As the year comes to a close, it’s a great time to take stock of your financial picture and make sure everything is aligned with your goals. Here’s a year-end checklist to help you finish strong and set yourself up for a confident start to the new year:
1. Review Your Investment Portfolio
Check your current asset allocation to ensure it still aligns with your goals and risk tolerance.
Consider opportunities for rebalancing, especially after market shifts throughout the year.
Review realized and unrealized gains or losses to identify potential tax-loss harvesting opportunities (consult with your tax professional).
2. Maximize Retirement Contributions
Confirm contributions to your 401(k), IRA, Roth IRA, or other retirement accounts.
If you’re age 50 or older, consider catch-up contributions.
Check if you’re on track to meet contribution limits for the year.
3. Evaluate Your Tax Strategy
Review your year-to-date income and deductions with your accountant or tax advisor.
Consider strategies to reduce taxable income, such as charitable donations or Roth conversions.
Ensure any required estimated tax payments are scheduled before year-end.
4. Take Required Minimum Distributions (RMDs)
If you’re age 73 or older (or have inherited retirement accounts), make sure your RMDs are taken before December 31.
Confirm that your distributions are correctly calculated to avoid penalties.
5. Update Your Insurance Coverage
Review life, disability, long-term care, and health insurance policies.
Ensure your coverage still aligns with your needs and family situation.
Consider making any necessary beneficiary updates.
6. Check Your Flexible Spending Accounts (FSA)
Use any remaining funds in your FSA before they expire at year-end (or check if your plan has a grace period).
Plan contributions for the upcoming year.
7. Review Estate & Beneficiary Designations
Ensure your will, trust, and beneficiary designations reflect your current wishes.
Consider gifting strategies or charitable giving if they fit your estate plan.
Revisit power of attorney and healthcare directive documents.
8. Plan Charitable Contributions
Make any planned donations before December 31 to potentially benefit from tax deductions.
Consider donor-advised funds or appreciated stock donations for additional tax efficiency.
9. Set Goals for the Coming Year
Revisit your short- and long-term goals.
Plan for upcoming major life events—retirement, home purchases, education expenses, or travel.
Schedule your first financial review for next year to stay on track.
✨ Let’s Wrap Up the Year Together
A well-planned year-end can make a big difference in your financial confidence heading into the new year. If you’d like to review your portfolio, tax strategy, or overall plan before December 31, I’d be happy to schedule a strategy session.
This material is for informational purposes only and is not intended to provide specific tax or legal advice. Please consult with your tax or legal professional for guidance related to your personal situation.