Frequently Asked Questions

1.) How do I pay fewer taxes?

• (A) There are two main components that impact your tax bill: income and deductions. Reducing or deferring your income will also reduce the taxes owed. Increasing your deductions might also reduce your taxes, but there are limits and nuances related to how much it can.

2.) What income do I have to pay taxes on?

• (A) The IRS taxes all of your ‘earned’ income (like salary, bonus, equity awards) and your ‘unearned’ income (like investments or rental).

3.) How do you determine if you should itemize or not?

• (A) Our experts do the research for you and file based on which would be most advantageous for you. But generally, if your standard deduction is less than your itemized deductions, you probably should itemize. If your standard deduction is more than your itemized deductions, it might be worth it to take the standard deduction and save some time.

4.) How do tax brackets work?

• (A) Tax brackets are set up in a tiered structure. Similar to a ladder, once you make enough income to reach the next rung, the percentage rate will increase. However, the income made on the lower rungs is still taxed at the lower rates.

5.) If I work remotely, which state do I owe taxes to?

• (A) The answer largely depends on your specific situation. The most important factors are where you reside, which state(s) you’re earning your money in, and how many days you work in each state. Once you know those things, our tax experts can help determine which states you need to actually file taxes in.

6.) What is adjusted gross income?

• (A) It’s the number that a lot of tax calculations are based on. It is all of your income minus adjustments (student loan interest, contributions to retirement accounts, etc.).

7.) Can a married couple file their taxes separately?

• (A) Married couples have the option to file jointly or separately on their federal income tax returns. The IRS strongly encourages most couples to file joint tax returns by extending several tax breaks to those who file together.

NOTE — Tax questions and their answers can be as varied as each individual’s own situation.

Our goal is to make sure you have all of the resources you need to understand your taxes and how to navigate them.
We recommend calling and sitting down with our experts to ensure you have the answers you need, based on your own circumstances.
We’re also happy to help you answer any additional tax questions you may have!