Nearly 150 million Americans will file federal income tax returns this year and, unfortunately, many will be shelling out much more of their hard-earned money than necessary, says veteran financial expert Jeff Gorton.

"With the ridiculous complexity of our tax code, I can understand how the average person might want to put off doing their homework, but that'll cost you," says Gorton, a veteran Certified Public Accountant and Certified Financial Planner®, and head of Gorton Financial Group (www.gortonfinancialgroup.com).

"When you think about all you do to earn your money, and the lengths we'll go to save a few bucks, it doesn't make sense to not do all we can to prepare for the inevitable - our compulsory contribution to Uncle Sam's bank account."

There is nothing unpatriotic about taking advantage of legal measures to reduce your tax bill, Gorton says. Most Americans, however, don't understand the basics of how to minimize the tax burden, he says.

"If you wait until the last minute to do your taxes, you're sure to miss out on savings," says Gorton, who offers some basic and more advanced tax-saving options.

· Credits: Tax credits are usually subtracted dollar for dollar from the actual tax liability and may be utilized when filing for 2013. They include the Child Tax Credit, which allows up to $1,000 for children younger than 17; the American Opportunity Credit, featuring up to $2,500 in tax savings per eligible student for tuition costs for four years of post-high-school education; and the Energy-Efficient Home Improvement Tax Credit, which grants qualifying taxpayers 10 percent of the cost of certain energy-efficient building materials ? up to a $500 lifetime credit. The Child and Dependent Care Credit, for those who have to pay someone to care for a child younger than 13, or another dependent, offers up to $3,000 for one qualifying individual, or up to $6,000 for two or more qualifying individuals.

· Deductions: Like tax credits, deductions have phase-out limits, so you may want to consult with a professional. Deductions are subtracted from your income before your taxes are calculated, which may reduce the amount of money on which you are taxed and, by extension, your eventual tax liability. Some examples include contributions made to qualifying charitable organizations. And, you may be able to write off out-of-pocket costs incurred while doing work for a charity. Others may include amounts set aside for retirement through a qualified retirement plan, such as an Individual Retirement Account; medical expenses exceeding 10 percent of your adjusted gross income are now deductible - expenses exceeding 7.5 percent are still deductible for those older than age 65; and, potentially, mortgage interest paid on a loan secured for your primary residence.

· Tax-favored investing: This involves both tax-exempt investments and tax-deferred investments. Tax-exempt investments, which include such vehicles as municipal bonds and certain money market funds, offer a way to grow your money that's exempt from federal taxes. Municipal bonds are free of federal income tax and may be free of state and local income taxes for investors who live in the area where the bond was issued. Tax-deferred investments, on which taxes are postponed until you withdraw your money, include qualified retirement plans, such as traditional IRAs and employer-sponsored plans, as well as insurance products such as annuities and, sometimes, life insurance.

About Jeff Gorton, CPA, CFP®

Jeff Gorton is a Certified Public Accountant and a Certified Financial Planner® specializing in individual tax and retirement planning. He is also an Investment Advisor Representative under Alphastar Capital Management, an SEC Registered Investment Advisor, and has a life and health insurance license. Gorton works with individuals and their families to create and protect their financial legacies. He specializes in working with retirees in the areas of tax planning, benefits, retirement planning, estate planning and safe money techniques. He received his BBA in Accounting from the University of Oklahoma. Gorton previously worked for 10 years as the Chief Financial Officer for a large retail organization, overseeing their accounting, benefits and 401(k) retirement plans.

State Loan Helps Firm Add 25 New Jobs as Part of $9.6 Million Expansion

CHICAGO - Governor Pat Quinn today joined John Hofmeister & Son, Inc. to announce that the long-time, family-owned Chicago meat products company will undergo a $9.6 million expansion and create 25 new jobs. The project will be supported by a $2 million loan from the Illinois Department of Commerce and Economic Opportunity (DCEO). Today's announcement is part of Governor Quinn's agenda to create jobs and drive Illinois' economy forward.

"Small businesses are the backbone of the Illinois economy, and programs like this help small businesses thrive," Governor Quinn said. "By increasing access to capital, we are making it easier for companies like Hof Haus to grow and create more jobs in Illinois."

Hof Haus is undergoing an expansion that involves a new slicing and packaging operation that will create 25 new union jobs. The move will allow the company to increase its overall sales to grocery companies such as CKF Foods, American Chef, Meijer, Albertson's and Charlie's Pride, and will help the firm expand its school lunch program sales. Greater emphasis is also being placed on Latino markets served locally by Amigo Foods and El Super, and on sales to Puerto Rico. Hof Haus currently averages about 80 employees, 40 of which are union members, with more employees during peak times. 89 percent of its workers are minorities.

The $2 million Advantage Illinois loan administered by DCEO is part of a $9 million financing package led by Village Bank & Trust of Arlington Heights. The money will allow the company to pay off old debt, acquire new equipment and hire 25 new workers.

"We are proud and thankful to work together with Governor Quinn as well as Village Bank & Trust to keep small family-owned businesses in Chicago alive," said Matt Hofmeister, the company's chief executive officer. "Not only will Hof Haus continue to bring jobs to the West Side, it will attract more consumers to our community where they will support the local economy."

"Advantage Illinois is a shot in the arm to our small businesses," DCEO Director Adam Pollet said. "Enhancing business access to capital is a top priority for Illinois. It gets entrepreneurs and small businesses starting up or expanding and creating quality jobs at a faster rate."

Founded in Chicago more than 60 years ago, Hof Haus is a family-owned manufacturer of a full line of ham, pork and smoked turkey products under the Old Warsaw brand name as well as private labels. They sell to retailers, delis, food service providers, school lunch programs and food assistance programs under government contracts. The manufacturer recently earned the USDA Hub Zone "Contractor of the Year Award" for its customer service, quality control and delivery record.

Under Governor Quinn, Illinois' economy has diversified beyond its historical strengths in manufacturing and agriculture, and growth in factory production has played a large role in the state's recovery from the recent recession. More than 577,000 workers in the state, about 10 percent of the total employment base, are engaged in manufacturing. The sector has added 25,000 jobs since January 2010.

Advantage Illinois is a program designed to accelerate investments and ease the credit crunch for small businesses, thanks to more than $78 million from the federal State Small Business Credit Initiative (SSBCI) of the Small Business Jobs Act of 2010. For more information on Advantage Illinois Loan Participation Program visit www.Illinois.Gov.dceo.

The United States is facing a growing retirement crisis: the retirement income deficit - i.e., the difference between what people have saved for retirement and what they should have at this point - is at least $6.6 trillion. Today, 75 million working Americans do not have a retirement plan and half of all Americans have less than $10,000 in savings. Only one in five people has a defined-benefit pension plan, and half of workers have no plan at all.

To tackle this growing retirement crisis, Senate Health, Education, Labor, and Pensions (HELP) Committee Chairman Tom Harkin recently introduced the Universal, Secure, and Adaptable (USA) Retirement Funds Act. This major legislative initiative tackles the growing retirement crisis and aims to rebuild the private pension system. Harkin's legislation would create a new type of privately-run retirement plan that combines the advantages of traditional pensions?including lifetime income benefits and pooled, professional management?with the portability and ease for employers of a 401(k).

There is strong public support for reforming the retirement system. A recent study by the National Institute for Retirement Security found a majority of Americans agree there is a need for a strong, universal pension system, and 90 percent favor a plan that is available to all Americans, is portable, and provides a monthly check throughout retirement.

What Are Some of the Key Features of USA Retirement Funds?

• Universal Coverage: USA Retirement Funds would be available to everyone, including the more than 61 million people without access to a workplace retirement plan and the 14.5 million people who are self-employed.

• Automatic Enrollment:  Employees would be automatically enrolled at a rate of 6 percent per year, but could choose to raise, lower, or stop their contributions.

• Secure Lifetime Income:  Benefits would be paid monthly for life, and participants would be shielded from market volatility and other risks.

• Lower Costs: Pooled, professional management and risk sharing will reduce the cost of retirement by up to 50 percent.

• Portability: People would be able to take their benefit with them as they change employers.

• Simple and Easy for Businesses: Small businesses can easily participate and would not have to take on risk or undue administrative burden.

How Would USA Retirement Funds Address the Retirement Crisis?

USA Retirement Funds address the retirement crisis by ensuring that the 75 million working people without a retirement plan - including 61 million without access to a workplace plan and 14.5 million self-employed workers - would, for the first time, have the opportunity to earn a safe and secure pension benefit. USA Retirement Funds would drastically increase the retirement savings through automatic enrollment while reducing the cost of retirement by up to 50 percent. Together with Senator Harkin's Strengthening Social Security Act (S.567), USA Retirement Funds would put our country on a path toward restoring the "three-legged stool" of retirement security and ensure that every American has a pension, Social Security, and the opportunity to save.

Why Are USA Retirement Funds Good For Business?

USA Retirement Funds would be good for business because they would make it easy for employers - especially small business owners - to offer quality retirement benefits. Current retirement plans make employers responsible and liable for all of the management and administration of the plan. USA Retirement Funds would relieve employers of that burden because the funds would be run by an independent board of trustees. All employers would have to do is help their employees enroll and send along employee contributions. Employers could make voluntary contributions if they want.

Why Are USA Retirement Funds Good For The Economy?

USA Retirement Funds will help millions of people save for retirement. All of that new savings will be invested into the economy, creating growth and new jobs. Because the funds are long-term investors, they would be able to provide much needed "patient capital" for entrepreneurs and innovators.

More information on the bill can be found in the Bill Snapshot, Bill Summary, and FAQ.

Widespread Support for the USA Retirement Funds Act

The USA Retirement Funds Act has garnered support from a broad range of advocates and experts, including: the Service Employees International Union (SEIU); Center for American Progress; Economic Policy Institute; National Council of La Raza; Robert B. Reich, former Secretary of Labor; Denise Bowyer, Vice President of American Income Life and board member of the American Sustainable Business Council Action Fund; Pension Rights Center; National Hispanic Council on Aging; Latinos for a Secure Retirement; Latinos for a Secure Retirement; National Retiree Legislative Network; Alliance for Retirement Americans; United Auto Workers; National Institute on Retirement Security; National Conference on Public Employee Retirement Systems; National Council on Teacher Retirement; Wider Opportunities for Women; and Jobs with Justice.

For more information, please contact Kate Cyrul Frischmann ( Kate_Frischmann@harkin.) or Allison Preiss ( Allison_Preiss@help.senate.).