Early tax filers are chomping at the bit to start getting their tax returns.
Why? Because if you're getting a refund, why wait any longer than you must to file your return. Seriously - don't let the government hold onto your money any longer than they already have.
But the trouble is two-fold. One, we don't know when you can file your return yet - heck, some of the laws aren't even finalized yet. That means that the tax software companies like TurboTax and H&R Block can't even finish their programs. Two, there are a lot of choices out there when it comes to filing your taxes.
Today I wanted to look at what is available for early filers - those that want to start right now and be ready to submit on January 1 if they could. Who's software is the best? Who's is the cheapest? What's happened in the past that could make a difference this year? Let's break it down.
Comparing The Best Tax Software
When it comes to filing your taxes online, there are three major competitors: TurboTax, H&R Block, and TaxACT. However, there are many more "small guys" out there. I'm going to try to review as many as possible, but for early filers, it's typically best to stick to one of the big three.
To compare the software for early filers, I looked at the following:
- Ease of Use
- What information you could input today in December
- Does it require you to sign up to try
- Does it offer tax calculators where you can just "run the numbers"
- Any technical issues I encountered while using the site
- Early Pricing
TurboTax | H&R Block | TaxAct | |
|---|---|---|---|
Ease of Use | Easiest | Easy | Moderate |
How Much Works? | All of the income sections worked, and all of the deductions and credits worked. Had some delays with state and unique ares. | All of the income sections worked, and all of the deductions and credits worked. Had some delays with state and unique ares. | Every section worked and allowed input. |
Do You Need To Sign Up To Try? | Yes | Yes | Yes |
Can You Run The Numbers? | Yes, but not easy to find. | Yes, but not easy to find. | Yes, easy calculators. |
Any Technical Issues? | None | None | None |
Pricing | Federal Free: $0 Deluxe: $39.99 Premier: $59.99 Self Employed: $89.99 | Federal Free: $0 Deluxe: $39.99 Premium: $59.99 Self Employed: $89.99 | Federal Free: $0 Plus: $25 Freelancer: $39 |
My Choice For Early Filers
If you're an early filer, the software that worked the best and had the best pricing was H&R Block.
Here's why:
H&R Block is our choice for early filers because everything works with their software, and it has the best pricing for the free tier this year. If you qualify for some deductions and credits, you might still be able to file free on H&R Block, where you'd have to upgrade to Deluxe with TurboTax.
TurboTax is by far the easiest to use, but H&R Block isn't far behind, and not enough of a difference to change our opinion of it.
If you're looking for an early tax refund anticipation loan, check out TaxSlayer. While we didn't compare them here, they are the only company offering loans by filing your return online.
Which tax filing program did you use last year and why? Are you planning to use the same this year?
Jiggs says
I don’t know where you got your pricing but in Wisconsin Turbo tax is at least $25 higher than your pricing and Deluxe this year doesn’t support Schedule D so you have to move to at least Premier.
The lowest price I found for H&R Block was $35 for Deluxe which does support Schedule D. I couldn’t find the other software you discussed.
Robert Farrington says
Yes, the change in TurboTax Deluxe this year not supporting Schedule D has caused some controversy. And H&R Block is taking advantage by offering TurboTax customers H&R Block software for free: http://plantingmoneyseeds.com/hr-block-offers-free-tax-prep-software-turbotax-users/