Making Rational Decisions

A couple of days ago I received a notification letter from the government that I need to submit the first Tax Return document for my small company. The deadline is in the next two weeks.

This just stresses me out.

I find it hard to work on the document as I have no experience with accounting and I need to do it completely in German which I am not very fluent in. On the other hand, paying a tax consultant to do the work will cost me a lot of money.

Which decision should I make?

I learned from altMBA that making a decision is like placing a bet. And the best way to begin to make rational decisions, is by outlining them as if it affects someone else, not us. Then we force ourselves to rank the value of various outcomes. And finally, we make our very best guess about the odds of each outcome.

Good decisions don’t always lead to good outcomes, they merely lead to the best outcome being the most likely outcome.

Decisions with high stakes should be just as easy to make as decisions with trivial stakes, if all the data is just as clear.

Therefore I have outlined all my options for my situation below:

Based on that, I have come to the decision that I will look for a tax consultant to work on my tax return document.

This might not result in the final outcome that can save me money. However, this could give me the peace of mind so I can focus my energy on things that matter.

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