85 - 3 things I am doing this month to organize my files and tax documents

<p>1. Collecting tax documents.</p> <div>Collecting, organizing and preparing tax documentation is overwhelming. I think it is because the information you need comes to you in a trickle through the mail, your email inbox and your own receipts - little by little - every day for weeks like Chinese water torture.</div> <div> <p>So I have come up with a few ways to alleviate my anxiety and take the torture out of tax preparation.</p> <ol> <li>Have a file, box or basket to put ALL incoming tax information.</li> <li>Make a master list AFTER you file your taxes this year of the documents you needed to find. Above is a picture of my list.</li> <li>Set aside  a 3-4 hour chunk of time to organize and prepare your taxes in one sitting. I actually look forward to this day. :)</li> </ol> </div> <h4>2. Purging all my files & creating a color coded filing system.</h4> <div>After I file our taxes in early February I purge our filing cabinet. The first time I <em>really</em> did this it took days and I was able to get rid of 80% of what I had.</div> <div> </div> <div>Download my FREE Printable - <a href= "https://lisawoodruff.leadpages.co/shred-tax-post/" target="_blank" rel="noopener">To Shred or Not to Shred</a></div> <div> </div> <div> <p>So I thought and thought and came up with this simpler, yet still cool, system. I already had colored hanging files {which I LOVE!!} and I assigned each category in my filing cabinet a color.</p> <p>Then I purged each file as I put the contents in the new colored file.</p> <p> </p> </div> <h4>3. Systematizing my home based business income & expenses for 2016.</h4> <div> <p>Tax time has been a breeze the past few years because I have kept up with my business taxes each month.</p> <p>Having been in business for myself for over 20 years, I know how hard it is to keep everything organized. This year I disciplined myself to do my finances in my business all by myself DAILY!</p> <p>Each month I would reconcile and do my tax prep on the 1st of the month. I actually started to look forward to it beca