Worth paying a pro?

General
1

My ex husband always paid a tax pro to do our taxes. We got divorced in 2024. Will my return be complicated enough that I should pay the pro to do my taxes?

I kept the house (refinanced), have custody of the child (17), and the older child, 20, still lives with me.

We didn’t split retirement accounts or brokerage accounts. Those we kept in our respective names.

Every dollar counts so if my return would be easiest to do myself, I am willing to give it a go, but if it’s complicated, I am willing to pay a pro.

I have had 3 jobs this year. 2 part-time and 1 full-time.

2

Most def. I’m in the process of divorce and thinking of my return gives me a headache, and I’m a CPA tax manager.

3

If your income is low enough, you can have your returns prepared for free with VITA.

4

I do taxes easily online each year. I have 1099 income, social security income, a bit of interest plus a rental. Online easily figures my confusing self-employment taxes, depreciation on the rental, and everything else. It’s dirt cheap, and I recommend it. I spent quite a bit of money over the years on accountants.

5

Were all 3 of your jobs W-2 jobs, or were any as a self-employed contractor? Did you have anything complicated or unusual in the brokerage accounts, such as selling stocks you don’t know the cost basis for, employer stock options, employer stock purchase plans, or is it just going to be dividends and interest? Do you have any treasuries or municipal bonds in your brokerage account?

If you’re entering 3 W-2s, a couple of 1099-INTs, and a 1099-DIV with none of the above items on it, you can probably do it yourself. You’ll file as single and claim the 17-year-old as a dependent for the additional child tax credit of $500. If the 20-year-old is a full-time student who did not provide more than half of their own support; or if they made less than $5050, you could also claim them.

You could also get your taxes done for free at an AARP Tax-Aide site (help for all ages with no income limits) or a VITA site (incomes below $67K). You can find locations here, but the list won’t be fully updated until the end of this month: https://www.irs.gov/individuals/free-tax-return-preparation-for-qualifying-taxpayers

6

Filing taxes is a lot like changing your own oil - anyone can do it, but if you have a complicated issue or just don’t want to spend an entire weekend doing it, then it might be worth paying the monkey to do it for you.

7

Do you understand the rules of who qualifies as a dependent and how? Do you understand the rules of head of household? Do you understand the difference between standard deduction and itemized deductions and when it is beneficial to take each one?

If you answer No to those questions, you are probably better off hiring a professional.