Making the right moves before the year ends, could help you save a bundle on your taxes.
Defer Your Income
If you are employed, you may be able to defer your year-end bonus and count it towards next year’s income. This can help you avoid paying taxes on it this year.
Accelerate Your Deductions
If you have qualifying expenses that exceed standard deductions, you could maximize your deductions and itemize.
Donate to Charity
Charitable giving is an easy way to itemize deductions, you can double up on your yearly giving to maximize your tax savings.
Tax-Loss Harvesting
If you have any stocks or mutual funds that have declined in value, you could sell them to realize the losses. You could offset taxes on gains and income with those losses.
Max Out Contributions
Pre-tax retirement contributions can reduce your taxable income. Consider contributing to employee-sponsored programs.
This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.
The tax-loss harvesting and other tax strategies discussed should not be interpreted as tax advice and there is no representation that such strategies will result in any particular tax consequence. Clients should consult with their personal tax advisors regarding the tax consequences of investing.
LPL Tracking Number: #512477