Hi everyone... Yes it is that time of year. I just need some advice. I used to do my individual taxes myself until it became too troubling. Then, I hired a local accounting firm but the price of their service goes up every year now, that's too troubling. Does anyone use Turbo Tax or any of that particular software? Does it work well? Thank you...
AKB: Taxes
- Thread starter WSTLion87
- Start date
Yes....i use turbo tax...for me it is all i need but we (wife and myself) are retired with just my school bus income. If you need to do a schedule C return it does walk you thru most everything but it doesn't itemize as well as an accountant would...assuming you have a savvy accountant/tax lawyer/preparer. I also was a banker so much i am familiar with. Turbo Tax is good at describing changes to tax law....but it is ultimately up to you what you are comfortable doing.
TurboTax works very well, and is pretty easy to use.
A few thoughts on this:
- the 1st year one uses TurboTax is the toughest, as there is no last year's data to input, so you key in a lot of details
- one of the frustrations of TurboTax is how frequently it tries to upgrade you to a more expensive package. My suggestion is to stick with the cheapest version that works for you, and don't upgrade. In the middle of using X version, based on info you provide it may indicate that you have to use Y version. In those situations, you have to switch to a more expensive version. However, never pay for an upgrade that provides you with access to assistance or help, unless you absolutely find that you have to check with somebody for such (and try to Google the issue first)
- it doesn't ask questions in the order that you would approach them if you were doing the taxes yourself. That frustrated me the first couple of years I used TurboTax (I did mine on my own for decades), but now I just expect it and don't get as annoyed by it
- if you're looking to save money, then start on your taxes now. TurboTax offers discounted prices early in the process, but those discounts disappear as you get closer to April 15
- TurboTax can be annoying, when trying to fully understand your situation as well as when looking for additional deductions, in that it asks you endless questions about things most people don't have. You just learn to answer the questions as quickly as you can and move forward
- if your State requires income tax returns, TurboTax does a nice job of taking the info you enter for Federal taxes and transferring it over. TurboTax is pretty cheap for Federal returns, but the State returns cost some dollars. It's even more frustrating is you're in a situation where you have to file returns for multiple states
TurboTax is nice in that you can work on your taxes until you need a break, or until you need to find some info, and then you can save what you've entered and then pick up where you left off when you resume. I think you'll find it to be a good experience, unless your taxes are really complicated.
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Really depends on your situation.
One year I used TurboTax and for some reason TurboTax was insisting I owed taxes on my son's 529 plan withdrawals. Was going to cost me thousands of dollars. Ended up going back to my accountant.
I also found TurboTax less than helpful with legit writeoffs against 1099 income from a consulting business.
Some things TurboTax is just fine....
My wife is a teacher but also has her own education business in the side. Because of that we use a tax preparer.
I use H&R Block Premium software. It gives you five Federal returns and your pick of one State which can be used on each of the five filings. Very easy to use and at about $80 is a great deal. If you need more states they'll cost you about $40 each, but all State e-files cost an additional $20 so I mail in the those instead of e-file. I do my three kids returns using three of the additional federal filings and since they all work in PA I don't need to purchase another state. Oh, and you can find discounts if you look around.
It’s all scaled on what you need. I use a big NYC /NJ/ Philly accounting firm and pay about $1600 per year. I’m retired but have a lot of investment income, and had some complicated transactions. Whenever I need something or have a question, I email and get a reply within 10 minutes, even on weekends, so I get great service. So I don’t mind the fees, as I figure I get what I pay for. I’ve always gone high end with legal, financial, tax, advisors in that I believe they can make/save you more money than they will cost you but you have to select good ones, not just expensive ones, and ones that fit your specific needs. Again scale is the key - find what fits your need and don’t be afraid to spend on quality.
Bob. Dry wit, like this, is what makes you a board favorite.
Hey guys, don't forget Gambit Industries. They offer the least reliable tax prep at the most expensive price.
(After seeing @fairgambit 's post above, I just couldn't hold back.
)
(After seeing @fairgambit 's post above, I just couldn't hold back.
)I typically do my own taxes. They got complicated when we purchased the beach condo and started bringing in some rental income. When we sold the condo, I had to use a CPA. He was pricey but I expected to pay $25,000 or so in taxes and ended up paying about $4,000. I don't know what he did, and I didn't ask any questions!
I use Turbo Tax or HR Block software and put in all of my information just to make sure all the numbers work the way I think they will. I also use Turbo Tax to do my sister in-law's and my niece's taxes every year. I would recommend it for anyone who doesn't have extremely complicated taxes issues.
On a related note, I just saw an article that said some people should wait to file if they got a rebate check last year. We got one from South Carolina (I assume because we have paid taxes there because of the condo.) Apparently the IRS hasn't decided what to do with the rebate checks yet.
I use Turbo Tax or HR Block software and put in all of my information just to make sure all the numbers work the way I think they will. I also use Turbo Tax to do my sister in-law's and my niece's taxes every year. I would recommend it for anyone who doesn't have extremely complicated taxes issues.
On a related note, I just saw an article that said some people should wait to file if they got a rebate check last year. We got one from South Carolina (I assume because we have paid taxes there because of the condo.) Apparently the IRS hasn't decided what to do with the rebate checks yet.
Yeah, I pay my accountant $240, worth every penny. Last year I had income from 2 different states, and I didn't have to worry about any of it. He got the money back for me with no problem. Worth it.
Hey guys, don't forget Gambit Industries. They offer the least reliable tax prep at the most expensive price.
(After seeing @fairgambit 's post above, I just couldn't hold back.
And for a hefty premium, Gambit will review your 2022 filing and will find additional money you owe.
I've used H&R Block Basic for 5 or 6 years, Turbo Tax before that . Does up to 5 Federal. No state.
I cannot reach the itemization threshold so that reduces a lot of detailed record keeping. I have dividend/interest income, capital gains/losses all of which are downloaded (from Schwab and Vanguard websites) directly into the software.
Some may think Basic excludes functionality but it has to do all the required things just as the pricier versions. It just doesn't have all the schmoozy interaction/help features. I had accounting and tax experience, so I'm comfortable without all the Q&A assurances.
I cannot reach the itemization threshold so that reduces a lot of detailed record keeping. I have dividend/interest income, capital gains/losses all of which are downloaded (from Schwab and Vanguard websites) directly into the software.
Some may think Basic excludes functionality but it has to do all the required things just as the pricier versions. It just doesn't have all the schmoozy interaction/help features. I had accounting and tax experience, so I'm comfortable without all the Q&A assurances.
Yes, and they send the completed returns to the IRS via Pony Express.Hey guys, don't forget Gambit Industries. They offer the least reliable tax prep at the most expensive price.
(After seeing @fairgambit 's post above, I just couldn't hold back.
Thanks for the unsolicited plug IrishHerb! (your check is in the mail).Hey guys, don't forget Gambit Industries. They offer the least reliable tax prep at the most expensive price.
(After seeing @fairgambit 's post above, I just couldn't hold back.
I know you used our service last year and paid through the nose. (I hope the IRS Audit went well.). All the best!
Used turbo tax for years. But then a few years ago (4-6??) they removed functionality from their Delux level software - they removed stock transactions I believe. I called and complained and they gave me a free upgrade to Premium/Premier?? and I was OK for that year.
But realizing that TT was already more expensive than their competitors and that I would now have to purchase an even more expensive version, I switched to H&R Block software. Half the price and just as good. Had a little trouble with it the first year, getting my S Corp data entered and showing up correctly. I had to overwrite fields which causes me to have to file paper copies (i.e. couldn't efile). But H&R Block fixed that and now I'm fine with Delux.
Turbo Tax seemed to get greedy, so I fired them. And don't regret it one bit.
But realizing that TT was already more expensive than their competitors and that I would now have to purchase an even more expensive version, I switched to H&R Block software. Half the price and just as good. Had a little trouble with it the first year, getting my S Corp data entered and showing up correctly. I had to overwrite fields which causes me to have to file paper copies (i.e. couldn't efile). But H&R Block fixed that and now I'm fine with Delux.
Turbo Tax seemed to get greedy, so I fired them. And don't regret it one bit.
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I, too, was told by the IRS a few years back that my 529 withdrawals were deemed taxable even though I was 100% certain they went to qualified expenses. I wrote to the IRS, sent copies of everything, and waited. And waited. And waited. Almost a year later, I received a letter saying I owed nothing with no explanation (and there was no way I was going to ask).
Similar experience with me. I've used H&R Block for 6-7 years now and like it. I usually purchase via Amazon on Black Friday for around $20 for federal+state.
I haven't done my taxes yet this year, but, it does auto-import from many stock/dividend. You can also use a W2 PDF and it will recognize the characters, saving you time from keying it all in yourself.
Many hiccups but thankfully almost done! Thanks for asking. I’ll email you some photos.
Save yourself some money and use freetaxusa.com. It does most of the stuff the more expensive software that Turbo Tax and H&R Block do. In some cases you may have to pony up to one of those if you have a more complex return but in most years Free Tax USA does the trick. I have used Tax Act and H&R Block in the past. I try to avoid using Turbo Tax because of what I've read about their lobbying to keep taxes complicated and their userbase intact.