Conquering the Dread of Tax Time: Strategies to Cope
Delineating the Method:
Got a case of the tax blues? Don't fear, we've got your back! Let's dive into how to tackle that aversion to filing your taxes like a champ.
Sometimes, we just can't shake off the urge to put off unpleasant tasks, like filing taxes. In an interview, behavioral economist and author Thomas Mathar sheds light on why that's so common.
Why is it so hard for some people to file their taxes on time?
Tom Mathar: Well, my friend, it's all about procrastination. People tend to put off complicated tasks, making taxes a classic example. From an economic standpoint, filing early – maybe even earning a refund – seems like the smart move.
However, from a behavioral perspective, there are a few things at play:
- Complexity: Nail-biting complexity often deters us. Many find the tax system confusing, which fuels the fear of making mistakes.
- Delayed Gratification: There's no immediate reward for our effort. The effort we put in to file taxes is now, while any refund, if any, is tomorrow.
- Non-existent Social Pressure: No one's gonna break down your door for filing late, you see.
- Lack of Urgent Need: If there's no immediate need, there's no incentive to act. Only the deadline pressure makes us move.
Where does the dread of tax time come from, and how can we push past it?
Dread is often fueled by past experiences or misconceptions. A fresh perspective can work wonders. Instead of thinking, "Oh, no! Taxes! Ugh, but I gotta do 'em," consider, "How great will it feel to have this done and out of the way?" A financial health check-up, instead of a daunting chore, could help give you a new perspective.
How can those affected overcome the tax dread earlier in the year?
You can try motivating yourself using techniques like associating tax filing with a reward, like a favorite treat or taking a break after each completed section. Breaking down the task into smaller steps can help too – perhaps you tackle the whole thing at once, but first, you gather all your receipts.
Sitting down with a friend or partner to tackle it together can be encouraging, especially knowing many others have completed theirs. As social creatures, we tend to gravitate towards social norms, so knowing that others are doing the same can make us more inclined to follow suit.
Mathar adds, "Instead of just dreading the penalties, let's focus on making the tax return simpler, more rewarding, and less overwhelming."
About the expert: Dr. Thomas Mathar has been leading the Center for Behavioral Research at Aegon UK since 2017. His research focuses on the instincts, motivations, abilities, and environmental factors that drive or hinder individuals from making better long-term financial decisions.
Now, armed with this fresh perspective and some practical strategies, you can conquer the beast that is tax time!
[1]: six mistakes in tax returns that cost money
[2]: up to 1000 euros refund: tax return - tips for getting money back
[3]: What changes in 2025 ... ... in taxes?
[4]: practice self-compassion
[5]: Consult a tax professional
- Dr. Thomas Mathar, an expert in behavioral research at Aegon UK, sheds light on the common issue of procrastination when it comes to filing taxes, stating that it stems from factors such as complexity, delayed gratification, and lack of social pressure.
- Instead of perceiving tax time as a dreadful chore, one could view it as a financial health check-up, helping shift the mindset and make the process seem less daunting.
- To overcome the tax dread early in the year, individuals can try motivating themselves with rewards or breaking down the task into smaller steps, or even tackle it together with a friend or partner.
- Contrary to focusing on the potential penalties, it's essential to make the tax return process simpler, more rewarding, and less overwhelming to effectively conquer the dread of tax time.
