Taxes give me a headache. They exhaust me. I hate them.
This was my attitude up until recently, when the growth of my business made me start thinking about taxes a bit differently. Slowly but surely, a series of conversations with tax specialists and business analysts have made me come to understand tax time as an opportunity to get my hard-earned money back. Every hour I spend properly documenting expenses and consulting with people who have expertise in this industry is money in the bank for my family.
Last year, Americans trying to do their own taxes left over $1 billion in unclaimed money. I'm sure you've seen the H&R Block commercials conveying this concept. For me, it hits home hardest when I frame it around the potential this has for our children.
If America divided that billion dollars between the 3.9 million babies born here annually, we would be gifting a little over $250 per child. In a college fund with an 8% annual yield, that would equate to $1,000 in 18 years – the cost of books and tuition for about a semester in an average junior college. That's a career-starter. That's the precipice of someone's future.
I remember when Nate and I were struggling to establish ourselves after college, and his parents invested this amount of money in some tools he needed to begin his career.
For us, it was life-changing.
How Big Is A Billion?
H&R Block’s “How Big is a Billion?” contest is calling on teachers to turn the idea of a billion dollars into a math assignment for a chance to win a $3,000 grant. Teachers can submit real-life examples that illustrate the concept of a billion dollars (for example, $1 billion is enough to give every teacher in America $300 to spend on classroom supplies). To check out full rules and details and enter, go “like” the H&R Block Dollars & Sense Facebook page. The first 50 educators who enter will receive a $50 gift card for school supplies.