What Are The Benefits of Filing Your Taxes Early?

Posted by Hudson Heritage Federal Credit Union on Jan 24, 2020 8:43:56 AM

Though tax season officially starts on January 27th, 2020, many people push off filing until March or April. If you find that you're one of those people who always wait until the last minute to file your taxes, you can save yourself some stress by filing early this year. Read on to learn more about the benefits of filing your taxes early.  

Get Your Return Sooner

While filing your taxes is less than fun, getting that tax return check in the mail can make it all worth it. If you expect to receive a tax return this year, make it a goal to get that money into your hands as soon as you can. Filing your taxes early can help you get your return months in advance. And if you file online, you can get it even faster. 

Paper filing can sometimes take weeks for the IRS to process, even if you file early. E-filing your taxes and opting for direct deposit is often a lot quicker. Those who e-file can see the money in their account in an average of three weeks. If you use your tax return to pay down debt, getting your return earlier means you can pay debt earlier and avoid interest. 

And data shows that those who file their return earlier tend to get a bigger check. The IRS notes that those who file by the end of February sometimes get up to $400 more in their return than people who wait until March or April to file. If you were given the option to get more money sooner, you'd take it, right? 

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