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Senior Moments: Tax time need not be taxing

Author Jim Snodgrass. PAT MOULTON PHOTO
By: 
Jim Snodgrass

Does your pulse quicken or do the jitters start when you think of having to do your income taxes? If so, you’re not alone. It is stressful, but there are simple steps you can take to make the process easier. Here are some pointers.

Keep those pieces of paper in one place. As your tax documents start to arrive in the mail, put them all in one large envelope or folder. Too much time and energy can be wasted looking for missing interest, dividend, or Social Security statements. Put everything in one place, and when it’s time to do your taxes, it’s there!

Keep using that envelope or folder during the year. Put copies of your receipts for gifts to charities, records of out of pocket medical expenses, tax bills and refunds, etc. in this envelope or folder. Anything you think you’re going to need at tax time may as well be put there initially.

Don’t procrastinate. Procrastination only raises your stress level. Once you’ve received all your tax information (brokerage and partnership tax statements are notoriously late), take action. Make an appointment with your tax preparer or if you do it yourself, set a date to start working. Avoidance and procrastination doesn’t ease the tension-they make it worse. Just get started.

Don’t go it alone. There’s a wonderful and completely free tax preparation service offered by the AARP Tax-Aide program open to everyone. (You DO NOT have to be an AARP member to use it). This program is staffed by trained volunteers who will complete federal and state returns using electronic filing for everyone, with priority given to seniors or those with low to middle incomes.

I know this program well as I was a volunteer tax preparer in it for eight years. Every year its committed volunteers complete a challenging training program including self-study, classroom review of tax law and any changes in the regulations, and completion of case studies with sample tax returns. They must then successfully pass an IRS sponsored test.

Think you have too much income to use this service? Probably not. As long as you are not collecting rent from a business or from real estate owned by you, the AARP tax preparers can probably do your Federal and New Jersey tax returns. And they do a great job.

Every return is checked for accuracy by another qualified tax preparer before it is submitted. Use this program. The volunteer tax preparers are subject to a rigorous code of ethics. And they enjoy the rewarding work of helping people like you in an area where they have expertise.

What to do? If you’re comfortable with the internet, go to the Tax-Aide website at www.aarp.org/taxaide and find the Tax-Aide location nearest you. Call the toll-free number at 1-888-AARPNOW (1-888-227-7669) to set up an appointment. And don’t wait until April to do it. As hard and as long as the volunteers in this program work, they may not be able to accommodate you by this year’s April 18th filing deadline.

Using your own preparer? That’s fine too. Either way, you’ll want to give them all the information that is needed to file an accurate return.

What to bring:

  • Photo ID and your Social Security card
  • All W2 or 1099 tax statements
  • Your Social Security benefit statement (form SSA-1099)
  • Information or statements for any other income: jury duty, unemployment, etc.
  • Statements for home mortgage interest and/or property taxes
  • Information and receipts on your medical expenses, health insurance premiums, and charitable contributions
  • Amount of last year’s income and property tax refunds if any
  • Anything else that might apply to your own situation

Relax and see if these steps don’t help you make the best of a taxing situation.