Given the climate of today’s economy, it can be difficult to save. As accounting professionals we at Tyler Lynch, PC believe saving for the future must be included in any financial plan. Opening a savings account is just the first step in smart money management. Many individuals have concerns with savings accounts. Are there bank fees? Are you concerned with your spending habits? If you are hoping to improve your personal finances, here are five ways to grow your savings account balance, cut your costs and avoid unnecessary bank fees.

1. Watch your spending – Saving more starts with spending less. If you are struggling to contribute more to your savings account, many banks and personal finance sites offer free online tools for tracking your expenses.

2. Automate your savings - Automatically depositing a portion of your paycheck into a savings account or arranging monthly transfers from a checking account is the easiest way to get into a routine that adds to your balance.

3. Avoid excessive withdrawals - While you may be used to making plenty of transactions with your checking account, many banks discourage the same type of behavior with a savings account. After an account holder crosses the threshold, banks can impose withdrawal fees. These fees vary among institutions, and some account holders may pay up to $10 for each additional transaction.

4. Keep a close eye on your balance – As more banks begin to adjust their business models in the wake of new financial regulation, account holders will need to pay close attention to their account terms, particularly minimum balance requirements. In you maintain your bank account on the internet you can easily find your current bank balance.

5. Overdraft protection is available - According to the Bankrate 2011 Checking Account Survey, the average overdraft fee rose to $30.83. However, you can pay much less should you have insufficient funds by maintaining a savings account with the same bank. The typical fee for savings account protection is $10 per incident.

Reference: David McMillin – Bankrate.com

Unless you have been filed for extension, tax season is safely behind you.  Congratulations, you can breathe a sigh of relief (and be sure to thank your accountant).  You may feel that you have paid the IRS too much, as accountants we certainly understand.  Maybe it is time to start doing things a little differently.  If you’re looking to change accountants and do not use our services already, be sure to visit our site at www.TylerLynchPC.com.  However, if you are looking to ‘run’ from your taxes, maybe it’s time to think about living in a state where the tax burden is less than it is where you are now.

Some states have low property taxes, low gasoline taxes and low sales taxes. Some have low income tax rates, and some expect not one cent of income tax revenue from its residents.  Is there such a thing as a ‘tax haven’? – maybe, maybe not.  Yet, read ahead to see which states qualify as American tax havens.

10: Florida – Residents don’t pay any personal income tax, the sales tax rate is 6 percent, and                             the gasoline tax is 17 cents   per gallon.

9: South Dakota – Its sales tax is 4 percent, it levies no corporate income taxes, and has no estate tax.

8: Delaware – It assesses no state general sales tax whatsoever, and the highest tax bracket in the state is a 5.95 percent income tax rate.

7: New Mexico - The gasoline tax is 17 cents per gallon, another attribute that makes the state attractive to taxpayers. The sales tax is 5.13 percent.

6: Utah - 5 percent individual income tax rate that applies to everyone at every income level. It has a sales and use tax of 4.7 percent, imposes no taxes on intangible assets like intellectual property, and doesn’t collect estate taxes.

5: Tennessee – Tennessee levies a 6 percent tax on income from dividends and interest. However, the state leaves the salaries and wages of its taxpayers untouched.

4: Louisiana – Louisiana’s property tax on owner-occupied housing is .43 percent, third-lowest rate in the country.

3: Colorado – Colorado has low tax rates across the board. It levies a relatively low 4.63 percent flat tax on the personal income of its residents and has a low sales tax rate of 2.9 percent.

2: Alabama – The property tax on owner-occupied housing in Alabama is .41 percent, second-lowest in the country.

And for #1 ….. DRUM ROL L PLEASE

1: Wyoming – Wyoming is the best place for overall tax rates in the country. It has low taxes across the board, including one of the lowest gasoline taxes in America, at 14 cents per gallon. It also has low property taxes and sales tax, and levies no personal or corporate income tax.

At Tyler Lynch, PC we want you to remember that even if you move, we can continue doing your taxes!

You can find useful financial advice and information at our website www.TylerLynchPC.com. Venture over to ‘Tyler’s Corner’ and read the Money Soup!

Donating a Car - Do you have a extra car that you no longer use?  Read this interview conducted by the AICPA regarding the tax benefits of donating a car!

Renter’s Market For all you local residents, is Boston a place to rent rather than buy?  This individual believes the answer to that question is, yes.