If you are getting a tax refund, please think carefully about what to do with the money.  I would be tempted to take a vacation or buy one of the newest, fanciest TVs but I would be much better served to reduce high cost debt (hello credit card account) or save the money.  If you have an ongoing balance on your credit card (or cards) a tax refund can play a useful role in reducing or eliminating that debt.  Since most credit cards carry high rates of interest using the refund to reduce those balances will greatly improve your financial picture.  If you don’t have credit card balances, saving the money for the proverbial rainy day is a good idea.  According to the experts, a household should have 3 months of income in reserve for unexpected expenses (like a new furnace or car repairs).  If you don’t have reserves at that level, here is a chance to add to (or start) a savings account.

If you own a small business you have a special set of concerns at tax time. Here are 5 steps to take to reduce your risk of problems with your business return.

1. File on time and pay the taxes due. Sounds simple but many business owners fail to do these simple things, resulting in penalties and interest charges.
2. Remember to make estimated tax payments during the year. A qualified tax preparer or tax software will tell you what you should be paying.
3. Take all the deductions you are entitled to but avoid the temptation to take unqualified deductions.
4. Take the time to maintain accurate records so that you or your tax preparer can complete accurate returns in a timely manner.
5. Use care if you are contemplating classifying workers as contractors, rather than as employees. This has become an area of focus for the IRS so use care.

In the movie Groundhog Day every day was like the preceding one. For me, it feels like I just finished last year’s tax returns yesterday and now it is filing season once again. How time flies. Unfortunately, with filing season we also get tax scam season. The hackers and criminals are always looking to make a buck so we need to protect ourselves. Fortunately, you can take steps to reduce your risk of getting scammed. First and foremost, you can reduce your risk by being aware of the more popular scams. You can learn a lot by visiting the IRS website, www.irs.gov as it has a wealth of information about scams and filing in general. Getting educated about potential scams and safeguarding your data will reduce your risk during tax season. Oh, and don’t forget to file!

The same week my friend died we euthanized our 13 year old dog.  She had cancer and was fading rapidly.  I don’t wish to compare the impact of a human’s life with that of a dog but both have value and can teach us something.  Our dog was a pound puppy, rescued from a tough city life and brought to the country.  She loved to run and was always wagging her tail and smiling.  For 13 years she would greet me when I came home from work, looking for a pat on the head, a walk, dinner, a treat.  Hers was a simple life but she was always in a good mood, always happy to see you.  She loved it when our now-grown children came home to visit because they would invite her up on the couch – usually forbidden territory.  She looked so content curled up with them, it really didn’t take a lot to make her smile.  Maybe that is her lesson – keep smiling, be happy when around family and friends, and enjoy each day.

Last week we buried a friend who died way too young, he was 57.  I knew him primarily through our shared passion for golf.  He loved the comradery and competition of golf as well as the fellowship during and after a round.  In addition, he was a good husband, father, friend to many, and businessman.  That was reinforced by the large number of people who came to his wake and funeral – there to honor him and support his wife and two children. At both events the tears were softened by laughter as we remembered good times we had shared.  He looked for the good in people and experiences, seemingly always in a good mood.  In his 57 years I believe he managed to accrue a full measure of life experience – he truly enjoyed each and every day.  While he made it look easy, I know he worked hard in all of his endeavors, especially in tending to relationships.  After all, what is more important than our relationships with those we love?  Even when career and life demand so much of our time and energy it is vitally important that we tend to our relationships with those dear to us.  I know I can do a better job in this area and his example and memory will, hopefully, help me to fully appreciate each day and to be a better person.  It seems like the least I can do to honor his memory.

As we contemplate Thanksgiving Day it is appropriate to ask that question.  I hope we will all be thankful for a satisfying meal taken with family and friends on November 26^th.  But, beyond that – what are you thankful for?  I am blessed to have a wonderful family, good friends, my health, and a fulfilling career.  Each of those requires constant “care and feeding” which I provide willingly.  At the same time, I am troubled by the many challenges we face, both here in the US and abroad.  I pray that we can find ways to bridge the many divides that separate us so that we can all live the best lives available to us.  In closing, I wish you and yours a safe, satisfying Thanksgiving.