I need Tax advice to file my own taxes

Nurses General Nursing

Published

Specializes in none.

Hello everyone,

I've decided to be more independent and start filling my own taxes to safe money. My CEO at the hospital i work at decides we are no longer getting any raises and the hospital will no longer be matching our 401k. So i've decided it's time for me to for look ways to save money. I know they're many nurses here with accounting background hopefully you guyz can help me. I'm trying to figure out what forms i need to file my taxes this year. Last year from january '08-may-08 i worked as an independent nurse for the State of Massachusetts. They didn't take out any taxes from my paychecks. I made approx 32K( I have absolutely no idea where all the money went to!!). I'm a resident of Georgia so i had to travel up there just to work. I came back to Georgia and worked at a regular W2 job where they take out taxes, at a hospital from end of May to current. While i was working in the hospital i also had my job take out extra federal taxes just hoping i won't owe alot when i file my taxes this year. What forms do i need to file my taxes? I know i have to pay federal taxes( medicare/soc sec) and Massachusetts income tax for the period of time i worked in Mass, and ofcourse Georgia income tax (i dont think i owe Georgia income tax since they took it out of my paycheck). Do i need to file seperate forms for all these taxes or is there just one form that covers everything? also what form do i need to itemize my deductions?( i saved alll my receipts of all my purchases while i worked in Massachusetts). I've been on the IRS website trying to figure out what forms i need and it's been very confusing.

Thanks!

Specializes in Critical Care, Education.

Pick up TaxCut or TurboTax software. I have used both & can recommend either of them. You can file electronically with either software although it does cost a small fee to do so. Or, you can print out everything and send your returns via snail mail. The printed forms look exactly like the traditional ones.

Tax software is really easy to use & includes all the forms you will need. You will need to fill out one Fed & a state return for each state in which you worked, so be sure to get the software version that includes state returns.

I know you don't want to hear this, but you really need an accountant or other professional preparer this year. Since they didn't take taxes (which I'm assuming includes Social Security and Medicare taxes) out of your paycheck when you worked in Mass. you MAY -- or may not -- have to pay a penalty. There's a calculation that has to be done. A good accountant may be able to figure out a way to prevent you from having to pay the penalty, or at least let you know it has to be paid. I know whereof I speak, having formerly worked closely with a tax attorney.

The Massachusetts form is a pain. My husband had to file it every year because his company was based in Mass. Just be sure to go back and literally count the days you worked in Massachusetts. You only have to pay taxes on the days you were actually working in Mass. I know that sounds obvious, but don't say it was "6 months". Count the days... Tax software will probably be able to help you out with that form.

Specializes in NICU, Post-partum.

If you have never done your taxes before and this is the first year you are getting paid 1099, my advice is to see if a CPA or a seasonal (experienced) can do your taxes...and then NEXT year, you use that sort of as a template to do your own.

The problem with tax programs such as Turbotax, is that they are very quick to tell you what tax deductions you can take...but they don't tell you the future ramifications of taking them.

One of the most important things that you need to know is that if you "write off" too much, and if you ever go to apply for a loan of any type, your income after deductions is treated as your income...so you have to be careful not to go overboard, even though in many cases, it's justified and/or allowed.

I saw on CNN Headline news that come this October 2009, Stated income loans will be banned under both Freddie Mac and Fannie Mae guidelines, but the newscast didn't say how this would affect other things such as credit cards.

I am looking to purchase a car right now. I was very shocked to learn that my credit score dropped over 50 points in the last 6 months....not because I paid anything late, but because creditors closed out 4 of my long-term tradelines that I either rarely or never used.

Specializes in psych, addictions, hospice, education.

It looks like you might have to file in more than one state. You could end up spending more of software (if you use TurboTax, for instance) than you might pay a tax-preparer. I've done my taxes myself for years, but yours would be too complicated for me to figure out on my own without doing lots of work toward it. This might not be the year for you to do your own taxes.

I frankly think that this method of saving money could turn out to be very expensive.

H&R Block is your friend.

I use the online programs to file my taxes.THey walk you right through it is easy. If you go to the irs.gov they have a listing of sites you can use for a small fee. I have done it for years. It takes about 45 minutes and you can electronically file state and federal. Very very easy.

I think BabyLady had some good points. I have never done my taxes. It can get so complicated and it's not something I want to risk messing up on. My dad is an accountant and he uses TurboTax. I have my dad do my taxes, and he always asks me questions in which he weighs the pros and cons of the deductions I am eligible for. Sometimes I qualify for more money if I refuse to take some deductions, so I think it may be in your best interest to have an accountant do your taxes this year. Good luck.

Specializes in Med Surg, Ortho.
http://www.hrblock.com/
Specializes in ED, ICU, PACU.

If you are going to use an accountant, can I suggest one that is familiar with travel nursing, think you can find him if you google traveltax.com. H & R block and most CPAs are not familiar with the deductions, the per diem/housing/travel allowances of travelers or independent contractors. Turbo tax isn't that good for your situation either.

I do do my own taxes because I have a good grasp of the irs regs from my former life. If Mass. is anything like New York, don't try it as a newbie. Take a look at the irs website http://www.irs.gov and see if you have an understanding of the deductions you can take, especially as an independent contractor. If you aren't getting it, then go to traveltax or koleby. I see a potential problem for you regarding making a prepaid tax payment at the end of the quarter you worked as an independent-but, whether you will be penalized if you did not do it, I am not sure.

Specializes in psych. rehab nursing, float pool.

I have used taxact.com online for years now. It is inexpensive and walks you through the process you can file electronically and have the refund deposited directly into your bank account if you want.

Specializes in none.

Thanks to all for the responses!!!! Yeah this is the first year i'm getting paid 1099 and attempting to file my taxes. I guess it would be wise to use a professional first then continue on my own for the following years.Well the problem now is where do i find a an Accountant or CPA with knowledge about filing taxes for travel nursing/independent contracting in or around Atlanta GA? if anyone knows of a website with that info please share or if you are aware of someone who specializes in this who lives in Georgia please let me know. I wonder how much they'll charge me for it?

thanks!

+ Add a Comment