As a private citizen, one of the most important factors in determining whether you need an accountant is analyzing where you are at in your life. As you obtain more capital, you might want a professional to manage your assets. Those who are just starting their professional lives may find that hiring an accountant is not necessary since fewer assets and liabilities make for simpler taxes.
Additionally, the benefits of hiring an accountant should be seriously considered. Tax breaks change from year to year and as your accounts become more numerous or complex, bringing in a professional may save you a significant amount of money.

If you find that the benefits of hiring an accountant are outweighed by the costs, it may be best to stick with personally managing your accounts or utilizing one of the many online accounting programs. Low cost programs such as Turbotax and Taxact are a great choice for private citizens who wish to file their own taxes. These programs may not catch all of the breaks available to you, however, they often prompt you with leading questions about your lifestyle which may take you to other parts of the process crediting you with various tax breaks.

In some cases you can get free tax help by making an appointment with volunteers at your local library. Be sure to call well ahead of tax day to see that you get an appointment.

For those considering bringing an accountant into their business, it is pertinent to analyze the demand and work available for such a position. You may find that keeping a CPA on staff is too costly. For owners of smaller businesses who typically handle most of the daily accounting, it may be feasible to train an office manager or administrative assistant in some of the bookkeeping to help lighten the workload, while paying an accountant on retainer to do your tax returns.

Alternatively, business owners may find that among other challenges of running the show daily, there just isn’t time to pay special attention to crunching numbers. As small businesses grow, the demand for a bookkeeper becomes greater. Aside from the fact that you may not have much space in your day to devote to accounting, you also may not be current on annual money saving methods, which an accountant would have expert knowledge on.

Keep in mind that whether you are running a business or managing your personal accounts, you will still want to know accounting basics to verify that your bookkeeper is a straight shooter. There is a lot to be said for referrals, so as you are searching for a trustworthy candidate, don’t forget to put your feelers out there and ask friends, relatives, or other business owners who they trust to manage their assets. Even if you can’t find a recommended CPA by word of mouth, most accountants can provide you with referrals.

Emma Martin works for Accounting Degree where you can find information on a  Associates of Accounting degree and research online accounting programs.

1.  Green vehicle purchase.  Although you can no longer get a tax credit for standard hybrid vehicles, the IRS has deemed that both electric cars and newer plug-in hybrids will still be eligible for this write-off.  And you could see a hefty return come tax time.  Depending on the type of vehicle you buy, you could get as much as $7,500 for the vehicle alone, with an additional $2,000 credited for the installation of a home charging station (federal credit).  And the state you live in may offer even more incentives (like California, which will throw in up to $5,000 for some vehicles).

2.  Fuel conversion.  If you can’t quite pony up the cash for a new set of horses, you may be better off doing some work under the hood of the vehicle you currently own.  Most cars can be made greener by installing an electric drive conversion kit to cut down on emissions.  This will cost a bit since you will have to purchase the kit and then hire a mechanic to install it, but it could come with a $4,000 rebate (and a reduction at the pump).  This rebate is only offered until the end of 2011, so you should jump on it soon.  Just make sure that you’ve got some life left in your vehicle; otherwise it might be more cost effective to find something new.

3.  Business vehicle.  If you are a small business owner, or a contractor who must travel frequently, you can actually write off a work vehicle.  Of course, it needs to be used either solely (or mainly) in the pursuit of business.  But if you have a vehicle that qualifies, much of the expense can be written off.  You will have to separate business and personal use if the vehicle is multipurpose, but there are many devices and programs to help you track usage.

4.  Unreimbursed vehicle expenses for work.  Any time you have to use your own car for work travel (even if you’re just driving to the airport and paying for parking for a couple days) and you’re not reimbursed by your company, you can claim the expense.  You may need to save receipts (gas, parking, maintenance, etc.) or use a mileage tracker to claim this write-off.

5.  Donation.  When your car is on the outs, you can’t sell it, and you just want it gone, consider donating it to one of many organizations that will refurbish it for needy families or auction it off to fund their charitable organization.  You can claim the standard deduction of $500, or in some cases, the auction value.

Emma Martin writes for Trucker to Trucker where you can find box trucks, sell used trucks, and browse through classifieds to find a dealer near you.

Though the federal estate tax took a break in 2010, the tax will once again be levied on American’s heads in 2011. The tax has undergone a variety of different changes since 2001, when Congress voted to begin changing the rate at which the tax is applied. Furthermore, the income level that triggers an exemption from estate taxes has also fluctuated in the past decade. The reinstatement of the estate tax comes with a vengeance, as the exemption level will fall to the lowest point its seen in years and the tax rate will make a major hike.

Congress began making changes to the estate tax earlier this decade, which culminated in a one year repeal of the tax in 2010. In practice, this repeal allowed deceased individuals to pay nothing in tax on their estates in 2010. Prior to 2010, the tax rate was fixed at 45%, with individual exemption at $3.5 million. When the tax returns on January 1^st, it will be applied at a rate of 55%, with the exemption set at $1 million.

While a higher exemption figure means only wealthy individuals are directly affected by the changes in the tax law, the lower exemption of $1 million dollars is expected to greatly effect average American families. As the estate tax counts all possessions as taxable, including real estate property and retirement savings, it is much easier for individuals from the middle-class to cross the $1 million threshold, in turn making themselves liable for paying the hefty estate tax. Once the estate tax increase takes place in January, the rate hike will officially become the largest ever in the history of the nation.

Several politicians had proposed making changes to the estate tax law, with the Obama administration supporting the reenactment of the 2009 terms. Though the Obama recommendations were approved by the House, Senate Republicans blocked the measure in the Senate earlier this year. Unfortunately, as 2010 was an election year, many politicians seemed unwilling to propose new measures that could have  negatively impacted their election campaigns.

Whereas wealthy families have used several different methods to evade taxation in the past, many middle class families will be forced to pay the new taxes. For example, many wealthy individuals have traditionally gifted large amounts of money to members of their kin, or made significant charitable donations. In specific instances, both gifts remain free from taxation. The average American does not have the luxury of avoiding such taxation, however, as much of their wealth is likely tied up in their home’s value. Individuals living in areas with high property values are particularly at risk.

As the new estate tax law comes into place, it’s anyone’s guess as to how long the law will remain in place. Opponents remain hopeful that the legislative branches will work out a compromise to ease the strain on ordinary Americans. Unfortunately, for the moment, the high tax hikes remain in place, placing millions of Americans at risk of paying the enormous tax.

Emma Martin writes for Ask Deb, where you can find Macaroni Grill Coupons, Arby’s Coupons and tons of other great deals on your favorite eating and shopping establishments.

• Interest on your mortgage. Let’s be honest–interest is pretty much all you’re paying for in the first few years of owning your home.  Of course, I doubt there’s even a chance you’d let this deduction slip by, so just consider it a friendly reminder and something to look forward to when preparing your taxes.
• Health insurance premiums and Health Savings Accounts (HSAs). This might not increase your tax return significantly, but it sure feels good to be able to deduct some of those expensive premiums we all have to pay for health care, particularly if you’re self-employed.  (Hint: if you are self-employed, you get to deduct more than the rest of us.)
• Student loan interest. That’s right.  Uncle Sam lets you deduct this one, too.  You should receive a statement from your bank come tax time to help you with this part, so be sure not to toss it aside or let it get lost!
• IRA contributions. This only applies to traditional IRAs.  You’re going to have to pay taxes on your withdrawals when you reach retirement age, so prior to that point in time, you get to deduct your contributions.  If you have a Roth, you don’t get to deduct, but you won’t have to pay any taxes on your withdrawals.
• Your home office. If you’re self-employed, don’t overlook this deduction.  However, do check into the specific restrictions to make sure you qualify.  For example, a room in your home that is purely used for your business counts as a home office.  Using the computer in the corner of your bedroom does not.  Once you’re certain you qualify, you can deduct not only the space itself, the mortgage/rent payment respective to it, electricity, etc., but you can also deduct your computer, business phone line, office supplies, etc.
• Charitable contributions. You probably already know this one, but did you know that it’s not just for monetary contributions anymore?  Did you donate some old clothes or used items to a place like Goodwill or your local church?  These can be deducted.  It’s best if you make sure to get some form of a receipt if possible.
• “Green” credit. If you recently renovated your home to be more energy-efficient and “green” or perhaps bought a qualifying fuel-saving, hybrid, or otherwise “green” car, the government will reward you with a tax deduction.

If you’re uncertain as to whether or not you qualify for these or any other deductions that you find, don’t be afraid to consult a tax advisor—you can deduct tax preparation services, too!  Home tax software such as TurboTax will help you catch deductions by asking you easy-to-follow questions.

• Home office.  That’s right—you can deduct the portion of your house that you do your work in.  However, be aware that there are some tight restrictions surrounding this one.  The most notable is that this space must be solely used for your business.  The corner of your bedroom where you’re keeping the computer doesn’t count.  Once you’re down to the right specifications, you can deduct everything that goes into maintaining that space: mortgage or rent, insurance, electricity, etc.
• Office supplies and furniture. What good is a home office without a chair, desk, filing cabinet, paper, pens, and post-it notes?  Yes, this is all deductible.  It’s necessary to keep your business running!
• Phone and internet service.  If you’re able to show proof that you’re making business-related phone calls and doing business-related internet searches/emails, etc., this can be written off, too.  The key?  You may need to get a separate phone line.  And unless you’re advertising your business on Facebook, try to keep away during your “business hours.”
• Mileage.  Does your home based business require some travel?  Make sure to keep strict logs of your mileage and toll fees, as well as your destinations and the reasons for going there.  If you’re as diligent as the government requires, this can be an easy write-off.
• Travel, meals, and entertainment. If you’re traveling far for your business, you can deduct any of these expenses–your hotel, your lunches and dinners with clients, etc.  You might not have a direct boss to reimburse you when you return, but the IRS will allow you to write it off come tax season!
• Health insurance. We all know this one can be outrageously expensive when you’re paying for it with no help from an employer, but actually, this can be deducted as well for a little relief.
• Advertising/Promotions. Any expenses toward building your business may be eligible for deduction.  Did you give away some of your product for free to encourage sales?  Place an ad in the newspaper or create a tv commercial?  This may all qualify.

Of course, all of these are subject to all of the rules and restrictions set by the IRS, particularly the home office deduction.  Therefore, please be sure to check with an accountant or another qualified legal expert to make sure that you qualify and/or are keeping accurate enough records.  And don’t hesitate to ask or look for more deductions—there’s always something else hiding out there!