ABOUT MEGAN THIBOS:
Megan Thibos is Director of Community Impact Innovation at the United Way for Southeastern Michigan, where she leads the strategic vision to increase economic mobility and equity in the Detroit metro region. Megan is an innovator who loves to dream big while also getting things done.
In her five years at United Way, she has launched more than a dozen pilot programs, partnerships, and other initiatives to create sustainable pathways to economic prosperity for those who lack such access.
In 2022, she was recognized by Crain’s Detroit as a Notable Women in Nonprofit honoree. Previously, Megan has served in the Mayor’s Office at the City of Detroit, in the federal Consumer Financial Protection Bureau, at the U.S. Department of Housing and Urban Development, and at nonprofits serving low-income populations.
Megan holds a master’s degree in public policy from the Harvard Kennedy School where she focused on the economic and social forces that perpetuate poverty.
RESOURCES:
UWSEM Tax Preparation Assistance
TRANSCRIPTION:
David Fair: Uncle Sam is calling and waiting to hear from you. The 2024 tax season is underway with the filing deadline of April 15th. I'm David Fair, and welcome to Washtenaw United. This is our weekly exploration of equity and opportunity in our community. Having a professional complete your taxes can be expensive--in fact, prohibitively expensive for some. The Volunteer Income Tax Assistance Program, or VITA, is expanding in Washtenaw County this year and could help you if you so desire. Joining us today is Megan Thibos, and she is the Director of Community Impact Innovation for the United Way for Southeastern Michigan. And how are you today, Megan?
Megan Thibos: Doing great, David! Thanks for having me!
David Fair: You got your taxes done yet?
Megan Thibos: No, not yet. It's on the to-do list.
David Fair: Yeah, I don't either. Perhaps our conversation today will light that fire and put an end to my procrastination. The Volunteer Income Tax Assistance program has been up and running for a good number of years now and serving residents of Washtenaw County and Southeast Michigan. Roughly, how many does it help each year?
Megan Thibos: Last year, we served about 750 people in Washtenaw County, and we were able to secure $1.6 million in tax refunds for those individuals. So, that's about a little over $2,000 per individual family that we helped. And we're looking to increase that this year.
David Fair: Well, I definitely want to talk money with you, but I do understand that the program is expanding this year. How so?
Megan Thibos: Yeah, absolutely! So, as you mentioned earlier, United Way has been supporting this work and hosting the VITA services in our offices for many, many years. And this year, we are expanding. We have a new operational partner, Accounting Aid Society. They're one of the largest, IRS-certified nonprofit tax preparation providers in the country. And they're based just across the border in Wayne County. And so, this year, they're going to be supporting us in expanding our service capacity significantly. We are going to be open five days a week, Tuesday through Saturday, at our offices on Platt Road. And we'll also be doing outreach events in the community as we are able.
David Fair: Is the expansion because of increased demand?
Megan Thibos: I mean, we know that the number of people who file in Washtenaw County and claim the tax credits that are available is lower than the number of folks that could benefit. So, there are thousands of dollars that are available through the earned income tax credit and the child tax credit. And on average, about 20% of folks who are eligible don't file. So, we're trying to create more opportunities for those folks who may have been missing out in years past to come on in, get their taxes done at no cost, and claim those dollars, so that you can spend them on the things your family needs to know.
David Fair: Washtenaw United and our conversation with the United Way for Southeastern Michigan's Megan Thibos continues on 89 one WEMU. Now, you mentioned how much money was saved through filing taxes through the VITA program in Washtenaw County last year. But overall, the VITA program helped save over $26 million. That's amazing! With the expansion this year, have you ballparked how much more could be saved?
Megan Thibos: We're hoping to increase services in Washtenaw County by about 50%. So, do the math. We're looking at hoping to serve over a thousand people. You know, upwards of two, maybe $3 million just in Washtenaw County. That $26 million that you mentioned is for the southeastern Michigan region. So, yeah, there's a lot of money on the table and this year as well. We're in the second year of implementation of the Michigan Earned Income Tax credit expansion. So, that increased the number, the amount of dollars that are available to Michigan families, by five times for folks to qualify for that earned income tax credit. The Michigan piece of that tax credit has increased by five times. So, there's lots more money on the table for folks
David Fair: Well, you mentioned the earned income tax credit and how that is expanding and can mean more money for folks. What else are people missing when they don't file taxes properly?
Megan Thibos: Yeah. So, there's also the child tax credit. So, both the earned income tax credit and the child tax credit are available to families to boost those incomes and help pay for the costs of raising kids, although children are not necessarily a requirement--the requirement for the child tax credit, but not for the earned income tax credit. That tax credit is also available to individuals without children to boost those incomes of our hard-working, lower-income families.
David Fair: What is the criteria for someone to utilize the VITA program? I assume there are some income limitations.
Megan Thibos: There are. Thanks for asking. Yes, the income limitation is $67,000 income in 2024 or less. So, that $57,000 for a couple, if a couple is married, or $67,000 for single if the individual is not married.
David Fair: Once again, this is 89 one WEMU, and our Washtenaw United conversation on free tax service in Washtenaw County continues with Megan Thibos. She is with the United Way for Southeastern Michigan. Megan, take me through the experience. How would I set an appointment with one of the volunteers to get my taxes done?
Megan Thibos: Absolutely! So, there's two ways to get an appointment. You can go to our website at getthetaxfacts.org. We have an easy online scheduling tool there where you can choose your appointments, Just type in your zip code, and it'll automatically bring you up to the Washtenaw appointment. Or you can call 211 from your phone, and they'll help make you an appointment. Once you've made an appointment, you'll need to gather your documents--so your W-2's, those are the piece of paper you get from an employer or your 1099. Those are pieces of paper you get from a contract job or your bank. If you have income from interest or anything like that, you'll want to gather all your W-2's, all of your 1099's, any other pieces of paper that anyone gives you related to taxes. Bring it all down. We will sort it out for you. You'll meet one-on-one with, again, IRS-certified expert tax preparer, and they will look through your documentation, do all the calculations for you, and then walk you through the result, let you know what you can expect in terms of a tax refund in the possible event that you might owe taxes and what you can do about that. Although, again, in the lower income brackets, it's pretty rare that we see people owe taxes far more often. Folks are are going to get some money back. And then, we'll file your taxes for you. And then, your money will show up in your bank account a couple of weeks later. Pretty cool!
David Fair: And once again, I want to point this out. That service is entirely free, right?
Megan Thibos: It is to folks who are income-qualified at $67,000 or below.
David Fair: So, I want to talk a little bit about those who are actually helping with the tax preparations. Are all of the volunteers certified and/or accredited?
Megan Thibos: Absolutely! Yeah, it's a very rigorous process. And our volunteers go through at least eight hours of intense training on how the tax code works. And they get a lot of practice because they're really dedicated, fantastic volunteers who do this work. Many of them are doing this work for a decade or more. And then, we have our expert staff there to support those volunteers as well. So, if our volunteers have a question, we've got a tax coordinator on site who's on staff and is able to troubleshoot any issues. And I do want to let everyone know as well that these are nonprofit, IRS-certified tax providers. They actually have higher accuracy rates than a lot of for-profit providers. And we stand by our work. So, if you ever get any kind of questions from the IRS, you can just call us up, let us know, and we will take care of that for you and we will support you in that process.
David Fair: I'm glad you brought that up. The IRS does look for folks on occasion, and they're generally looking for folks who, well, are getting money back. What happens if I get notice of an audit after using the services of one of the volunteers? Am I protected?
Megan Thibos: We will support you in the process of negotiating with the IRS. Yes, we have a top-tier division, again, through our partners at Accounting Aid Society, and they're there to help you understand what the IRS needs, help serve as a liaison to the IRS in submitting whatever additional paperwork the IRS might need and supporting you through that process.
David Fair: The tax deadline is April 15th. Can the VITA program and its volunteers help us file for extensions if needed?
Megan Thibos: We don't typically file for extensions, but we can help folks if you do miss the deadline. We don't close shop up on April 15th. We will be there throughout the year, and we'll support folks if they do not get their taxes done on time. Now, of course, we do encourage folks to file during the season.
David Fair: Oh right.
Megan Thibos: But if you didn't file last year, it will help you. We can support you in filing prior years as well.
David Fair: Well, you mentioned you're going to be doing some outreach to educate the public on expanded services. What can we expect to hear from you?
Megan Thibos: So, we are trying to get the word out through interviews like this. We've got fliers circulating in the community through our network of partner nonprofits. So, if you see something in the community advertising the service, it's probably the same one that we're talking about right now. Yeah, we're just looking to spread the word through every possible mechanism to make sure that we can help as many people as possible this year.
David Fair: Well, thank you for spreading the word on WEMU today, Megan! I appreciate it!
Megan Thibos: Absolutely! Thanks for having me!
David Fair: That is Megan Thibos. She is Director of Community Impact Innovation with the United Way for Southeastern Michigan and has been our guest on Washtenaw United. For more information on how to connect with free tax preparation services, simply stop by our website at wemu.org. We'll get you everywhere you need to go. I'm David Fair, and this is your community NPR station, 89 one WEMU FM Ypsilanti. Celebrating 60 years of broadcasting from the campus of Eastern Michigan University!
UWSEM STATEMENT ON TOPIC:
The federal and state tax codes are the single biggest source of cash benefits for low- to moderate-income families. The Earned Income Tax Credit (EITC) and Child Tax Credit (CTC) provide thousands of dollars per family in unrestricted, flexible cash – and hundreds of millions of dollars across the region. These payments provide a needed income boost which allows families to pay for what they need most. However, families must file taxes in order to claim these benefits. Research has consistently shown that approximately 20% of eligible beneficiaries do not file taxes, leaving millions of dollars on the table in Washtenaw County.
Expert, IRS-certified tax preparation assistance is available at no cost to anyone making less than $67,00 in 2024. For the 2025 season, United Way for Southeastern Michigan is expanding Washtenaw County services in partnership with Accounting Aid Society as our new operational partner. For more information and to schedule an appointment, visit https://GetTheTaxFacts.org or call 2-1-1.
WEMU has partnered with the United Way for Southeastern Michigan to explore the people, organizations, and institutions creating opportunity and equity in our area. And, as part of this ongoing series, you’ll also hear from the people benefiting and growing from the investments being made in the areas of our community where there are gaps in available services. It is a community voice. It is 'Washtenaw United.'
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