Master Mechanic
I was talking to one of our Northern Vessel baristas yesterday morning when the topic of income taxes on tips came up. I gave her a short answer, then added, "But you should definitely ask your tax professional about this."
Her: ............
Me: "You don't have a trusted tax professional?"
Her: "No, I just do my own taxes. I always have."
Me: "Why don't you have someone you trust?"
Her: "I don't want to throw away $300 for something I can just do myself."
Me: "Would you swap out the engine in your car yourself to save a few hundred bucks?"
Her (tongue in cheek): "Of course!"
This is a hot take, and one I share often, but I don't believe any American should be doing their own taxes. Unless we have professional experience as a tax accountant, I think every single person should have a trusted tax professional in their camp.
Yes, it's going to cost some money. Let's say it costs a few hundred bucks. I would argue that you'll experience far more upside than what it costs. At worst, you have someone in your corner if/when the IRS comes knocking. At best, your trusted professional will help save you thousands of dollars on nuances you never even thought about.
To be clear, I'm not talking about walking into a brick-and-mortar tax shop in early April for 60 minutes to have someone crank out your tax return. I'm talking about a true professional that you can build a relationship with over time. Someone who is available to contact during the year when you have life changes. Someone who will help you make decisions BEFORE the year ends to best take advantage of any tax benefits. Someone who will explain changes in the tax code. Someone who can answer all your dumb questions to make this ridiculous tax code more approachable. Someone who will look out for your best interest 12 months of the year, not just on a singular day.
Sure, I could try to save a few hundred bucks by replacing the engine in my car myself. However, I'd probably end up royally screwing something up, ultimately costing me far more than it would have had I just paid an expert to help me in the first place. I'm not a master mechanic, though, and I don't play one on TV. The same goes for taxes. I'm not an expert, and I'll never claim to be. That's why I have someone I trust to walk alongside me to ensure I maximize that area of my life. Trust me, it's so worth having!
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