Latest News

Tips for Organizing Your Financial Records While Preparing Your Taxes in New York

by | 10 February, 2023 | Blog

Tax season can be a stressful time, especially if you are not prepared. To help make the process a bit easier and less overwhelming, it’s best to organize your financial records before filing taxes in New York. Here are a few tips to get you started:

1. Make Sure All of Your Documents are Up-To-Date

Gather together recent pay stubs, banking statements, investment records, bills, and other relevant income-related documents for the past year. This will make it easier to reference when preparing your tax returns. In addition to gathering financial documents, you should also look for any deductions or tax credits for which you may be eligible. Researching eligibility requirements could save you money and reduce the amount of taxes owed.

Additionally, it is wise to double-check that all of your personal information is up-to-date with the Internal Revenue Service (IRS), such as your address, bank account numbers, and Social Security number. Ensure that all of these details are accurate; otherwise, your return may be delayed or denied entirely. It is also beneficial to save copies of all paperwork that you submit with your tax return in case the IRS requests further documentation later on.

Even if you are not required to file a tax return this year due to low income or other circumstances, it would still be prudent to review your documents and keep tabs on any changes in your finances in preparation for the next filing season.

2. Organize Your Documents

Create separate folders or binders for each category of documents such as W2s, 1099s, medical expenses and charitable donations. Doing this will keep everything organized and help you find the information quickly. To make filing easier next year, create a folder specifically designated for tax-related documents—such as receipts, invoices and bank statements—so that everything is already stored in one place when April rolls around again.

This will save time when it comes time to prepare your taxes and also ensure that important paperwork isn’t overlooked or forgotten about. Once all of your documents are organized, it’s a good idea to keep a digital copy of your documents backed up on an external hard drive or cloud storage platform. This will give you peace of mind in knowing that you’ll always have access to your financial information, even if something were to happen to the original copies. Additionally, storing digital copies eliminates the possibility of misplacing physical paperwork during tax season.

3. Hire a Bookkeeping Service

If you are unsure of where to start or need help understanding certain documents, consider hiring a bookkeeping service in New York. A professional bookkeeping firm can provide valuable insights about how best to save and organize your financial documents—which can help simplify the entire tax filing process.

When searching for a bookkeeping firm in New York, it’s important to find one with expertise in both organization and taxation. It’s also helpful to work with a business that has experience working with clients like yourself who need assistance preparing their taxes. The best bookkeeping firms will understand the complexities of New York’s tax laws and be able to provide sound advice and support.

By taking the time to find a professional bookkeeping service, you can be sure that your financial records are organized correctly and filed on time. This can save you money in the long run by minimizing costly mistakes when filing taxes, as well as help reduce stress associated with the entire process. Don’t wait until tax season is upon you; start preparing now! With the help of a qualified bookkeeping firm like Melanin Tax Solutions, organizing your financial records for tax preparation can be a breeze.

Get Your Taxes Done with Melanin Tax Solutions

Melanin Tax Solutions specializes in providing bookkeeping services in New York to individuals and small business owners. With years of successful experience behind us, we will make sure you are well taken care of.

Our tax planning attorneys can help you get your finances in perfect order before tax season arrives. Contact us today at (347) 943-6772.