Tax planning is a process we go through with clients to minimize taxes over the course of your lifetime. We usually look for ways to reduce taxable income in any given year, but we could be looking for ways to increase it if you’re in a particularly low income year – which means you can take advantage of lower tax rates.

This planning typically happens well before the end of the calendar year, which gives us plenty of time to put the strategies we discuss into place. But, there are a few ways you can reduce your tax bill even after we’ve crossed into the new year:

IRA Contributions

Contributions to IRAs can be made up until your tax filing deadline. Just beware of income limits – especially if you or your spouse has access to an employer retirement plan.

SEP IRA

If you have self-employment income, a SEP IRA can also be opened and funded up to your tax filing deadline. And if you’re strategizing for future savings, take a look at this full list of self-employed retirement savings options and the pros and cons of each.

Get Organized

If you think you may be able to itemize your deductions, make sure you have all your documentation ready to go so you don’t miss anything – this could include mortgage interest, property taxes, excise taxes, medical costs, and charitable contributions.

Joe Calvetti is a CPA and the founder of Still River Financial Planning, a comprehensive, fee-only financial planning firm that specializes in working with young families and professionals. Click here to learn more about how we work with clients.

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Disclaimer: The information provided above is for educational purposes only and should not be considered financial, legal, or tax advice. You should consult with a professional for advice specific to your situation.