Every January I set up a new manila folder and mark it with the year. Then every time I have a receipt or statement I need to save, I just put it in the folder. Come tax season all the paperwork is in one place.
By Rebecca from Lancaster, NY
I do the same thing with my all my tax receipts and put them in a large manila envelope. Then when it's time to do the taxes I don't have to search every where for the paperwork.
I've saved a lot of money and I do my own tax returns each year instead of having to pay someone else.
Hi, I'm from Lancaster, too, only PA. I do the very same thing. And yes, it makes it so much easier. I'm so glad you posted this for others. It's a wonderful thing to do. I LOVE this thriftyfun. What a huge amount of ideas and "solving problems" around the house I've been able to do. Thank you, poster, and thrifty fun. Love you both! Bev.
I also have a folder in the front of the file drawer for tax items. I think it is important to let people know what paperwwork they need to include. These would be excise tax receipts, contributions to your church (use envelopes and ask for a tax statement at the end of the year), other charitable contribution receipts, fees for work-related organizations, taxes paid on your home, end of year statements from banks, 1099s, to name a few. One thing I learned from a friend was to take a datebook or calendar and keep track of dates of medical appts. and the distance traveled to and from the appts. That may be deductible on your taxes if you have enough. I use Quicken to keep track of all of our expenses. It connects to our bank so I can download all transactions and reconcile the accounts right online. I have done this for several years. It has worked out extremely well. I can balance my checkbook daily if I choose to do so. It was not an expensive program (Basic), but it does all that I need it to do.
All those receipts. Who can itemize any more. Unless you have loads of medical bills and a very large mortgage with a very low income you're out of luck. I do save and organize other pertinent info and forms though.