Tax season is over — now what? Whether you got a refund or wrote a big check, May is the time to adjust your strategy so next year looks different. Plus: what to do if you can't pay what you owe.
Got a Big Refund? That's Not Actually Good News
A large tax refund means you overpaid the IRS throughout the year — essentially giving the government an interest-free loan. The goal is to owe as little as possible at filing while avoiding underpayment penalties. If you received a refund over $1,000, consider adjusting your W-4 withholding or estimated tax payments so that money stays in your pocket (and earning interest) throughout the year instead.
Owed More Than Expected? Here's Why — and How to Fix It
Common reasons for an unexpected tax bill include: a new side income stream without withholding, a large capital gain from selling investments or property, underpaying estimated taxes, or a life change like marriage, divorce, or a new dependent. We can do a withholding review and help you set up the right estimated payment schedule so you're not caught off guard again next April.
Can't Pay What You Owe? Don't Ignore It
The worst thing you can do if you owe the IRS and can't pay is to ignore the bill. Penalties and interest compound quickly. The IRS offers installment agreements, currently-not-collectible status, offers in compromise, and other resolution options. Our team is experienced in IRS representation and can negotiate on your behalf. The sooner you act, the more options you have.
From the Firm
We're now accepting new bookkeeping clients for the remainder of 2026. If your books are a mess — or you're still doing everything in a spreadsheet — let's talk. Clean, accurate books are the foundation of every good tax strategy. Our bookkeeping packages start at $300 per month and include monthly reconciliation, financial statements, and a quarterly check-in call.