Get Ready for Next Year's Taxes

With the tax season already behind us (almost!), here are a few suggestions I have to make next year's preparations a bit easier.

1. Get a large shoe box and place in a prominent location (bedroom closet works for me.) Place EVERY bank statement, reciepts from deductible items (such as medications, day care, etc.) and other items you'll need at tax time (use envelopes to assist in sorting if necessary.)
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2. Develop a HABIT of placing the items in the box at the end of the day (I put them in my laundry basket so they actually GO up to the bedroom for storage periodically.)
3. Begin saving for your IRA NOW! Set aside a small amount from each paycheck (I save 10% of my pay and it is the second check I write after my tithe to my church) IRA contributions for 2006 are $4000 (or $77 per week) if you are under 50 and $5000 ( or $96 per week)if you are over 50. When you have accumulated the total amount, get it deposited into your IRA. If you aren't able to save the full amount by April 15th, deposit what you have! After all, you aren't getting any younger!

Happy Tax Season!

By Diana