There are several things to consider before year end that could have a positive impact on your tax obligation for 2025. These suggestions may be worth your review.
Review and/or maximize the annual gift limit of $18,000.
Review your investment portfolio for capital gains and loss planning.
Use your annual $3,000 net capital loss limit to lower your ordinary income.
Consider fully funding your retirement with annual contributions.
Consider donating appreciated stock owned for over one year or more.
Review ALL your retirement accounts, Make sure you have withdrawn your RMD (Required Minimum Distribution) for 2025.
Consider retirement plan rollover options into Roth IRAs.
Review last minute charitable deductions. It may be more advantageous to hold over until 2026 because of the tax changes coming in 2026.
Review medial and dependent care funding accounts. Make sure you use contributions before they expire.
Estimate your tax liability and PAY your estimated taxes to alleviate penalties.
Create a list of expected Form 1099’s, W-2’s and other tax documents. Check them off as you receive them to begin organizing your tax records.
