Pay Me Back My Money

It’s February already, but i guess better late than never – so HAPPY NEW YEAR everyone and welcome to financial empowerment by Cash Madam. Ok so make I give una brief introduction – My name na Cash Madam and I thought this would be an excellent avenue to share my thoughts on how to become financially empowered with my fellow Nigerians as I am also on that path – God willing.

Na struggle we dey struggle no be so? Abeg jo its about time we start to see the fruit of our labor or at least begin tilling the soil so we can plant the seeds so we can see the fruit of our labor in the near future abi? That’s right. Before I begin, let me first get protocol out of the way.

DISCLAIMERS

Number 1: Cash Madam is a work in progress. Make una no assume say I get millions for bank oh. I’m walking side by side with whoever is interested on this road to financial empowerment.

Number 2: Suze Orman is not my mother. Robert Kiyosaki no be my broda and no be my papa get richdad.com abeg oh! Cash Madam does not have all the answers but I feel I have a lot of knowledge to share – this is a forum that has been established so we can all learn from each other. I’m sure there are several investors out there with more experience than me. Abeg don’t keep quiet and please don’t overlook us, this is an excellent opportunity to provide your insight.

Number 3: If your papa get oil tanker and/or telecommunication business and/or government connection wey you dey tif money from and money is not an object for you abeg this forum is not for you. Don’t hate here. Na forum for progress be this abeg. If you get comment add am make we learn, no yab us. thanks.

Number 4: I don’t have any affiliations with any websites, just because I reference any website no mean say I dey advertise. It just means that they have been good resources for me and can possibly aid you on your road to financial empowerment or act as a good starting point.

Number 5: Abeg make i bold this one. Please open your eyes well so you go fit read wetin i wan type oh. Last but not the least – As i dey share all my financial views and you dey follow provide una financial feedback make una no go use all your life savings buy one stock or invest for one kind business wey you read for here wey you think say go make you overnight millionaire oh. If market crash tomorrow i no know you oh. No contact me oh! Again please refer to disclaimer number 2 – Suze Orman no be my mama.

Now that that’s all out of the way lets get down to business.

IT’S TAX TIME BABY.

After 1 year – 12 long months – 365 endless days we can finally get our money back from the government. Can you imagine? They take an interest free loan from us that we personally did not willingly authorize for one whole year and then we have to pay someone to get it back – talk about losing money on an investment. Unless you are an avid investor who has incorporated their business with several secondary incorporations under the initial corporation, you no sabi use computer or you just don’t have the time to spare doing a little research then it’s all good. But if you are like me trying to cut corners with spare time in the evenings and no complicated investments (my own no pass property and investment account) then you should be able to file your taxes on your own – their are several applications and web hosted tax filing avenues that will all but hold your hand while they walk you through the different stages. Additionally you can choose the one that is on your level. At a considerably lower cost than having someone file for you – unless the person na your pally pally. My dear college student make i no hear say after earning 5 bucks an hour you carry go give H and R Block your 20 hours a week paycheck make them file tax for you so you go collect equivalent of 30 hour pay check back oh. Been there done that. Learn from experience. You better go and learn how to file form 1040EZ, it’s much s

impler than your math or statistics class.

A hundred dollars spent in tax filing can be money invested elsewhere like a ROTH IRA (www.rothira.com) or 401K, paying down a high interest credit card, a mutual fund (www.vanguard.com), a high yield interest savings account (www.emigrantdirect.com), financial books (www.finishrich.com), sent to an unfortunate relative back home (www.westernunion.com), provide 1 year of food and vaccines for a third world child somewhere (www.unicef.com), should I go on? You sef know this one now. Like my father always say “Penny wise, Pound Foolish”. Let’s talk briefly about pound foolishness. That was the behavior I exhibited last year – No be me Cash Madam? Wetin. I dey work now – top firm – and after all, I’ve moved up to the level where I can start soliciting “professional advice”. Na so I waka go Jackson Hewitt. I laid down my W2 and my property tax papers and smiled. Na so the woman proceed ask me common sense questions and after sitting for about 30 minutes taxes were filed and I found myself giving away $108 dollars.

That’s how I carried my tax forms feeling like I’d just had some complicated stuvvs uncomplicated until I got home and decided to review it. Perhaps after a couple of taps in Google all the info she put in there I could have put in myself on TurboTax plus additional deductions all for $39.99 saving myself $68.01. At least if I didn’t have anything better to do with that money I for fit add am to my “Gucci bag fund” or my “CLK 350 2006” fund abi? 68 dollars no be something?

Well I don’t know about you but I’m filing my taxes myself this year, and I’m going to deduct all the deductibles until I can deduct no more. I’m exercising my rights this year. WAIT OH – I am exercising my rights this year LEGALLY. Please note the emphasis on LEGALLY.

Here are some do and don’ts to assist you in your tax filling this year:

1. Remember to file by the deadline of mid April

2. If you chose to file your taxes on your own carefully read through all the questions asked of you on the sheet or web host and answer them honestly and accurately. Make sure you review your numbers to match your W2s and other tax papers so the IRS does not decline your return.

3. If na your former neighbor wey don turn accountant for yankee dey file your taxes make you no think say if you dey make $30k you go collect $20k for tax return oh. MAKE YOU OPEN YOUR EYE AS THAT PALLY DEY FILE TAX FOR YOU OH. Cos IRS go give you the money abi… but karma is a biatch and when audit time comes round with your name on the list your pally no go know you again. For your pocket abeg. No say person no talk am.

4. If after all said and done, you are confused or uncomfortable don’t hesitate to seek advice from a tax professional.

Did I miss anything?

So now my question is what do you plan to do with your tax return?

As for cash madam i go use am pay some gbese and save the rest towards my next investment venture. Meanwhile I’m going to start researching some small business ideas.