The Tax Man Cometh - Are You Ready?

It is tax season at our house. This means that I am spending a few hours here and there organizing my materials for our tax preparer. How do you get ready for tax season? Do you do a little bit here are there all year long? Do you have a spot where you keep all of your tax related stuff? Or do you spend the first three months of the year tracking everything down?

I like to do a little here and a little there. I have an accordion file where I keep my tax papers. As I go through the year, those papers move from monthly envelopes where I keep my bills and receipts to this accordion file. Then, after all the January documents float in, I organize the papers and transfer the data to a spreadsheet for my tax preparer.

It isn't a fun process, by any means. But it goes more quickly when I do a little every month - and I remember things better right after they happened rather than a year later!

I would love to hear how you manage your tax preparation. Happy Tax Season.