Nothing is Certain but the Rose Parade and Taxes

Taylor Insurance and Financial Services lets locals in on some tax prep secrets

Thursday, December 11, 2014 | 12:59 am

Gingerbread men, stuffing, turkey, eggnog…taxes.

Taxes are the last thing you want to think about at the end of the year, but as a small business owner it’s an important subject: the last thing you want to do is be caught unprepared.

We spoke with Eszylfie Taylor of Taylor Insurance and Financial Services to see if there are any tips for the, perhaps, ill-prepared.

“Being mindful of income and expenses,” Taylor emphasizes is key, “[because] it’s a lot easier to track expenses on a periodic basis than it is to go backward.”

This rule applies to anyone using almost any record keeping method, he explains.  “For people using QuickBooks or even Excel; whatever you’re doing, do it consistently.”

But that’s just the tip of the iceberg.

Say you’re already on-track.  How do you reduce the amount of taxes you pay?

“When you’ve done that work you [find], ‘Okay, I made $250,000 and I load off 100 grand, I’ve got $150,000 that’s taxable.’ We can do further tax planning and say, ‘Hey, let’s get some deductions here. Let’s set up an IRA or pension plan to reduce your tax liability.’”

With the help of a trained eye like Taylor, you can create the right financial plan for your situation (because, repeat with me: preparation is key!).

Also on the table are charitable contributions.  These contributions can be made and further minimize ones tax burden.  When would Taylor usually take this course of action?  “For example, [the client] might say, ‘Well, I’d rather give the money to charity than Uncle Sam, right?’”

Of course, everyone needs a plan and charity might not be in yours.  That’s ok.

“There’s a good number of tax reduction strategies that you can employ that call for you to do them in the tax year,” Taylor divulged, again lending to his “always be prepared” warning earlier.So this tax season, channel your inner boy scout (and give Taylor Insurance a call…just in case).

Taylor Insurance and Financial services is at 201 South Lake Avenue, Suite 300, Pasadena. For more information, please call (626) 356-7637 or visit www.taylorinsfin.com.

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