If you have gotten married, divorced, added dependents, or can no longer claim previous dependents, you should speak with a human resource or payroll representative at your job to ensure withholdings are correct.

Consequences of Forgotten Withholdings Changes

You may only realize your withholdings are incorrect at tax time when it is too late. On one hand, you may end up with a rather large refund but on the other hand you may end up owing money to the IRS

While you may think getting a refund is a good thing, you need to reconsider the actually situation. When the IRS owes you money, you have essentially given the federal government an interest-free loan. That money could be put to better use by you. You should adjust your withholdings so you break even at tax time and keep the extra money in your paycheck.

More Life Changes

In addition to withholdings information during a change in life’s circumstances, there are likely many other things you need to change and update. It can be a wise move to create and keep a list of financial services, tax information, and other personal services on a spreadsheet which is stored in a safe location.

If you ever need to make an address change, a name change, a married status change, or the like, you will have one master list to refer to so you can ensure all of your relevant information is updated and accurate at one time. Often consumers will forget to update their personal information and basic contact information with creditors, relevant government agencies, former employers, and financial service providers.

Without current and updated information on file, you may not be able to access important tax documents, account alerts and changes, investment details, and other vital information you need for your personal and financial life.

Your master list should include the name of the company, the contact information, and relevant account numbers so you have all you need in one convenient place. Make sure you add and remove new service provider details on the master list as you open or close accounts. This list will make your life-changing duties a much easier and more organized process.

Change Your Life? Check Your Withholdings was created by and is property of American Consumer News.

HOW THEIVES GET YOUR IDENTITY

According to the Post Office’s brochure, Identity Thieves gain access to your personal information through:

1. “Dumpster Diving” – Going through your trash.
2. “Skimming” – Storing your credit card number in a special storage device when processing your card.
3. “Phishing” – Pretending to be a financial institution and sending scam alerts to get your personal information.
4. “Changing Your Address” – Completing a change of address form to get your mail and personal statements.
5. Stealing – Taking your purse, wallet, mail, pre-approved credit card offers, new checks, personnel files from work, or tax information.

TIPS RECOMMENDED BY USPS

1. SHRED FINANCIAL DOCUMENTS – Any paperwork with personal information should be tossed through a shredder before making it to your “dumpster.”
2. NEVER CLICK ON LINKS IN UNSOLICITED EMAILS. Since “phishing” is becoming a common problem, use up-to-date firewalls, an anti-spam service, anti-spyware, and anti-virus software to protect your home computer. Plus, never click on links in emails. Instead, open a new window and go to the website address you know to enter information. (Fake Paypal emails are becoming more common in getting people’s information, so be extra wary when dealing with these.). You might also want to avoid email archiving in the event that someone hacks into your account, but good anti-spam software is a must..
3. DON’T USE OBVIOUS PASSWORDS like your birth date, mother’s maiden name, or the last four digits of your Social Security number.
4. DON’T GIVE OUT PERSONAL INFORMATION whether over the phone, through the mail, or over the Internet unless you know who you are dealing with.
5. PROTECT YOUR SOCIAL SECURITY NUMBER – Never carry your social security number in your wallet or write your social security number on a check.
6. KEEP YOUR PERSONAL INFO IN A SECURE PLACE – This is especially important with roommates, outside help, or if having work done in your home.
7. BE ALERT TO BILLS THAT DO NOT ARRIVE WHEN THEY SHOULD. If they do not arrive, they may have been routed somewhere else.
8. BE PROACTIVE ABOUT UNEXPECTED CREDIT CARDS OR ACCOUNT STATEMENTS. If an account or credit card arrives that you did not open, someone else did. Call that company immediately and have it closed.
9. BE ALERT FOR CREDIT BEING DENIED UNEXPECTEDLY. Credit is often denied for a variety of reasons, one of which is when too much credit is opened in a short period of time. Being denied credit may mean that someone else has already opened accounts in your name.
10. RESPOND IMMEDIATELY TO CALLS OR LETTERS ABOUT PURCHASES YOU NEVER MADE. Credit card companies create a profile of their clients detailing out the most common places a customer shops and the items that they frequently buy. If something is purchased that does not suit your profile, they will contact you for verification. Respond to the notice right away to head off potential theft and damage to your credit.
11. CHECK YOUR CREDIT REPORT. Any credit opened in your name will show up on your credit report. By staying on top of this, you will be able to stop identity theft before too much damage occurs.
12. REGULARLY REVIEW YOUR FINANCIAL STATEMENTS. You want to look for any and all charges that you did not make, especially since consumers usually have only 30 days to dispute items they did not authorize.
13. CLOSE ANY ACCOUNTS THAT HAVE BEEN TAMPERED WITH OR ESTABLISHED FRAUDULENTLY. It’s better to get a new card with a new number and close the old card since this alone may stop a thief in possession of your information.

OTHER GOOD TIPS:

14. GO PAPERLESS: You can receive many of your bills through your bank account instead of having them mailed. By requesting this free benefit, you keep account numbers and personal information private, you are able to save hardcopies directly to your hard drive, and you are able to find that information quickly and easily when needed (like when applying for a mortgage).
15. STORE YOUR FINANCIAL AND PERSONAL INFORMATION IN A STORAGE BOX BY YEAR (not including social security numbers) – This is especially important when dealing with taxes since the IRS can demand to see evidential proof of deductions for as long as eleven years after you file. By keeping it in a storage box, you can set the box on fire when the time period is up while never having to worry about being unable to provide demanded evidence.
16. NEVER RESPOND TO EMAILS – Emails are now commonly used to steal or “phish” information out of consumers by making the email look as if it came directly from a financial institution. If you respond to the email, you encourage them to continue trying to get personal info from you. Simply add them to your Spam list to keep that email address from contacting you in the future, and visit the addresses you know if you are concerned the notice is valid.
17. WHEN CONTACTED BY AN INSTITUTION BY PHONE, TELL THEM YOU WILL CALL THEM RIGHT BACK – Let them give you their name and number, but do not call that number back. Instead, call the number on the back of your card and ask to speak to a representative about your account. Let them know that you were contacted and ask them to verify any problems. All account managers have access to the same information, so they will be able to see if there is a problem with your account or not.
18. OPT OUT OF PREAPPROVED CREDIT OFFERS – Although I do not personally believe that people can get credit through pre-approved credit card applications without your social security information, it never hurts to opt-out of credit card offers. By doing so, you lessen the amount of mail that comes to your mailbox, and you will still be able to apply for credit online. Check out the FTC’s Consumer Alert webpage to see all the ways you can opt out.
19. GET A LOCKING MAILBOX – This is especially a good idea for anyone in a nice area. The nicer the area you live in, the more ideal a target you would make to an identity thief. Obviously, living in a nice area (no matter how safe you think it is), the more money you make and the more a thief assumes they can steal.
20. COPY ALL OF YOUR CREDIT CARDS AND SAVE IN A FILE AT HOME – By having a copy of the card front and back in a locked filing cabinet or other safe place, you will be able to quickly and easily contact your creditors should your purse or wallet ever be stolen.
21. CARRY ONLY ONE OR TWO CARDS AT A TIME – Lock away all the other cards in a safe place and carry as few cards as possible. This way, if someone ever gets into your wallet or purse, you will notice immediately if a card is stolen and be able to report it right away.

If you do believe that your identity has been stolen, don’t let yourself be a victim. Contact the Federal Trade Commission (FTC) to let them know that you believe your identity has been stolen since this will help law enforcement across the country in your investigation. Also contact the three credit reporting agencies so they can put extra security on your credit and make all new credit have to be approved by you first. Lastly, file a police report even if you do not know who stole your card. By doing so, you will be able to get the debt wiped out by creditors and protect your good credit.

21 Ways to Stop Identity Theft was created by and is property of American Consumer News.