Smart Financial Moves to Make Before Year's End

Money Moves PDF

As the year draws to a close, it's important not to ease up on managing your finances. There are several actions you should complete before the year ends—not just investment decisions, but also personal financial steps that can affect everything from your taxes to your monthly cash flow.

Which retirement planning actions should be completed before year-end?
Make sure you are maximizing your 401k or IRA contributions especially if you are 50 or older as you might be eligible for catchup contributions. And if you are using a Health Savings Account, don’t miss the opportunity to fully fund that account. Individuals who are retired and aged 73 or older may be obligated to take required minimum distributions from their non-Roth retirement accounts.

Are there any tax moves to make before the end of the year?
Harvest tax losses by selling underperforming investments to offset capital gains. Make charitable donations to reduce taxable income and support causes you care about. Adjust tax withholding or estimated payments to avoid surprises at tax time.

What company benefits should we use before year-end?
Make sure to use your Flexible Spending Account (FSA) funds before the "use it or lose it" deadline, which is typically December 31st. Update life, disability, and health insurance plans, especially during open enrollment periods. Don’t miss any benefits, especially for dental or vision plans.

Are there any personal financial moves to make at the end of the year?
Review your social security earnings record each year; this helps you spot mistakes early and makes corrections easier. Check the beneficiary information on all your financial accounts to confirm it is still correct, and review your spending from the past three months to determine if your current expenses are sustainable.