This is a good time to review and make any last minute changes to your tax strategies. Even though the year is drawing to an end, there are still tax moves that you might consider to lower your tax bill. Below are some things you should consider.
* Last minute donations to charity to maximize your itemized deductions.
* If you are over the age of 59 ½, consider making tax efficient withdrawals from your retirement accounts.
* You might consider taking advantage of the $15,000 annual gifting limit.
* If you are 70 ½, consider making contributions up to $100,000 from your retirement accounts to qualified charities of your choice.
* Have you considered opening a health savings account (HSA)? When you invest in an HSA, it will give you a tax deduction for the current year as well as providing a savings account to pay your out of pocket medical expenses.
The HSA is not a "use it or lose it" account. Funds remaining at the end of the year can be used for future years.
FYI: you can fully fund an HSA up to April 15th of the following year.
To maximize your tax savings and avoid a bad tax filing experience, review your current tax strategies. At Summit CPA we offer multiple resources to assist you with all of your tax and financial planning needs. Contact our office at (866) 497-9761 to schedule an appointment with our advisors.