The tax season is On, and most of the people would be looking for various tax savings methods or tweaks. You might be also reaching out to tax consultants for filing your taxes online. Nevertheless, you can do taxes online, if you know tax saving tips. We bring to you the best five tax preparation tips to save some extra mile on your taxes.
2Add Funds to FSA
Fexible spending account (FSA) is a type of savings account that provides the account holder with specific tax advantages. An FSA, sometimes called a “flexible spending arrangement,” can be set up by an employer for employees. The account allows you to contribute a portion of your regular earnings; employers also can contribute to employees’ accounts.
Funds contributed to the account are deducted from your earnings and are not subject
to income and payroll taxes. [Source: Investopedia]
You can contribute to FSA up to $3,500 if you’re single, and upto $7,000 for couples and families, and $8,000, if you’re 55 and above.
