductions we have are our student loan interest. Did you find the real version to be more of what you were expecting?

 

[monarchsfan16]

This is kind of sounding like an issue with the "making work pay" tax crap...I mean, tax credit. At work are you both listed as "married, filing jointly"? If so, did you adjust your withholding to account for the tax credit? Basically each couple is entitled to an up to $800 (I think) credit, but each person who files their W4 as married filing jointly was supposed to get that amount extra in their paycheck over the course of the year (to account for couples where only one spouse works). So couples where both spouses work, and file that way, without adjusting their withholding ended up with more money than they were supposed to.

 

[golfgal]

We're trying to figure out if we should take them to someone to get done or if we should just buy the real version. We have pretty basic tax stuff because we're 24 years old and don't have any investments and only deductions we have are our student loan interest. Did you find the real version to be more of what you were expecting?

I have used the real version for years and never had a problem. I put all my info into the online just to get an idea of what we would be getting back and to put preliminary info into before we got any of our real tax documents.

For what you have it isn't worth the money to get your taxes prepared by anyone. Get the basic Turbo Tax and use that--it pretty much pays for itself with the free e-files anyway. You can also deduct the cost on your taxes next year if you itemize but it doesn't sound like it will be worth itemizing for you. Just make sure you update the program every few days and I wouldn't e-file much before the middle of Feb because it usually takes that long for all the updates to be ready. If you e-file and have your refund direct deposited you get your refund back in about a week vs mailing it which can take months.

 

[DisneyDayTripper]

I have used the real version for years and never had a problem. I put all my info into the online just to get an idea of what we would be getting back and to put preliminary info into before we got any of our real tax documents.

For what you have it isn't worth the money to get your taxes prepared by anyone. Get the basic Turbo Tax and use that--it pretty much pays for itself with the free e-files anyway. You can also deduct the cost on your taxes next year if you itemize but it doesn't sound like it will be worth itemizing for you. Just make sure you update the program every few days and I wouldn't e-file much before the middle of Feb because it usually takes that long for all the updates to be ready. If you e-file and have your refund direct deposited you get your refund back in about a week vs mailing it which can take months.

We used the real software last year and loved it...I just didn't know if I'd get the same result and spend $30 or whatever it is on the software when I could just file it for free and put that towards the money we'll owe. I found some stuff online and it stated we fall in the 10% tax bracket and when I look at what taxes were withheld it is just shy of 10% so I'm assuming it is right and that we'll owe $55, which sucks because I thought we had adjusted and taken out enough to make up the difference from the tax crap Obama did.

 

[KristaTX]

The "making work pay" thing threw me off this year, too. I wonder how much it cost the government to develop and implement that brilliantly confusing program . I've looked it up in numerous places, and I still can't figure out any worthwhile reason for it other than to confuse people. I know there was some warning about it early in the year, but did they actually make employers change every American's W-4 information? After the "making work pay" program is over, is the W-4 information supposed to automatically go back to how we had it set before? Am I just misunderstanding it? I liked how we had ours set, and I didn't spend any more money than I would have anyway .

But I guess I won't complain too much. Everyone supposedly got more on their paychecks, so I guess we must have. But now we as a couple get an $800 credit at tax time . That's how it's coming out for us, and I've double and triple checked it with two different softwares (H&R Block at Home and TaxAct).

 

[golfgal]

We used the real software last year and loved it...I just didn't know if I'd get the same result and spend $30 or whatever it is on the software when I could just file it for free and put that towards the money we'll owe. I found some stuff online and it stated we fall in the 10% tax bracket and when I look at what taxes were withheld it is just shy of 10% so I'm assuming it is right and that we'll owe $55, which sucks because I thought we had adjusted and taken out enough to make up the difference from the tax crap Obama did.

Actually, any time you can get your refund/owing amount under $200 you have done things right. Keep in mind that the online versions don't include the free state or e-file so it ends up costing the same getting the online version or the real version (which you can just download-you don't need the CD). The features in the real version are so much better that it is worth doing that to prepare your taxes.

 

[KramBerries]

...Everyone supposedly got more on their paychecks, so I guess we must have...

Not everyone. My understanding is that you don't get it you are a working dependent, a non-wage earner (retired, disabled, unemployed), or earn too much (we certainly don't want to make work pay too much). That's how I read it. As has been said, though, it's quite confusing.

I also saw lots of warnings about how dual income families could get into trouble because they're withholding will drop for both jobs because each will assume the credit in the tax calculations. Because the credit is shared by the couple, it's likely that they will have had too much taken out.

 

[KramBerries]

I also hate doing my taxes. Mine are anything but simple. In order to minimize them, I've had to learn about traditional IRAs, non-deductible IRAs, Roth IRAs, 401Ks, Roth 401Ks, HSAs, FSAs, 529 plans (both pre-paid and savings), Coverdell ESAs, and annuities as ways to shelter money from taxes. Then there are considerations like short term vs long term capital gains, wash sales, average cost vs specified lots, paying property taxes every year or every other year, and a host of other tax optimizing techniques. Then there are all the stupid phase outs for the various credits and deductions. And don't forget the AMT! Why can't they make it simple?

 

[DisneyDayTripper]

Actually, any time you can get your refund/owing amount under $200 you have done things right. Keep in mind that the online versions don't include the free state or e-file so it ends up costing the same getting the online version or the real version (which you can just download-you don't need the CD). The features in the real version are so much better that it is worth doing that to prepare your taxes.

We're in Florida...no state income tax

Thank you all you tourists haha

 

[carj]

as another who hates to do their taxes! It seems like every year, we have something that makes it really different from the year before. (Child care, then no child care, collge tuition, then no college tuition, and income changes make it hard for me to plan.)

I entered almost all of our information last night and we owe right around $1100. I knew when the stupid "making work pay" thing took effect, it was going to be weird this year. We try to make it so that we come out exactly right at tax time. I definitely missed the mark this year.

Still, I can't complain. We had a great year and I feel fortunate that we are ABLE to pay our taxes.

I am going to change my withholding in April, that should make it all work out for next year. (I hope!) If not, you will see me here growling about my mistakes next January!

 

[KramBerries]

We're in Florida...no state income tax

Thank you all you tourists haha

No state income tax here in Texas either.

 

[GeorgeG]

Florida won't let New York tax my pension, either.

 

[jekajekalynn]

Count me in...but not cause of filing them out, but because my employer waits till the last darn minute to mail out w-2s..

Our taxes are slightly more complicated because we are in a different tax bracket now, but according to the calculations on turbotax we should be getting a NICE refund this year... savings and a trip to WDW here we come.

 

[KramBerries]

Florida won't let New York tax my pension, either.

That's sweet. I'm still bitter from having earned stock options in a state with no income tax and then exercising them in a state with an income tax. The greedy state that I moved to took a chunk of the money I earned in a different state.

Count me in...but not cause of filing them out, but because my employer waits till the last darn minute to mail out w-2s..

Our taxes are slightly more complicated because we are in a different tax bracket now, but according to the calculations on turbotax we should be getting a NICE refund this year... savings and a trip to WDW here we come.

I use my final paystub to calculate what my W-2 is going to say. I wouldn't file based on the estimate, but it's close enough to calculate.

I'm in for a whopper of a return this year because I didn't recalculate after making some changes. I shifted from using a Roth 401K to a traditional 401K. I also changed from a normal health insurance plan to an HDHP with an HSA. Also, our "town" changed its governance model, so my HOA fees are now property taxes and are deductible. Those three changes will result in my taxes being about $7,500 less this year, which should make for a healthy tax return. I made some significant W-4 changes for 2010. I hate loaning anyone money without getting a reasonable return.