Shownotes
Amy Irvine discusses important financial considerations to keep in mind before the end of the year. She covers topics such as unrealized investment losses, capital gain distributions, required minimum distributions (RMDs), qualified charitable distributions (QCDs), income and tax planning, capital gains, thresholds for tax brackets and Medicare premiums, business expenses, retirement plans, changes in marital status, maximizing health savings accounts (HSAs), insurance planning, estate planning, and financial aid strategies for college.
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Key Takeaways:
- Consider taking losses on unrealized investments in taxable accounts before the end of the year.
- Include end-of-year capital gain distributions in tax estimates for taxable accounts.
- Ensure compliance with RMD requirements, including from inherited IRAs.
- Utilize QCDs for charitable giving to avoid claiming income from IRA donations.
- Plan for future income changes and consider IRA contributions, conversions, and Roth contributions.
- Utilize carry forward losses and be aware of tax thresholds for various deductions and surcharges.
- Consider maximizing charitable contributions to potentially itemize tax returns.
- Evaluate income tax implications of future windfalls or stock options.
- Explore QBI deductions for pass-through income from businesses.
- Consider deferring or accelerating business expenses to optimize tax liability.
- Update W-4 forms after changes in marital status to avoid unexpected tax bills.
- Maximize contributions to HSAs, retirement plans, and 529 plans before year-end.
- Utilize FSA funds before the end of the year and be aware of rollover and grace period options.
- Review estate plans for changes in family or assets and consider annual exclusion gifts.
- Implement financial aid strategies for college, such as reducing income in specific years.
Links to the Checklists Mentioned in this episode
This episode is brought to you by Rooted Planning Group. Rooted Planning Group is a fee-only financial planning firm that specializes in working with women in their 30s and 40s who want to take control of their finances and plan for the future. Whether you're just starting out or you're looking to make a big change, Rooted Planning Group can help.
Visit www.rootedpg.com to learn more.
