Finance Gets Personal

On Friday, we received our $1,500 economic stimulus payment and a $213 state tax refund.

So, being proud Americans, we spent $3,467 on a new heat pump and $674 on a new hot water heater before the deposits even had a chance to hit the bank.

No need to thank us, America. We’re just doing our part to save the country…and not bake to death this summer…and have a hot shower that lasts more than five minutes…

Photo Credit: Be Patriotic or Else by Mike Licht, used under Creative Commons licensing

I was so proud of myself last year.

In 2007, my big, fat federal refund was in my checking account by February 15. It was the first time I hadn’t waited until April to do my taxes. Believe me, I know where the city’s post office that’s open ’til midnight on April 15 is.

This year…not so much. Once I figured out how much I owed/was getting back, I put my taxes in a pile on the floor until April 13. And you know how that went…

So, boys and girls, it’s time to get organized for next year’s taxes. It’s actually really easy (or, at least according to my definition of “organized.”)

Step One: Find a manila folder, basket, cookie tin, etc., and label it “2007 Taxes.”

Step Two: Put all your tax-related receipts in it as you acquire them. Look at your 2006 tax return to see what you had - receipts for charitable donations, medical expenses, mileage…you get the point. Then put your highly efficient organization system somewhere that’s easily accessible so you will actually use it.

Step Three: Set a date to do your taxes. Yes, right now. Employers are required to send out W2s by January 31, and my Outlook calendar says I’m free on February 9, 2009, so I’m going to make an appointment to start my taxes that day. I’ll set a reminder for the following week to finish up. Voila! Right?

(This post was included in the Carnival of Personal Finance, hosted at The Happy Rock.)

Ah, done at last…until we’re audited, that is.

Actually, I think we did our taxes correctly.  We finished last night after work and I even had enough time to watch Desperate Housewives before I went to bed. 

It’s such a good feeling to be done!  We didn’t pay any money, and, instead of owing $1,000, we’re getting a net refund of about $200 - enough to pay for the sump pump we had to buy this weekend.

Perfecto!

Photo Credit: let go by dlemieux, used under Creative Commons licensing

Sorry my posts have been a little irregular lately, but I haven’t been eating my Activa have been trying to finish my taxes. 

I thought I was almost done, but it turns out I hadn’t started the state forms (I have to file two state tax returns since I live in one state and work in another).  Also, I screwed up the federal return, so we started over last night.  At 2 a.m., I was basically begging my husband to let me push the button on TurboTax online to file everything for $170 or whatever it would end up being, instead of trying to transfer everything to paper (you see, we’re being cheap and doing it in TurboTax online - which is free until you hit the magic button - and transferring it to paper forms and mailing it in…this is a pain because you can’t see the actual forms in the program).

Of course, our paper results and TurboTax’s aren’t matching for the states, but we think we are the ones doing it right.  Oh God, what have I gotten myself into?  Hopefully we’ll figure it out tonight.  I’ve stopped talking about it at the office, because everyone uses an accountant and is like, “It’s totally worth it, and I don’t have to worry if it’s right or not!”  Screw you guys.

The good news is we’re going to come out slightly ahead instead of owing $1,000 (I think). 

If you haven’t filed yet, you probably aren’t reading blogs right now, but good luck!  We can do this!

Photo Credit: stress by vidrio, used under Creative Commons licensing