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Filed unemployment on your tax return? IRS is recalculating the amount you owe, and you MAY receive another refund check!

  Normally, any unemployment compensation someone receives is taxable. However, a recent law change allows some recipients to not pay tax on some 2020 unemployment compensation. The IRS will automatically refund money to eligible people who filed their tax return reporting unemployment compensation before the recent changes made by the American Rescue Plan. These refunds are expected to begin in May and continue into the summer. Under the new law, taxpayers who earned less than $150,000 in modified adjusted gross income can exclude some unemployment compensation from their income. This means they don’t have to pay tax on some of it. People who are married filing jointly can exclude up to $20,400 – up to $10,200 for each spouse who received unemployment compensation. All other eligible taxpayers can exclude up to $10,200 from their income. Information for people who already filed their 2020 tax return This law change occurred after some people filed their 2020 taxes. For taxpayers w...
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Update on Stimulus Checks as of Tuesday April 7th-Stimulus Package

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Get out of debt for good with these 3 easy steps...

With the rising costs of everything on Earth, credit cards and financing has become the 'American Way' to get the things you want.  Many people look at debt as the saver of all desire.  "I really want this vacation, I'll just put it on a credit card" or "I want some new furniture this weekend, I'll just get a store credit card". NO! Bad Bad Bad! Credit should be used as a tool or vessel, to make you even more successful. That's the trick. It's ok to have credit cards, but it's not OK to max them out, or buy things your don't need. Look at it this way: DEBT IS STOPPING YOU FROM FINANCIAL FREEDOM. Period pooh . As long as you owe someone, you'll always be broke.  Lucky for you, I have the most effective way to get out debt in 3 easy steps. Step 1 Save a nice nest egg for emergencies.  Take a few dollars from each check and have it automatically transferred to a separate account. Your saving goal should be a set amount, so t...
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Horror Story....I paid my employee’s as contractor’s

New and old business owners alike have met with this struggle at some point in their entrepreneurial journey. Your business is thriving and you need help! You decide to hire one person. Excited at the new relief and separation of duties, you bring the candidate of your dreams in to duplicate yourself (insert mass exaggeration).   The time has come to issue their first paycheck. After realizing that you have to pay additional taxes and worker’s compensation to employ this person, you revert to paying them as a contractor.   “Ok” you think, “this will save some money and still get the job done”. You’re living the dream for two years when suddenly, you receive a certified letter from the IRS. You are being audited! Let’s transgress into a real life story.   This happened to a previous client of mine.   In this case, they had 17 people working as contractor’s when really, they were employee’s.   After a 30 day debate, the IRS hit my client with a $45,000 bill. T...
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HELP!! The Government Took My Tax Refund

Has the IRS intercepted your tax refund?  The truth is that this happens to people every year!  Why did this happen to you, and what can you do about it? Reasons Why Your Refund has been Offset There can be several reasons why your refund has been has been or will be intercepted. Past-due federal tax; State income tax; State unemployment compensation debts; Child support; Spousal support; and Federal non-tax debt, like student loans. Find Out Why MY (OUR) Tax Refund was Offset If you are married filing a joint return, the IRS will take your refund if your spouse has any of the above mentioned past due debts! Yes-Your spouse. However, there is relief for this.  You can complete and mail an injured spouse allocation IRS Form 8379 follow this link →   https://www.irs.gov/pub/irs-pdf/f8379.pd  to complete the form.  Follow this link for instructions on where to mail your form → https://www.irs.gov/pub/irs-pdf/i8379.pdf . This form will infor...
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Making Your Tax Refund Last!

Greetings and money blessings to you my friends! Oh how quickly time flies.  Tax season has approached us yet again.  For those of us who pay taxes annually, it's a somber time and also a procrastination to stretch the dreadful filing out to April 15th. However, for those of us who receive refunds from our Federal government and state agencies it is a wonderful and stimulating time 😉😉😉.  I have a few tips to make that money stretch possibly until the following tax season. Choose a 'Don't Touch Me Amount' Have a pre-determined amount in your mind that you will set aside upon immediate receipt of your refund.  This could be a start to your savings account or an addition.  My recommended amount would be 50% of your refund or more. That sounds like a lot, however this is additional income.  If you have been able to survive without it the last 11 months, then you will be able to survive with out it again! Budget the Remaining Money Let's say your to...
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Secret Tip that will increase your credit score within 30 days!

Hello all of my beautiful people.  I hope that this blog reaches you in limitless spirits! So I have a friend (whom shall remain nameless) that is in a hurry to purchase a house that she has been renting.  The owners of the house are ready to sell as the entire area has increased in property value. She's a veteran and has access to a VA Home Loan but there is only one problem; her credit score.  This is a really close friend of mine, almost like a sister. So, she came to me asking how she can bump up her credit score in a hurry.  I said, "oh that's easy, I'll add you as an authorized user to a few of my credit cards". What does this mean you may ask?  Real life example: I have credit cards with high limits that I do not use (because I'm fabulously frugal right ❤) .  By holding credit cards with high limits and zero balances, it contributes to my modestly high credit score due to low utilization.  Credit Utilization is you having access to...
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