We met with our accountant today and I’m happy to report that our taxes are done! We are getting a return of $3,646 back. The IRS hasn’t finalized the tax code for Schedule A yet so we have to wait to actually submit the taxes to the IRS. Regardless, I am happy I have them done and out of the way.
During our visit, our accountant gave us some advice regarding lowering our total taxable income: increase 401(k) contributions to 10 or 15%. We both put away 6% into our funds. Since I’m working on February’s budget, I am going to play around with the numbers and see what increasing the contributions will do to our monthly spending plan. Since we usually only have our W2s and mortgage interest statements, I don’t think there is a whole lot else we can do to lower our taxable income.
Has anyone else done their taxes? Or have advice on lowering our taxable income?