Starting A Side Business To Help Your Teen Pay For College? Find A Tax Prep Expert To Help First
Posted on: 28 June 2023
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If thoughts of paying for your child to go to college are overwhelming you, and you've started a side hustle to pay for the future burden, take the time to meet with a tax professional. You should be able to get a free consultation to find out how much their services will cost and how this may be able to help you later on.
You don't want to end up owing so much in taxes that the work isn't worth the effort. You also don't want to have tax complications at the end of the year. Here are some indications that it's time to find someone to help you with tax preparation.
You Have a Side Business
You want to make sure that you are paying as little in taxes as you can, and that you're making the right tax moves during the year. This means knowing what you can deduct at the end, what you should be putting away monthly, and how to claim your income properly. If you have started a side business, you want to talk with a tax accountant before you start making extra money to be prepared.
You're Prepping for a Child to Go to College
There is a lot that goes into applying for financial aid when it's time for your teen to go to college. A tax accountant can help you make sure that you don't have anything in your child's name that will hurt them when it comes to getting financial assistance. There are a lot of things that FASFA will look at, and you want to be sure that you are putting money into the right accounts, and under the right titles, to get the most financial aid possible.
You Aren't Planning for the Future
If you haven't started planning for retirement and for your financial future, then a tax preparer can help guide you on what accounts you can open to put money away. This is based on what types of accounts you can invest in without tax penalties, and where you can invest to save on paying taxes.
Trying to make extra money so you can help your child pay for college in the near future is important, but doing it the right way so you aren't taxed heavily is crucial. Find someone in your area that does tax prep so they can help you with all these important decisions today.