Hi all, so I am definitely not the most tax savvy person around, so would appreciate a few thoughts on this.
Last few years, I've made about 15-20k on my side gig. I have my dayjob take out additional taxes to cover this. Well, unexpectedly, one of my side gig checks did not making it to my account as yet (switched from paper check to ACH payment, so I'm thinking they likely just programmed in the due date on the invoice which is 1st week of Jan, but they were always super quick with the paper checks so I wasn't anticipating this. Always give 30 days on the invoice for payment.
So now my taxable income is going to be about 5k less than anticipated, which now I'm anticipating money back from fed and state. But next year I'm likely going to have a higher taxes for the side gig if all my projects recur and I get the billing for the last one out earlier.
Is there anyway to turn this to my advantage somehow? When the payment comes in in January - I think I can still use that cash to fund my sep-ira. Luckily - I had some expenses for the sidebiz that I've put off so will have some more to deduct in 23.
Anything esle I can do to mitigate the higher taxes in 23? Anything to do now for 2022?