Time is closing in fast on April 15th. This means many of you may be scrambling to finish your 2007 taxes. At Save Money.com we have articles focusing on saving you money on your taxes. Do you want to file your taxes online? The IRS site has a free file service for those who qualify.

If your adjusted gross income was $54,000 or less in 2007, you can use Free File to prepare and e-file your taxes online. If you need more time to file your return, some companies also offer free preparation and e-filing for Extensions (Form 4868). [Source: IRS.gov site]

So if you qualify why not use their service. We have compiled a few other helpful tips to make your date with the tax man less difficult.

1. Before you begin crunching numbers, pull all your 2007 tax forms, including your W-2s, 1099s, 1098s, and receipts. Once you have everything in front of you, the online forms should be easier to fill out.
2. Use the Free File service from the IRS if you can. We also have a list of links available under Taxes on our Resource page.
3. Look over your previous year’s taxes to see acquaint yourself with what you did last year. Examples are our greatest teachers.
4. Consider using the direct deposit method to receive your 2007 tax return. The service grants you quick access to your refund check. The difference could mean a couple weeks to a month’s time.
5. If you earned less than $12,590, then you may be eligible for an earned income credit. This credit means you receive money even if you are not owed any in a refund.

If you’ve waited til the last minute, and realize you cannot file on time, then you can ask for an extension. If you have everything in order, you may save some money and receive a little back this year. Good luck to you all!

The economic stimulus checks should be rolling out in May. 130 million American households will enjoy the extra change in the jar presuming they filed a 2007 tax return. Have you filed your 2007 taxes yet?

To receive a payment, taxpayers must have a valid Social Security number, $3,000 of income and file a 2007 federal tax return. IRS will take care of the rest. Eligible people will receive up to $600 ($1,200 for married couples), and parents will receive an additional $300 for each eligible child younger than 17. Millions of retirees, disabled veterans and low-wage workers who usually are exempt from filing a tax return must do so this year in order to receive a stimulus payment. [Source: IRS.gov

The checks are coming in hopes you will spend the money on TVs, household items, and frivolous goods. The idea is too boost the economy through consumer spending. Your pockets are already burning, right? Well, hold on. This is not free money. The tendency to use the money for unnecessary items should concern any household hoping to save money.

This is not free money. The amount you receive will be counted as income on your 2008 tax return. Every person should set back at least part of the money to pay for its tax the following year. Otherwise, the tax return will just be hurt the following year.

But why not just save the money? We can stimulate our own savings account with the money. If you’re married the entire check could be placed in a savings account at 3% interest. This would reward you with an additional $36 dollars within a year’s time. That’s at simple compound interest.

So why not save the money, or at least part of the economic stimulus check for the future. We should all hold back at least enough to pay the taxes on it. What will you do with your economic stimulus check?

On the Save Money Blog, we’re always looking for ways to help our visitors save money. We recently published an article discussing how tax credits can help you save money. We would like to add to that discussion by talking about the Hope tax credit.

Those with kids beginning classes in 2008, the Hope Tax credit is not going anywhere. You can benefit from the tax break next year. For everyone else, let’s dig into the benefits of this program.

The Hope tax credit can effectively lower the amount you pay out for taxes this year. This tax credit can be used if you earned less than $55,000 as an individual and $110,000 as a couple.

According to an IRS Summertime Tax tip publication:

The Hope Credit, Lifetime Learning Credit or the Tuition and Fees Deduction may help offset the cost of higher education for you, your spouse and your dependents.

The amount of these credits and deductions are based on the qualified education expenses, such as college or vocational school tuition and enrollment fees, that you paid during the year and may be limited by your modified adjusted gross income. Room and board, insurance or personal living expenses are not considered qualified education expenses.

The Hope Credit, which is up to a $1,650 tax credit per student per year, is available for only the first two years of college or vocational school. [Source: IRS Publication]

So the Hope tax credit can be used for anyone in your family and for up to the $1,650 limit. This would definitely help many families save money on taxes. The Hope Credit is only available for the first two years of schooling per student. If you have a child starting at a University in 2007, then this credit should benefit you.

Do you understand a tax credit? Many misunderstand them. It’s common to think it will lower tax liability. In actuality, the tax credit reduces the overall tax by the amount paid. It’s quite beneficial moreso than simply writing off the expense. This is basically the government’s way of saying they understand you paid a portion of your taxes owed already.

The IRS Publication 970 details many education tax programs and how they affect you. Be sure to read the most up-to-date information before filing your 2007 taxes. It may save you money!

Remember, if you have questions about tax credits, filing taxes, or anything else to save you money on your taxes feel free to ask in the comments or in our forums.