How I Changed from Owing Taxes to Getting a Refund

I did my taxes a couple weeks ago using Taxact (I used to use Turbotax but they charge now for anything other than basic) and determined that we owed $92 in taxes. Not bad, but not a refund. The trouble with having to pay is you have to tear out all the little w2 forms and write a check and find a big envelope and remember to wait for April 15th to mail it all in. I like to just do it, and be done with it, and move onto the next big deal.
 
Well today I was reading the Sunday paper with my valentine in bed this morning and saw a little tip printed in the business section about to how to reduce what you owe to Uncle Sam. Just make a contribution to a traditional IRA account for the year 2009 and it will reduce your taxes. Well, that seems simple. I'd rather pay myself a few hundred bucks to an IRA than pay $92 to Obama. So I logged into Taxact adjusted some numbers and determined I can contribute $350 into an IRA and this swings our taxes to a refund of $8. Whalaaa - I can just file online and not have to print and sign all those stupid papers, and get we'll get a refund to boot - direct deposited into our checking.
 
So, if you haven't done your taxes - get to it. Its free to use Taxact online and you'll get an idea of what your obligation or refund will be. And you still have time to change it if you owe.

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