Ask:
A couple of you said you have to balance your check books before you can do your taxes. Why do you have to do that? Just curious since I haven't balanced my checkbook in about 15 years, but have my taxes done accurately every year?
Answer:
I have the same question...cuz if that's required, I'm in trouble!
Answer:
Yeah, I would like to know the answer to that too!!
Answer:
I was also wondering what people needed this for their taxes and why.
Answer:
We are always able to itemize -- so I have to keep track of a lot of expenses. All medical, donations, business expenses, etc. I keep track of all of that in Microsoft Money. If I didn't balance my check book in Microsoft Money, I may have missed something in my expense report. Because I've kept track of everything so well & know I haven't missed anything, at tax time, I simply print a report with all my expenses already categorized. So, technically, I wouldn't have to balance the checkbook for tax purposes, but it's all a part of a big puzzle that fits together. If the checkbook balances with the bank, I know I've accounted for every expense in my register. HTH
Answer:
we also itemize and i highlight all deductible items in my register then i can make sure i have all my receipts in my tax binder and that i did not miss anything i go over them monthy then file in my tax binder it makes tax time a breeze.
Answer:
I have deductible business expenses that I itemize. I run a register report in Quicken to get the total of what to deduct in each category so I want my check register up to date.
Plus in Idaho you can deduct your charitable contributions to schools and certain state agencies twice - and it is a bottomline deduction from the taxes you owe (not a percentage). I categorize those contributions separately in my Quicken check register so I can find them easily for my state taxes.
Answer:
Oh, I just file my reciepts for all my "tax" items separately.