If you recently got married, you might have spent a lot of time planning a ceremony, reception, or honeymoon. As a newlywed, have you considered how your new life change will affect your taxes this year? Here is a newlywed’s guide to taxes. Name and Address Change Before we get to the obvious changes like […]
Hoping for the Child Tax Credit? Don’t Wait to File
In a recent update, the U.S. House of Representatives has approved a bill that has the potential to grant families significant tax benefits. The aim is to strengthen tax breaks, offering substantial financial support to American households and leading to significant savings. Among the many items addressed in the bill is the expansion of the […]
Tax Tips and Updates for the 2024 Filing Season
Tax season is in full swing. With several filing options and a potentially larger Child Tax Credit to claim, there’s a lot to know before you file. Optima CEO David King and Lead Tax Attorney Philip Hwang provide a comprehensive guide for the 2024 tax filing season and show you how you can get the […]
Pensions: The General Rule vs. The Simplified Method
Planning for retirement involves making crucial decisions about your finances, one of which includes understanding how to manage your pension. Pension plans often come with various options and methods for distribution, each with its own set of rules and implications. In this article, we’ll delve into taxable income for retirees. We’ll also compare two common […]
How to Choose a Retirement Account
Today, there are millions of people who have a 401(k) or other retirement plan through their workplace. However, there are many others who seek other accounts to fund their retirement years. When looking into retirement accounts, there are several factors to consider, one of the most important of them being taxes. Here are some tips […]
Power of Attorney Explained
Tax management can be a complex and difficult task. This is especially true when faced with unexpected circumstances such as illness, travel, or other personal challenges. In such situations, having a trusted representative to handle tax-related matters can provide invaluable support. A power of attorney (POA) is a legal instrument that empowers an appointed individual […]
What is the IRS Dishonored Check Penalty?
Dealing with the IRS can be an unnerving task for many taxpayers, especially when unexpected penalties arise. One such penalty that often catches people off guard is the dishonored check penalty. Understanding this penalty and how to avoid it is crucial for taxpayers to navigate their financial obligations smoothly. In this article, we explore the details […]
What is Backup Withholding?
In the complex world of taxes and financial regulations, backup withholding is a concept that often raises questions for taxpayers. While it might sound intimidating, it serves a crucial purpose in ensuring tax compliance and preventing underreporting of income. Let’s delve into what backup withholding entails, why it’s implemented, and how it can impact individuals […]
Top Mistakes to Avoid When Filing Your Tax Return
Filing taxes can be an intimidating task for many individuals, but it’s a crucial responsibility that shouldn’t be taken lightly. Making mistakes on your tax return can lead to delays in processing, missed deductions, or even audits by the tax authorities. To ensure a smooth and accurate tax filing process, here are some of the […]
Claiming the Child and Dependent Care Credit
Claiming a dependent on your tax return can help save a lot of money each year. Some taxpayers may be unsure about who qualifies as a dependent. This is especially true if a living situation can change year to year. Here’s all you need to know about dependents and your taxes, including how to claim […]