Single Moms: Reduce Your Withholding Today!

If you just got – or are expecting – a large tax refund, you need to make a change right away. Basically, you just got repaid for an interest-free loan to the Federal government. And I know you have better uses for your money than that! Consider this: The average tax refund (for tax year 2015, according to the IRS) was a whopping $3,120. That’s $260 a month, every month, all year, taken out of your paycheck and handed over to the Federal government for no reason. So, single moms, it’s time to stop letting them use your money, because there’s…

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3 Ways You’re LOSING Money By Getting A Big Tax Refund

3 Ways You’re LOSING Money by Getting a Big Tax Refund

Getting a big tax refund seems like a good thing – it’s not. In fact, you actually lose money by giving the Federal government an interest-free loan every year. According to the IRS, the average tax refund is $3,120, which works out to $260 a month. There’s a lot we single moms can do by putting that extra money to work for ourselves. Here we’re going to look at 3 lucrative ways you could be using your money, and figure out the real cost of withholding too much from your paycheck. Turn $3,120 into $315,000 by funding a Roth IRA…

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Don’t Panic If You Can’t Pay Your Taxes!

Don’t Panic If You Can’t Pay Your Taxes!

Large and unexpected tax bills can set off the panic button for single moms … but you don’t have to worry. This situation is easier to handle than you think, especially when you take a proactive approach instead of ignoring the problem and hoping it just disappears – it won’t. The most important thing to do is to file your current tax return, even if you can’t pay the full balance due by the filing due date. If you can make any payment at all, even if it’s only a small fraction of the taxes you owe, send it in.…

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Why It’s Good to Owe Taxes…and 5 Easy Ways to Pay

It’s good to owe taxes when you file your return. I know that sounds crazy, and it’s definitely not a popular opinion…but it’s the best situation for you financially…especially if you're a single mom stretching your income to support your family. After all, there’s a reason it’s called a tax return: The government has to pay you back the extra taxes you paid – literally return your excess taxes. That means they’ve been holding on to YOUR money, and they haven’t even been paying you any interest. Think about it: If you’re getting $1,200 back, that means you’ve been paying…

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Last Minute Tax Tip: Single Moms Can Still Make A 2016 IRA Contribution

Last Minute Tax Tip: Single Moms Can Still Make a 2016 IRA contribution

It’s not too late for single moms to make an IRA contribution for 2016. There’s still time, whether you go with the tax-deductible traditional IRA or the Roth IRA (which is not deductible this year but offers many other advantages). You have until Monday, April 18 to contribute – and, if you’re eligible, it’s a good idea to do it. Single moms often put off retirement savings. After all, with all of your kid-related expenses, it can be tough to get ahead. And when you do, you probably (like most single moms) fund your kids’ college accounts first. But overlooking…

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