I’ve been self-employed for almost 27 years, and recently, I've transformed my tax preparation from a 40-hour ordeal every January into a streamlined process that requires just a couple of hours. In this episode of Building the Balanced Life, I share how I maintain my tax records.

My four key strategies:

1. Use budgeting software like Monarch Money to track your business and personal expenses year-round, making it easy to generate reports and P&L statements at tax time
2. Implement a simple physical organization system, like a yearly storage container for all financial documents and receipts. I will show you the exact one I use, which has helped me keep things organized for 25 years.
3. Consult with your accountant in May (after tax season) to get advice on potential improvements or tax strategy adjustments
4. Use tax software and professional help rather than attempting to navigate complex tax codes alone

Remember: Tax deductions only reduce your taxable amount rather than providing "free money" from the government. Don't buy something just because it's tax-deductible!

By following these practical solutions, you'll save significant time, reduce stress during tax season, and maintain better financial awareness throughout the year.

Stay tuned for my upcoming free tools for freelancers, homeschoolers, business owners, and writers, which will be available through my Instagram and LinkedIn profiles.

Podcast Chapters

00:00 Introduction to Tax Time Tips

03:02 Utilizing Software for Tax Management

05:48 Organizational Strategies for Tax Records

09:04 Understanding Tax Deductions

11:50 Conclusion and Resources

Free Resources

Monarch Money

If you're ready to get your finances organized like I have, check out Monarch Money through my affiliate link below. It's the tool that finally helped me see the complete picture of my money and make better decisions without feeling overwhelmed. I genuinely use it daily and recommend it to friends and family. Your support through this link helps keep this podcast going at no extra cost to you! 

Check out Monarch Money!

Freelancer Tools

It is critical to establish fees that are in line with industry standards while still being profitable for your company. I have created a simple, two-page tool to help you determine if the fees you’ve created are paying you what you think they are and how to give yourself a raise as you refine your skills without pushback from clients.

• My Freelancer Fee Creator Tool

Business System

If you’re ready to jump in and get started [or revise] your Virtual Assisting, Freelancing, or Consulting business, this Freelancer by Friday course will give you daily tasks with clear instructions to create or renovate your business in five days. Currently discounted to under $50

• My Freelancer by Friday System

My Substacks

Each week I share on a variety of topics in my Substacks. I provide brief posts with actionable advice, tools, and guidance based on facts, not opinions. If you’re ready to keep learning and get clear instructions on what to do next, join. If you upgrade from the free to premium membership [the annual membership costs less than a monthly fast food lunch] you also get additional tools, discounts on private coaching, and much more.

My 4 Substacks:

• DecisionTreeLearning.substack.com is for parents and teachers and homeschooling parents. Lots of ideas and practical help for K-12.
• WritingCareerCoach.substack.com is for writers. I have craft and business systems specifically for writers.
• LearningResourcesOnline.substack.com is where I’m going to start to do more mentoring of new entrepreneurs and general musings.
• BuildingTheBalancedLife.substack.com is for anyone trying to build a small business while still having a life. This includes people who take care of someone at home while building a business.

Thanks for reading! Stay tuned for more tips on building a balanced life and thriving business.