Make Tax Time Less Taxing – 3 Simple Steps to Organizing your Files » Mortgage Marketing & Lead Generation Blog

JC Kiadii, Mortgage Internet Marketing and
Virtual Assistance Services .
770-469-7385.

Picture this. It’s a week before taxes are due and someone is
desperately digging
through boxes, looking for old credit card statements, telephone bills,
check stubs, [ANYTHING!] in a last-ditch attempt to find every single
scrap of deductible
paper before tomorrow’s visit to the tax
accountant. Sound familiar? If so, you are not alone.

This simple, practical system
will help you organize your receipts so
that your next tax time will be a breeze.

What you need

Your most recent tax
returns.
A box of hanging file
folders.
A box of manila file
folders.
A set of labels.
A marker or label maker.

The Steps

Step
1 – Label a hanging file folder for each revenue or expense
item on your tax returns.
For example, if you hired
someone to create your marketing materials
last year, there’s a good chance you were able to deduct that
expense. If this is the case, create a “Marketing”
or
“Advertising” folder. You may also end up
with folders for Charity,
Mileage/Auto
Expenses, etc
.
Step
2 – Label a manila file folder
for each month or quarter
(your choice) and place it in each hanging folder. So, for
example, you may have manila folder labeled Charity
- 1Q10.
Step
3 – File your receipts and supporting items in the appropriate folder.
In this
case, all your receipts for ads, marketing materials, etc., would go in
the “Advertising” folder for the appropriate month
or
quarter.

Place these folders in a separate, easily accessible place. For
example, you may want to dedicate an easy
to reach file cabinet drawer to
these folders.

At tax time,
take the files to your tax preparer. To lower your tax
preparation fees, subtotal the amounts in each category.
When your tax returns are done, file them with the folders.
That way, you have all of your supporting documentation in one place if
you ever need them.

Trust me, your accountant will love you.

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