If you have a variable income and think you’ll zip up to another tax bracket or if you’ve made just that much more this year, you may end up paying a boatload at tax time.
It’s very easy to not take the time to understand how taxes work, particularly if you take all your documents to your accountant every year.
However, a growing number of Americans prepare and file their own tax returns. For example, in 2020, over 71 million taxpayers prepared and e-filed their federal tax returns themselves by October 2020, according to the IRS.
Let’s walk through how to avoid going up a tax bracket in preparation for next April.
