Filing Taxes for the First Time? Here’s Everything You Need to Know

If you’re filing taxes for the first time and have no idea where to start, you are in the right place! Tax season has a reputation for being stressful and confusing, but the reality is that for most first-timers, it’s a lot more manageable than it looks. We’re going to walk you through the whole thing — what taxes are, what documents you need, how to file and what happens after you do.

Take a deep breath. You’ve got this.

This post covers the core filing basics — think documents, deductions and how to actually submit your return. If you have a side hustle, work from home or are self-employed, we cover those scenarios in Part 2.

Why You Have to File Taxes

Taxes are how governments fund public services — roads, schools, fire departments and so on. If you work a regular job, your employer withholds a portion of each paycheck and sends it to the IRS on your behalf. Filing your tax return is essentially a year-end reconciliation: You report what you earned, the IRS checks what was already paid and you either get money back in the form of a refund or you owe a little more.

Not everyone is required to file, but the income threshold is low enough that most working young adults will need to. When in doubt, file anyway. There’s no penalty for filing when you didn’t have to, but there can be penalties for not filing when you should have.

First-Timer Tip: The federal tax deadline is April 15 each year. Mark your calendar early so you’re not scrambling at the last minute.

Federal, State and City Taxes: Do You File Them Separately?

Yes, and this surprises a lot of first-timers. You don’t file one big return that covers everything. Here’s how it breaks down:

• Federal taxes go to the U.S. government and are filed with the Internal Revenue Service (IRS). This is what most people think of when they hear “tax return,” and it’s required for nearly all working Americans.
• State taxes are filed separately with your state’s revenue agency. Most states have an income tax, though a handful — including Texas, Florida and Washington — do not. If you live in a state with no income tax, lucky you! You only need to file a federal tax return.
• Several municipalities levy additional income taxes (New York City, Philadelphia, Detroit, St. Louis and others). If your city does, you’ll also file a separate local return.

First-Timer Tip: Most tax software handles federal, state and city returns together. You enter your information once, and it prepares all the returns you need at the same time.

The Documents You Need When Filing Taxes for the First Time

This is where a lot of beginners get tripped up, so let’s clear it up.

W-4: The Form You Fill Out When You Start a Job

The W-4 is not a tax return — it’s a form your employer gives you when you’re hired. It provides your employer with your social security number and specifies how much federal income tax to withhold from your paychecks. You fill it out when you start, but you can update it anytime your situation changes. You can learn more about and estimate your personal withholding amount on the IRS website.

W-2: The Form Your Employer Sends You

The W-2 is the primary form you use when filing taxes. It shows your total earnings for the previous year and how much was withheld for federal taxes, state taxes and Social Security/Medicare. If you worked one job all year, you’ll have one W-2. If you worked multiple jobs, you’ll have one from each employer. All employers are required to send your W-2 to you by the end of January, so make sure they have your correct address on file before the end of the year.

1099: The Form for Non-Traditional Income

A 1099 covers income that wasn’t paid through traditional employment — think freelance work, contract gigs or interest earned in a bank account. There are several varieties (1099-NEC, 1099-INT, 1099-MISC and others), but they all serve the same basic purpose: reporting income that wasn’t subject to automatic withholding.

As a first-timer who’s primarily a W-2 employee, you may not have any 1099s at all. But if you did any freelance work, drove for a rideshare service or earned interest on savings, keep an eye out for them.

First-Timer Tip: Hold onto all tax documents you receive in January and February in one folder — physical or digital.

What to Do If a Document Is Missing

It happens. Maybe your W-2 got lost in the mail, or your former employer didn’t use your current address. Here’s your game plan:

• Wait until early February. Employers have until Jan. 31 to mail W-2s, so give it a little time before panicking.
• Check your email and employee portal. Many companies now deliver W-2s digitally through payroll platforms like ADP, Gusto or Workday. Log in and check before assuming it’s missing.
• Contact your employer directly. A quick call or email to HR or payroll is usually all it takes.
• Contact the IRS if you’re still stuck. If it’s mid-February and you still haven’t received your W-2, you can call the IRS at 1-800-829-1040. They can contact your employer on your behalf.
• File on time anyway. You can calculate all the numbers you need — total earnings, taxes withheld, etc. — on your paystubs. Your last paycheck of the year might even have all the year-to-date info you need.
• If you’re truly stuck and the deadline is approaching, you can file for a free extension, which gives you extra time to submit your return, though it does not extend the time to pay any taxes owed.

The Standard Deduction (and Why Most First-Timers Use It)

A deduction reduces the amount of your income that gets taxed. There are two ways to claim deductions: itemizing (listing out specific expenses like mortgage interest or large charitable donations) or taking the standard deduction (a flat amount set by the IRS each year).

For most first-time filers — especially those renting, without major medical expenses and without a mortgage — the standard deduction is the smarter and simpler choice. You don’t need receipts, you don’t need to track anything, and tax software will almost always confirm it’s the better option for your situation.

Your Filing Options

There’s no single right way to file — it depends on your comfort level and the complexity of your situation.

Free Filing Options

If your income is below $89,000, you may qualify for IRS Free File, a program that gives eligible filers access to free tax filing through the IRS website (with a small fee for state returns). Go to the IRS website to browse all options or let the site choose the best fit for your situation.

Paid Software

TurboTax and H&R Block are the most widely used paid options. Both walk you through the process step by step with plain-language questions. They’re worth considering if you want extra hand-holding or have a slightly more complex situation (like retirement account contributions or multiple income sources). Prices vary by tier, so start with the free version of either and only upgrade if the software tells you that you need to.

Filing by Mail

You can still fill out and file a paper return and send it in by mail, though it’s slower and more prone to errors. Most first-timers are better served by software.

After You File: Refunds, Balances and What Comes Next

Once your return is submitted, here’s what to expect:

• If you’re getting a refund, congrats! The IRS typically processes e-filed returns within 21 days. You can track your refund status using the IRS’s Where’s My Refund tool.
• If you owe money, don’t panic. Pay what you can by the filing deadline to minimize any interest or penalties. The IRS does offer payment plans if you can’t pay in full.

Either way, save a copy of your return. Most software lets you download a PDF. Store it somewhere safe — you may need it for loan applications, financial aid or next year’s taxes.

First-Timer Tip: You may feel giddy at the idea of a huge tax return, but it actually means you had too much money withheld. Why let the government keep your money for free when you could be earning savings account interest or investment income on it? Check the IRS withholding estimator or speak with a professional to determine the withholding amount that gets you to break even.

When to Call in a Professional

For a straightforward W-2 return, you genuinely don’t need a tax professional. But there are situations where it’s worth getting one involved:

• You received income from multiple states.
• You experienced a major life change, such as marriage, divorce or a new baby.
• You’re unsure whether you owe taxes in your city or locality.
• You received a notice from the IRS.
• Your situation just feels confusing and you want peace of mind.

A certified public accountant (CPA) or enrolled agent (EA) can help you navigate anything that feels over your head. Many offer free consultations, and the cost of professional filing is often tax-deductible itself.

First-Timer Tip: If you’re a college student or have a modest income, check whether your area has a VITA (Volunteer Income Tax Assistance) site. It’s an IRS-sponsored program where trained volunteers file taxes for free for qualifying individuals. You can find the locator here.

Congrats! You Did It, First-Timer! — Cross Filing Taxes for the First Time off Your List!

Filing taxes for the first time feels like a huge deal — and honestly, it kind of is. But now you know what the documents mean, where to find them, which type of return you need to file, and how to actually get it done. That’s real adulting right there.

Once you’ve got the basics down, come back for Part 2, where we dig into the scenarios that add a little more complexity, such as side hustles, working from home, self-employment and what it all means for your taxes.

Ready to tackle more life skills? Check out 5 Back-to-School Tips for Beginners, our Beginner’s Guide to Buying a New TV or the Beginner’s Guide to TSA PreCheck.

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Disclaimer: This post is for informational purposes only and isn’t a substitute for professional tax advice. When in doubt, consult a qualified tax professional.