Tax Time: How to use it to your advantage

It is the time of year that everyone looks forward to. The time of year when you have to collect numerous tax documents, schedule a meeting with a tax accountant and then worry if you are going to have to pay or not…

February 1 – March 15: If your file your taxes and book a service plan with PA 4 Finance, we will offer a 15% discount plan for PA 4 Finance’s services. Click here to Learn More

Truly, this should be an exciting time of year. It gives you the opportunity to understand how much your hard work has paid off. AND, it explains where all your money is going. Sure, paying taxes is not something that makes any of us happy.

Remember, you cannot avoid death and taxes! So, take a minute and think about how tax season can benefit you.

  1. COVID has eliminated the need for face-to-face meetings with your tax advisor. There are many platforms available to virtually meet your financial advisor, securely upload the necessary documents and communicate all the way down to the final payment and/or refund check.

  2. There is a benefit to understanding where you are being taxed. Some PAs have just one source of income. Understanding your tax rate and how you could potentially lower your taxable income is valuable information for your future. Not only will this decrease your taxes to be paid but you will also be investing in your future! For those who have multiple streams of income with varying tax forms (Ex…1040, 1099, 1041, Schedule K-1, 5498, 1031 exchanges) on their tax return, there are typically perfectly legal tax deductions and credits to lower the amount of taxes to be paid AND result into tax advantages.

  3. Your tax returns can enumerate flaws you may not have been aware of. This is actually not a bad thing. Many of us get caught up in life and just go through the motions. While going through the motions can be the easy way, generally it is not the best way. To become a PA and be an efficient, altruistic, trustworthy practicing health care provider, you have dedicated several years of your life and many hours of your day to patient care. It is easy to lose track of where all your money is going and not understand how to fix it. Weeks, months and years can go by quickly and without realizing it, you may have lost thousands of dollars year after year…

DIY Approach to Taxes

Sometimes your taxes are simple enough to do on your own. For example, if you are single and have a single income (1040 Form). Or, if you are married, filing jointly and both of you have only one income, it may be in your best interest to file your taxes on your own.

If you are not concerned about other tax deductions and/or credits that may be available to you, you may be able to file your own return.

Some of the most trusted, individual tax filing companies are:

· TurboTax

· RamseySmartTax

Most of the time, however, your income, debt, taxes and overall financial situation are a maze. You are better off hiring someone who knows how to navigate through all the noise.

In any event, you will want to be organized, click here to join our list and get a FREE COPY of The PA's Personal Tax Checklist.

How PA 4 Finance’s trusted Tax Advisor can serve you

PA 4 Finance is dedicated to improving the well-being of all Physician Assistants and all those working to become Physician Assistants. Our primary focuses are financial advising, financial planning and tax services.

Our financial expert, Andrew Baker, is a board-certified Physician Assistant with many years of finance background and a Masters of Business Administration. We have teamed up with a Certified Public Accountant (CPA) to help PAs minimize their tax payments and optimize their earnings.

  • Get peace of mind and protection with an accurate tax filing.

  • Help adjust your withholdings – get your refund close to $0 and enjoy more accurate paychecks.

  • Unlike seasonal tax advisors, we can help all year. We won’t disappear after April. When life changes affect your taxes, we are here to help.

  • Experience you can trust – our team has more than 20 years of experience in personal finance, accounting and taxes.

What should you expect from your Tax Advisor?

  • An accurate filing.

  • Every tax deduction and tax credit you deserve.

  • A teacher who will explain complicated tax rules and how to legally maneuver them.

  • An expert who can sort out mistakes you made in the past.

The average cost for a basic tax form preparation is about $176. That fee covers a standard 1040 and state return with no itemized deductions. If you need to itemize deductions and file a Schedule C form in addition to your basic 1040, the average cost is around $450. Tax professionals usually function at an hourly rate.

Here are examples of standard tax filing fees:

  • $273 for a Form 1040 with a Schedule A and state return

  • $176 for a Form 1040 (non-itemized) and state return

  • $184 for a Form 1040 Schedule C (business)

  • $124 for Schedule D (gains and losses)

  • $135 for Schedule E (rental)

  • $180 for Schedule F (farm)

Feel your blood pressure rising? Don't go it alone!

Comprehensive financial and tax services are offered by our experts to ensure you make the most out of your hard-earned money!

February 1 – March 15: If your file your taxes and book a service plan with PA 4 Finance, we will offer a 15% discount for all PA 4 Finance’s services. Click here to Learn More

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