Which TurboTax Do I Need: TurboTax Deluxe vs. Premier vs. Home and Business ( Self-Employed )

TurboTax is often referred to as the best tax computing software ever developed, and it comes packed with some of the latest and advanced features as well. It is important for you to note that it checks more than 350 tax deduction option, and gives you guaranteed maximum returns. To meet the specific need of the users, the company has launched various versions of the program, mainly deluxe, premier, and home and business. Now, the question often arises amongst the users is that which TurboTax do I need? To provide a relevant solution to this problem, we have come up with a quick comparison between TurboTax Deluxe vs. Premier vs. Home and Business. Get to know the features of all the three versions understand which one of them is best suited for you.

List Of TurboTax Versions

There are four versions of TurboTax, viz. Basic, Deluxe, Premier, and Home & Business. Depending on your tax preparation needs, each TurboTax version has a certain set of features. Here’s a quick overview of all the Turbotax CD/Download Versions available.

1. TurboTax Basic Edition:

   This edition of TurboTax is appropriate if your income is from W-2s and if interest on savings and deductions are few. The cheapest version, TurboTax Basic CD is available on leading ecommerce sites for about $30.

2. TurboTax Deluxe Edition:

   The Deluxe edition of TurboTax has all the features of Basic. It also includes the feature, Deduction Maximizer, that helps you search more than 350 different deductions and credits. Another feature, ItsDeductible helps you accurately figure out the value of charitable donated items.

3. TurboTax Premier Edition:

   TurboTax Premier Edition has all the features of Deluxe. In addition, it has some tools that help you deal with investments and rental properties. It is recommended for the taxpayers who have stocks, bonds, or rental income. With this edition, you get an excellent opportunity to calculate profit and loss on stocks, mutual funds, bonds, and employee stock plans.

4. TurboTax Home & Business Edition ( Self-employed ):

   If you are self-employed, TurboTax Home & Business is for you. You can use this version to fill up the details of Schedule C and maximize the deductions for your vehicle, home office, and other costs associated with your business. It has a user-friendly interface that enables you to enter the income and expenses in a simple manner. Additionally, you can create the W-2 and 1099 forms for your employees and it gives you a brief idea on start-up costs that the new businesses can deduct.

Turbotax Desktop Versions & Comparison Chart (2022-2023)

TurboTax Basic vs. Turbotax Premier

On comparison aspects between TurboTax basic and TurboTax premier versions, the latter one – the TurboTax premier would be the best choice. Let us start comparing both the versions.

TurboTax Basic:

On a widespread basis, TurboTax essential is the one that most of the taxpayers rely on. As it has minimum features, though, users can have an edge using this program to filing annual tax returns. The features TurboTax basic included are:

• Systematic guidance that provides you the income tax filing tips.
• Import your data from the last year’s TurboTax return.
• The program imports your W-2 from over a million participating companies.
• Having tax-saving credits – such as Child Care Credit, Earned Income Credit (EIC), and Child tax credit.

TurboTax Premier:

Since TurboTax premier is a bit expensive, yet it has many more benefits than Turbo Tax basic version, which offers some excellent added features to the TurboTax users. Some of the extra features are:

• It provides additional support for rental property income and expenses.
• It provides you with complete assistance for retirement taxes.
• It offers your maximum returns.
• It helps you to analyze the tax history and prepare an e-file for your annual tax return.

TurboTax Deluxe vs. Premier

TurboTax Deluxe:

If you are looking for the best option for maximizing your tax returns, make sure that TurboTax Deluxe is your first choice. It has got some of the best features to offer you at an affordable price. Basically, the Deluxe version of TurboTax comes with a feature that is known as a deduction maximizer, and it seeks more than 300 credits and deductions. However, it is true that the edition maintains accuracy in calculating the values of different donated items for charities. However, there are a lot of tax forms that are not scheduled for D.
In case you do have a lot of medical expenses, or you do own a home, do have charitable donations, and also have to file both state and federal tax returns, it might cost you.
Let’s check out the common and significant features of the TurboTax Deluxe Version!
Some of the major benefits of TurboTax Deluxe for the desktop version are given here:

• TurboTax Deluxe ensures maximum returns
• Easy preparation and e-filing of tax returns
• Double-checking of the tax returns
• Saves a lot of your time while e-filing taxes
• Helps you through the latest taxes

TurboTax Premier:

Though TurboTax Premier is slightly more expensive than TurboTax Deluxe, it is important for you to know that this version offers a few added benefits as well. To be honest, it is much better than the Deluxe Version. Some of the extra benefits of TurboTax Premier over TurboTax Deluxe are:

• Ensures extra support for any sort of rental property income or any other similar sort of expenses
• It also gives you proper help and support for any retirement taxes
• It gives you maximum returns
• It has an easy e-filing tax preparation method
• It also understands the tax history and brings out short and crisp analysis

TurboTax Premier vs. TurboTax Home & Business

TurboTax Home and Business:

If we compare the premier version with TurboTax Home and Business, the later will always be better as it comes packed with advanced features for tax preparation and maximizing returns. However, it is also a bit more expensive. This version of TurboTax is specifically designed for those who are self-employed or owns a small business firm. It comprises of some extra advantages over TurboTax premier, and they are:

• It provides complete support for self-employed tax deductions
• It creates 1099 and W-2 forms for the employees
• It guides you and provides you help for start-up for new business

Choosing a Version of TurboTax? Things to Remember

While you might get confused while choosing the appropriate version of TurboTax, the below-mentioned tips will help you pick the best one for you.

• You can follow Intuit’s advice on TurboTax version selection if you prefer an easy filing and are okay paying for it.
• If your annual income is less than $34,500, opt for the online TurboTax Freedom Edition as it includes many useful features for free. The TurboTax Home and Business Version will cost you $75-$120, which could be tough for you to afford.
• Don’t use any online version of TurboTax which is cheaper than the Home and Business Version if you are self-employed.
• If you earn above $34,500 and are self-employed, you can use the TurboTax Deluxe Version (only CD/download). You can fill out the Schedules C and SE in the Forms Mode and mail.
• If your annual income is over $34,400 and you want to use a cheaper Turbotax version, use the CD/download versions of TurboTax. You can take a printout of the forms and file them on papers.
• Use TurboTax Free Edition online if your annual income is over $34,500; however, you have no income from businesses, rentals, or complex investments.

Which TurboTax Do I Need? TurboTax Free vs. Premier vs. Deluxe:

As you all know, TurboTax is a well-known way to file your federal and state taxes online. It is often referred to as the best tax computing software which comes with a particular set of features. In case you’re looking for which TurboTax do I need, then let me first tell you that there are different versions of TurboTax for different users. Now, you must be having the question – what version of TurboTax do I need or which TurboTax is right for me? The different versions of TurboTax include Free, Basic, Deluxe or Premium. TurboTax even have versions for business owners and self-employed. Each version of TurboTax are priced accordingly, and each version is suited for different kinds of taxpayer falling in various categories. If you’re skeptical about which TurboTax to use or which version of TurboTax do I need, then need not worry because we will solve each of your queries. Know more about different versions of TurboTax in the below content.

Detailed Guide on TurboTax Free vs. Premier

The comparison between TurboTax free vs. premier is quite evident as the premier edition of TurboTax has all the deluxe features along with some more tools to deal with rental properties and investments. So, now you know what does TurboTax premier includes and which TurboTax to use.

TurboTax Free

TurboTax free edition is best for the taxpayers who file a simple return, which includes W-2 income, limited interest, and dividend income reported on a 1099-INT or 1099-DIV, claiming the standard deduction, earned income tax credit, and the child tax credit.

• Ideal for W-2 income
• Understand your financial health with TurboTax
• Get maximum refund guaranteed
• Get the green light to file

So, with the pointers mentioned above, you’ve got to know the critical features of TurboTax free, and you can decide which TurboTax to use.

TurboTax Premier:

TurboTax Premier comes with some added benefits as it is slightly expensive. Moreover, if you compare TurboTax Deluxe vs. Premier, then also TurboTax premier is much better than deluxe. Below are some of the added plus points which will give you a clear insight about TurboTax deluxe vs. premier. Know what TurboTax premier includes:

• TurboTax premier provides extra support for rental property income and similar expenses
• Complete help for retirement taxes
• Offers maximum returns
• Easy preparation and e-filing of tax returns
• Complete analysis of tax history and provides a brief as well

The steps mentioned above give a detailed elaboration on TurboTax free vs. premier.

TurboTax Free vs. Deluxe

TurboTax Deluxe is the best option in case you want to maximize your tax returns. It also has some fantastic features which come at an affordable price. So, when talked about TurboTax free vs. deluxe, then deluxe is a better option to go with as it has some additional benefits mentioned above.

TurboTax Deluxe vs. Self-employed and TurboTax Premiere vs. Self-employed: A Comparative guide.

Yes, there are different versions of TurboTax, like basic, home, business, premiere, deluxe, and self-employed. And due to the wider choices of versions, users keep on asking which version of TurboTax should I use TurboTax deluxe vs. self-employed? It is true that Intuit’s TurboTax preparation programs are extremely user-friendly and budget-friendly, and maybe that’s why its popularity is escalating day by day.

However, this is a genuine question, and one must check out the list of features of TurboTax deluxe, TurboTax Premiere, and TurboTax self-employed before selecting the versions. You can go through this blog, so you will be able to explore more about its features, advantages, and usage.

A complete understanding and knowledge of Intuit’s Self-Employed version of TurboTax

As there are different versions of TurboTax, but the one that has grabbed everyone’s attention is TurboTax Deluxe vs. Self-employed. You can read this blog and find out which version of TurboTax is best for you.

Why should you use TurboTax employed?

If you are planning to establish your new start-up, you will surely need something exclusive which fulfills the extraordinary demands of your small business. TurboTax self-employed offers you some extraordinary benefits like its searches for deductions which are personalized to your work. TurboTax helps you to claim industry-specific tax write-offs, which ultimately ensures appropriate returns. So, if you wish to switch to TurboTax Self employed versions, you can check out the comparison between TurboTax Deluxe & Self-employed.

If you want to learn more about this, going through this blog would be beneficial for you. Before you decide to begin your entrepreneurship career, there are a few important things that you must keep in mind. You can check out the pointers are:

You must know your entity.

You are supposed to begin your journey as self-employed. You should simply determine what your business structure is. No matter if the company is a sole proprietorship, an LLC partnership, an S- corporation, or a C corporation, it will impact the flow of taxable income through your personal tax return.

You must know about Sole Proprietors.

In case you are a sole proprietor, then your business income and even expense must be reported on Schedule C. And then you would be responsible just for paying self-employment taxes, including social security and Medicare.

Check out the Partnerships and corporations of the Self-employed version of TurboTax

Before you proceed to the comparison between TurboTax Deluxe & self-employed, you should know the partnerships and corporations of the self-employed version.

• In case you do have any business partner, you can file either as a partnership or simply as a corporation.
• In case you are filing it as a partnership, it must include an information return and will also not pay any federal tax. There are a few information returns which are tax documents, commonly Form W-2, which businesses and taxpayers should file in order to report a few important business transactions to the Internal Revenue Service. Mostly, people prefer to use Form K-1 in order to report a share of an individual partnership or S corporation income entirely to the federal government.
• Apart from a sole proprietorship or a partnership, you must know C corporation is acclaimed to be a separate entity for paying federal tax purposes. This eventually means that the corporation might be able to take specific deductions. It also shows that the profit that it earns is already taxed at the corporate level. Now, it is taxed again on the tax return of the recipient in case it is distributed as a shareholder’s dividend.
• You must know that an S corporation is mostly similar to a partnership. In this scenario, the income simply flows via your personal tax return. However, they are like C corporations in which you would get the chance to see a salary and simply withhold payroll taxes, and that too at a corporate level just for the owner. Now, most of your income would be reported to you on your Form W-2, and that is just at the end of the Year.
• One of the benefits of being an S corporation is the ability of the taxpayers to select a salary that is, however, subject to different reasonable guidelines. However, there could be a serious tax effect, and that could be that a person must severely underpay himself, specifically when you are earning from business, as the wages are subjected to payroll taxes.

However, the LLC appears to be a legal business structure. It is a state-level designation that is usually not recognized for different federal purposes. It should file as a corporation, partnership, or simply sole proprietorship. Apart from this

You must get ready for taxes.

You can simply take the steps which lead to tax deductions, and it might involve securing a tax ID number. Now, you can also get a Tax ID number, and that too for free. Now surely it is an amazing idea for anyone who is self-employed as anyone who is Self-employed could get a separate Tax ID number for their business specifically. And so they could give this to customers who would require W-9 form from them. Now a tax ID number is needed if you do have employees.

What are the features of the TurboTax Self-Employed Version?

Before you decide which version of TurboTax you need, you must first check out the comparison between TurboTax deluxe vs. self-employed. Here are the features of the TurboTax Self employed version; you can go through it to check.

For Self-employed workers and small firms

• Ensures Industry specific Deductions

It maximizes the unique deductions in industries like Real estate, delivery driving, online retail, Rideshare, professional consulting, Speciality trade construction, and many others.

• It is perfect for 1099-NEC income.

No matter if you have already established a business or simply trying out any sort of side gig, the Self-employed version is specifically designed for anyone who prefers freelancing, small business, independent contractors, and other gig workers.

• Good for 1099-NEC Snap and autofill

It could be simply and instantly upload your 1099 -NEC and that too just from your smartphone

• Provides Round Tax Estimator

It gives you the opportunity to avoid any sort of surprises as it gives you a specific estimation of the next Year’s return with the help of a free and interactive Year-round tax estimator.

• Check self-employed tax deduction.

It searches for more than 500 tax deductions, including business travel and entertainment, which includes the operating costs, in order to be extremely sure that you do get every return you deserve.

• You will get to import from QuickBooks Self employed

It will automatically import your QuickBooks Self-Employed income, including the expense accounts which would ultimately classify them.

• It will help you simplify asset depreciation.

One can simply calculate depreciation which is extremely easy with TurboTax self-employed.

• Help regarding Mileage and Vehicle deductions

This will give you a chance to get a huge deduction just by claiming the actual expenses or just by utilizing the standard mileage rate

• Deduction of new business expenses

This will show you the start-up tax deductions for your new businesses, and so it will help you to gain the maximum refund that you deserve.

• About Rideshare and UberEats data import

TurboTax ensures importing your Uber and Lyft rideshare tax data summary. Also, you can simply upload the income of your food delivery and expenses from UberEats

• It has simplified schedule C filing

If you do file a schedule C for your side income, it will simply streamline the procedure so that you wouldn’t have to answer any unwanted questions and instantly file faster

• It would ensure seamless square payment importing

It will save a lot of your time and simply import your annual square seller income into the correct tax forms

• Keep a check of QBI (Qualified Business income)

It will help you to identify the quality of the Qualified Business Income (QBI) deduction

• Help regarding Home and Office Expenses

This will also help you in determining what you can simply deduct and prepare all the calculations for you. There are certain tips also that you will receive to manage your home office deductions.

• Scheduling C import which is the prior Year’s PDF import

It will save a lot of your time and will easily import a particular PDF of the late Year’s tax return just from a different tax preparation software

• There are unlimited employee forms

It can save a lot of time just by importing the last Year’s tax return from any other major tax prep software

• There could be unlimited employee forms

It can help you to prepare and print unlimited W2s and 1099s for your employees, and that too with ease and comfort, even though you are not using the payroll

• Keep a check on self-employed income

You can have a look at the Self-employed or schedule C income. It will also provide you with a comparison chart with the previous Year.

Basically, it will help you to stay organized and make proper business decisions. So, these are a few of the features which are enough to prove the advantages of the self-employed version of TurboTax.

For Investors and Rental Property Owners

You can easily import your investment information

• TurboTax Self employed version does have a partnership with many financial institutions that can automatically import your Investment which would be time-saving, of course.

It ensures accurate investment tax reporting.

• It easily and accurately reports sales of stocks, bonds, and mutual funds and simply calculates capital gains and losses.

You must know that Bitcoin and other cryptocurrencies are covered

• It will help you to import cryptocurrency transactions, and this will surely account for simple gains and losses.

You will be able to help set up new rentals

• This will also help you to set up new rental properties, which includes calculating the fair market value

Perfect for rental depreciation

• One can report your rental property depreciation, and it is simple with TurboTax

There is employee stock plan support.

• In case you do sell employee stock, it will determine your correct basis for purchasing sharing. Now, even if the purchase took place at a different time and that too different prices.

For Individuals and families

There is Guidance for homeowners

• You should find all the correct deductions for mortgage interests and property taxes, including refinancing fees.

Track of deduction finder

• You will get to review more than 300 tax deductions and credits in order to get the tax refund guarantee.

It is perfect for student loans and education expenses.

• Deduction of student loan interest and different other education credits and deductions in order to seek a maximum refund.

Keep a check of tax credits for dependent\

You can also find tax-saving credits like the Child & Dependent care credit, earned income credit (EIC), and Child tax credit.

Charitable Donations

You should value the items that you donated, and you would know what actually qualifies as a charitable donation in order to seek a maximum refund.

Versions of TurboTax For Online Use

While there are many TurboTax versions that are available for purchase on the Intuit website, you can also use TurboTax without buying any CD. Intuit’s server has all the information feeded from all the versions of TurboTax. Unlike the CD TurboTax versions, the names of online TurboTax versions are a little different.

• The Basic TurboTax version available on the CD is replaced by the online Freedom Edition and the Free Edition; however, they have a few differences.
• The online Deluxe TurboTax version has some additional features associated with deductions.
• The online Premier TurboTax version has similar features as that of the Deluxe plus, associated with investments.
• The Deluxe Plus online TurboTax version includes support for self-employment income such as schedules C and SE.
• These online TurboTax versions have an added tier, named as “TurboTax Live” that allows you to take real-time assistance from a certified professional.

A Fee For Some Additional TurboTax Features

Almost every TurboTax version can import your data from the previous year’s records on TurboTax, QuickBooks, or other tax preparation software. Hence, you don’t need to enter all the details again which also eliminates the chances of any errors. However, the free version of TurboTax doesn’t import any data unless you pay an additional amount of $30 for the Plus package.

While both the TurboTax online and the software version is easy to use, if you need to know that How do I Speak to a live person at Turbotax? Each TurboTax version allows you to call a support agent.

TurboTax Free vs. Premier vs. Deluxe: Common Queries with Solution

What’s the difference between TurboTax free and deluxe?

TurboTax free vs. deluxe; the comparison is quite clear as TurboTax deluxe is more about support, but TurboTax free includes much of what is there in TurboTax premier.

Is TurboTax Deluxe a one-time fee?

No, TurboTax deluxe is not a one-time fee. Each year it’s a new product and each year’s TurboTax is only for that particular year. So, it is relatively easy for users to decide which TurboTax to use.

What is included with TurboTax Deluxe?

TurboTax Deluxe offers maximum returns, double-check the tax returns, easy preparation and e-filing of tax returns, and helps the taxpayers through the latest taxes. So, now you know – is TurboTax Deluxe worth it or not?

Why do I need to upgrade to TurboTax Deluxe?

To accurately complete your taxes you need to upgrade to TurboTax Deluxe. Now with this information, you know which TurboTax to use.

Do I really need TurboTax Premier?

If you’re using TurboTax online, you at least need the TurboTax Premier version or higher. It includes everything in Deluxe, along with schedules D and E.

What does TurboTax Premier include?

If you were searching what does TurboTax Premier includes, then you’re at the right place. It gives extra support for rental property income and similar expenses, provides complete help for retirement taxes, gives maximum returns, and understands the tax history for brief analysis.

What is the difference between TurboTax Deluxe and Premier?

TurboTax deluxe vs. premier – The deluxe version of TurboTax includes many forms but not schedule D. Hence, TurboTax recommends the premier version as it has some added benefits compared to deluxe.

Is paying for TurboTax worth it?

Paying for TurboTax is entirely worth it as it offers maximum returns to the taxpayers and some other benefits.

Is Turbo Tax really free?

Yes, TurboTax has a free version for the ones filing a simple return only.

What is included in TurboTax free?

TurboTax free is ideal for W-2 income, and it understands your financial health. It also offers a maximum refund.

Is TurboTax free any good?

Yes, TurboTax free is great as the software is easy and accurate and is best if you’re filing a simple return.

How to get TurboTax free?

The TurboTax file program is required as a part of the IRS Free File program. Users who wish to qualify for TurboTax free must make under $34000 per year.