DVIDS – News – Time is money: Finance and tax tips from Mike Hamilton

Every year, millions of Americans organize their insurance cards, employment records, and year-end statements in preparation for tax time. But questions still remain. How can taxpayers maintain a positive financial mindset, not just during tax season, but throughout the year?

Mike Hamilton, Personal Finance Counselor and Certified Financial Consultant at Pittsburgh International Airport Aviation Reserve, provides both general and professional guidance and introductions, and emphasizes the importance of financial preparedness. .

Hamilton served as a ChFC for approximately seven years and spent four years at Pittsburgh IAP ARS. His working hours are Monday through Friday, and his unit training meetings are held on weekends from 8:30 a.m. to 5 p.m. in Building 209. Hamilton credits his retirement plan (Thrift Savings Plan, 401K, 401A, 457B, etc.), his card debt and budgeting.

“Call me for anything financial-related,” Hamilton said. “I can handle most things. I can help you with taxes. I haven’t heard many surprising questions about buying a new house or car.”

While acting as a financial counselor providing services available to facility members, in compliance with the policies outlined in our contract with Magellan Federal, we cannot provide direct recommendations or advice.

However, this does not mean that he cannot provide counseling, education, referrals, and recommendations. Hamilton’s services help address the various nuances of financial preparedness that individuals may not be aware of.

When it comes to taxes, there are resources available for free filing, consultation, and preparation, some specific to the military. Military OneSource offers free tax services to military members through MilTax. Additionally, United Way and the Volunteer Income Tax Assistance Program provide free services from IRS-certified volunteers.

MilTax offers free federal and up to three state filings and consultations and is backed by the Department of Defense. United Way offers free tax preparation and free federal and state tax references through MyFreeTaxes. The IRS’ VITA program provides free basic tax returns to individuals making less than $65,000 a year. The former two of her resources have no income restrictions.

Mr. Hamilton also emphasized that the IRS offers additional benefits for military service, such as tax credits for traveling more than 100 miles from home in connection with the performance of your duties as a member of the Reserves. . You can deduct unpaid travel expenses by including them on your tax return from the time you leave home to the time you return.

The guide provided by Hamilton for TSP plans explains the differences between Roth and traditional IRAs. With a Roth, you can prepay taxes when you make contributions and don’t have to pay taxes on withdrawals in retirement. Traditionally, the opposite is true: taxes are not paid upfront, but are paid at the time of withdrawal. Which option you pursue depends not only on your preferences, but also on considering tax rates “now” and “then.”

One thing to consider about each is that a Roth allows you to make contributions at any time without any fees or payments. The more you contribute with Traditional, the more you could earn back at tax time. However, your tax return should not be mistaken for additional income, but rather should represent income that was already yours. Payments or unpaid balances occur as certain deductions or expenses occur throughout the year.

To further clarify and address misconceptions and curiosities about financial information, Hamilton holds two video conferences each month for the purpose of education and responding to inquiries. Notices for these conference calls will be located at the installation’s cafe, Parkesburg, and fitness center. Some of these presentations include topics such as “Exploring Digital and Cryptoassets” and “Retirement and TSP.” Selected topics are covered monthly, rotated quarterly, and then repeated annually. So if a particular topic piques your interest but you happen to miss it, don’t worry, it will resurface the next month within the same quarter and be circulated once again the following year.

Mr. Hamilton observed that individuals often struggle to decide when is the right time to evaluate their accounts and finances. To address this, he recommends a comprehensive review of these accounts at least once a year, ideally around tax season, when individuals are already working on their financials. This includes year-end statements, TSP, 401K, stocks, bonds, and other investments.

A suggestion that Hamilton really emphasizes when it comes to financial preparation is to talk to him directly, in person, over the phone, or via email. This approach allows preparation and prevention to be discussed before an investment or transaction is made, reducing the need to discuss them later when problems have already surfaced.

“Most people come to me after a major purchase, debt or financial trouble,” Hamilton says. “I encourage everyone to discuss these topics and purchases with me in advance to educate and prevent problems before they occur.”

– MilTax: MilitaryOneSource.mil // 800-342-9647
– United Way: Unitedway.org // 211.org // MyFreeTaxes.com
– United Way of Southwestern Pennsylvania: pa211.org/vita // 412-261-6010 // 888-856-2773
– IRS VITA: irs.gov
– Mike Hamilton, ChFC and Pittsburgh IAP ARS Personal Finance Counselor: pfc2.pittsburgh@magellanfederal.com // 412-389-7909