How much will you get back from the IRS this year? If you don’t know, than it’s a good time to begin your tax planning. Police officers like most people don’t plan their taxes and then hope for the best. If you get a larger refund than expected, you’re happy, but if you’re forced to pay taxes, you’ll be disappointed. Tax planning gets rid of these surprises and as law enforcement professionals you know we don’t like surprises!
The truth is, when your taxes are prepared, you are merely documenting the past. There is not much that can be done to save money, when compared to early tax planning. With tax planning there is much more you can do to dramatically reduce your tax bill.
I agree it’s exciting to get a big, unexpected tax refund, but what do you normally spend it on? It’s human nature to spend unexpected sums of money. If you have not mentally accounted for the money, it’s easier to view it as a surplus and spend it frivolously. Do you remember what you spent last year’s refund on? Was it something you’re still glad you bought?
Many argue this works as a forced savings account and enjoy the large refund. While I understand, I disagree this is the best way to save money. I’ve found that most frustration over money comes when you don’t feel in control of it. It’s common to believe that your employer, credit cards or the IRS are in control of your money. This out of control feeling is what causes stress and arguments over money.
By planning your taxes, you will begin to take control of your finances which is very comforting. You will never again dread tax season because there will be fewer surprises. By going through the tax planning process you will gain better awareness of where your money is going and then be able to direct it toward what’s most important to you.
Now I invite you to discover more at http://www.cjrylantwealthmanagement.com and download the free report The 7 Secrets to Financial Independence.
Chuck J. Rylant, MBA
Chuck J. Rylant has been a full time California Police Officer for over ten years. He has worked as a detective, patrol officer, field training officer and SWAT team member. He also served his department by volunteering as a Police Officer Association Board member. Chuck is also an active member of the Santa Maria Police Council which is a non-profit community organization developed to raise money specifically for the police department.
Chuck is also the owner of C. J. Rylant Wealth Management. His firm provides personal fee only financial planning and specializes in providing objective advice to police officers. His clients have discovered how to worry less about money and enjoy life more.