DIY, Friends, or a Pro? How You Handle Tax Preparation Can Make or Break Your Financial Plan

Financial Horizons: Insights for Building Wealth and Securing Your Legacy

By Dr. Jose G. Cardenas, Chief Tax Strategist at The C & R Group, LLC

When it comes to tax preparation, people tend to fall into one of four categories:

• They do it themselves with tax software.
• They do it themselves manually.
• They hire a tax professional.
• They ask a family member or friend for help.

At first glance, each approach might seem reasonable depending on your comfort level and financial complexity. But the method you choose can directly impact your tax liability, refund potential, and even your long-term wealth-building strategy.

The DIY Software Approach

Tax software has become increasingly user-friendly, offering step-by-step guidance. This is a great option for people with simple tax situations—think W-2 income, no dependents, and no major investments. However, software can only go so far. It won’t suggest advanced tax strategies, help you proactively plan for the next year, or interpret complex deductions and credits that could save you thousands.

Manual Preparation

Some still choose to do taxes manually. While this can save on fees, it requires a deep understanding of IRS forms, tax law changes, and deduction rules. The margin for error is high, and mistakes can lead to penalties, overpayment, or missed opportunities.

Relying on Friends or Family

It’s common to turn to a trusted friend or family member, especially someone “good with numbers.” While well-intentioned, they may not be up-to-date on current tax laws or aware of strategies that apply to your specific financial picture. A small oversight could cost more than any savings on preparation fees.

Hiring a Tax Professional

For most business owners, high-income earners, or individuals with multiple income streams, this is the most beneficial option. A tax strategist doesn’t just prepare your return—they help you design a plan to minimize your tax liability, maximize deductions, and keep you compliant year-round. This approach turns tax season from a reactive chore into a proactive wealth-building tool.

The truth is, your choice in tax preparation isn’t just about filling out forms—it’s about setting yourself up for financial success. If your goal is to keep more of what you earn, legally and strategically, professional guidance is an investment, not an expense.

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About the Author
Dr. Jose G. Cardenas is a retired U.S. Army Finance Officer and the Chief Tax Strategist at The C & R Group, LLC. With a Doctorate in Business Administration and over 20 years of experience in financial strategy, tax planning, and life insurance, Dr. Cardenas helps individuals and business owners protect their wealth and build a legacy. Learn more at www.thecrgroupllc.com.

📌 Disclosure:
This article is for educational and informational purposes only and is not intended to serve as personalized legal or investment advice. Dr. Jose G. Cardenas, DBA, provides tax advisory services through The C & R Group, LLC. Insurance strategies, including Indexed Universal Life (IUL) and annuity products, may be offered through his role as a licensed financial professional affiliated with Experior Financial Group.