Tax return season is always a time of the year that you can receive an unexpected boost to your income. Tax season is always a trying time for all concerned, especially if you are self-employed. Hours upon hours of time are spent organising all of your receipts, revenues and expenses in order to complete your tax returns for the year. When you have paid all of the tax that you owe, it can generally be quiet a large sum. Therefore, it is nice to regain some of this hard earned money back in the form of a tax refund.
Whether you use this money to pay some of your bills, add to your savings or to treat yourself to something nice, everyone wants to maximise the amount of tax they get refunded. In this day and age, there are even certain tools that you can use to try and accurately estimate the size of your incoming tax refund, which allows you to plan your spending accordingly and plan well in advance.
Here is some advice that you should keep in mind when it comes to maximising the size of your tax refund in the future.
Increase your withholdings
When you first start working in a job, you are required to fill out a W-4 IRS form, The reason you fill out this form is to determine how much of your periodic pay check is withheld to be paid towards your income tax obligations. This final figure is based on the amount of exemptions on which you are entitled to claim. When you claim more exemptions, you will have a less amount of money that is withheld for tax purposes.
If you are in the position where you want to maximise the size of your refund, you should go to the human resources department of your company and ask them to make a change to your W-4 form. By reducing the amount of exemptions on the form, the amount that is withheld from each and every pay check will be larger. This means that in turn your tax refund will also be larger. You do need to check your company’s policy as some places only allow you to make changes to the form during a certain period in time.
Remove any and all donations
If you make charitable donations, you can avail substantial savings when it comes to your taxes, at the same time as helping out a great cause. This makes a big and profitable difference when it comes to your refund. Any and all forms of charitable donations are able to be made as tax deductions and will decrease the size of your tax bill. There are a few restrictions that you do need to keep in mind. For example, the organisation needs to have the appropriate non-profit tax status called 501 ( C)(3). The majority of organisations will clearly state on their websites or on their literature whether or not they have this status.
Do you love chocolates? There is a big chance that you love eating chocolates but you have never given some thought as to how you can produce your own chocolate that you can probably start to give as gifts to other people and when you finally have the budget for it, this may even become your very own business.
Starting out businesses can always be exciting for a lot of people. They know that if their business becomes successful, they do not need to work for another office or company anymore because they can be their own boss. Still, starting out a business would require people to release a huge amount of money and this is of course, something that some people are not prepared to do just yet. If you are having trouble with this, what you can do is make use of SMSF or your self-managed super fund. You only need a small amount of money to start and your investments may already grow big. When you have enough funds, you can already start your own business so you can have what you have always wanted.
Now that you already have the funds, you have to know how you can make your business effective. Do you think you know how you will be able to do that? Here are some of the things that you have to remember:
- Get to know what is being offered by other chocolate businesses right now.
In order to stand out from all the other businesses who sell the same thing, you need to make sure that you will offer something that is unique. You may have stumbled upon something that no one has ever tried before but you would like to check if somehow, it has already been done by other businesses. You may also gauge your competitors by checking them out.
- Remember that you should have a theme for your chocolates.
A lot of people love hearing stories and they would love to hear stories about your chocolate business as well. There is a big chance that they would be more inclined to purchase your chocolates if you make them feel good about purchasing your chocolates. Of course, after the initial promotion, people will keep coming back for your chocolates if they love the way that your chocolate tastes like.
- Complete all the necessary requirements.
No matter how good your products are, people will not purchase from you if you are selling your products illegally. Work on making your business legal by registering your business. Make sure that you will complete all of the legal documents and you can be sure that you do not have to worry about anything else at all. Your space or where you are going to sell would have to be checked by health representatives too to determine if you would be able to produce good quality products.
Now that you already know the various steps in creating your very own chocolate business, do your research now and do your best to have the best business ever.