A quick review of three methods for preparing your self-employment taxes.
1. Pay a professional
2. Use a software program
3. Do it yourself on paper.
Each has it’s pros & cons. Although, it’s probably a fair bet to say Doing your taxes yourself on paper has the least amount of benefits over detractors.
If you find an aggressive, experienced and highly knowledgeable Tax pro that is also affordable (a relative term), this is probably your best bet. The idea of paying several hundred dollars to have your schedule C and 1040A prepared may seem a steep cost. The important thing to keep in mind is the money they may be saving you could easily off-set that cost.
Tax Software – programs you install on your PC or MAC. Or, online services that let you prepare and store the information online. The big advantage here is cost and the DIY feel.