My name is Scott Kregel, and I have a confession: I enjoy filing annual tax returns. Weird? Yes. Surprising for a tax accountant? No.
But I know I’m not the average person. While filing taxes is usually more of a pain than a pleasure, there is a lot of good that comes out of it. In addition to the obvious advantage of fulfilling your civic duty, here are three other benefits to filing annual tax returns.
Rhythm is healthy. Our minds and bodies crave balanced, predictable rhythm to stay structured and in sync. Each year, we go through the process of summarizing our income and expenses for our tax returns. For many people, this process allows them to reflect and engage their mind toward what “could be.” It may even lead them to act on ideas that could make a meaningful difference in their lives.
Ongoing accountability is an important part of living in a free society. Without accountability, we wouldn’t have a sense of order. This order outlines the accounting (or accountability) of disclosing and summarizing our financial activities. We all share this responsibility, find comfort in knowing this is something we all must do as part of a free nation, and feel great frustration when we hear of people trying to cheat the system.
Similar to the idea of predictable rhythm, I like to refer to the task of summarizing our income, expenses and calendars in 12-month increments as “bookending” another year. We know what we need to accomplish and capture in our annual tax returns. We then work backwards from this “end” as we reconcile our checkbooks, review our banking and investment statements, and compare that information with our tax information documents.
With this perspective on your tax filings, perhaps you can find just a bit more joy — or at least appreciation — in this annual rite of passage. These are the benefits that get our team excited to work with you, as well as the reasons we take such great care when preparing your returns. It’s not just about appeasing the government. It’s about using this “responsibility” as an opportunity to bookend your year, learn new insights, gain peace of mind, and feel excitement for the year ahead.