The statistics are in: more than any other generation, millennials do everything they can to avoid dealing with the IRS. According to information from NerdWallet and Bloomberg, millennials, those between the ages of 18 and 34, are the most afraid of filing their taxes compared with all other ages. They think they will overpay, underpay or make some other mistake.
According the research, several factors contribute to this: millennials engage in significant freelance work; they fail to turn to tax professionals; and they don’t ask the IRS for clarification or help when they have tax questions. Instead, they ask family or friends. These people, while well-meaning, likely have no idea how to resolve their complex tax issues.
Options for Struggling Millennials
If a taxpayer struggles with taxes, he or she can establish a payment plan with the federal agency. IRS spokesman Eric Smith explains: “Someone facing a tax bill they can’t pay can usually set up a payment agreement.” Smith advises individuals to contact the IRS to avoid collection action. Although some millennials might need to hire an EA, less expensive options include using online tax tutorials or taking qualified online classes. The worst thing that they can do is to ignore letters from the IRS.
If You Can’t Beat Them, Join Them
Interestingly, the IRS feels quite the opposite about millennials; in fact, the agency wants to hire them! According to a recent survey, just 650 out of 87,000 IRS employees are younger than 25, and more than 50 percent of workers are 50 or older. This report had a stark warning for the agency; if it wants to retain workers into the next decade, it will need to improve their hiring practices and focus more on millennials.
One advantage to employment with the IRS for millennials is a great work-life balance with almost guaranteed 9-to-5 hours. In addition, about 40 percent of the staff will be eligible for retirement by 2019, which leaves numerous opportunities for promotions.
Facing Your Fear of the IRS
Whether you are a millennial or not, you might be facing a tax resolution issue in Denver, and you’re worried about what to do next. We have helped many people in similar situations resolve their problems with the IRS. Contact us at 720-398-6088 to set up a strategy to handle your situation.