Building a brighter future by saving at tax time
This
paper provides observations on ways that consumers, especially those with low
and moderate incomes, save, and how that saving activity can be better
measured. It builds on the knowledge,
practice, and results of the 71 Volunteer Income Tax Assistance (VITA) programs
from 31 states that participated in the 2018 Bureau Tax Time Savings
cohort. Through direct feedback from
participating VITA programs, this paper provides information on how programs
encourage saving. It also identifies two new practices that several of the
programs have implemented to leverage their tax preparation efforts to offer
additional financial capability resources to their tax customers. Finally, this
report describes some of the new tools that the Bureau has created to help VITA
programs more effectively focus on those practices that would be most effective
in their communities and how to implement them.