As we are about to close the books on 2017, I want to share a few reminders that may benefit you financially. Believe me, I understand that you’d rather watch a holiday movie and enjoy freshly baked cookies, but it’s important to note that because of this year’s tax reform … we can still make a great impact on our finances by December 31.
December is already an expensive month, but some of these tips will encourage you to open your wallet once again:
- End of Year Giving: If you are seeking last-minute tax write-offs, you may want to consider a generous donation to a local charity of your choice. I’m sure your inbox has been inundated with appeals from various charities seeking a final donation in 2017. That’s because non-profits know that nearly one-third of all donations occur during the month of December.
So, if lowering your tax bill with accelerating deductions is a good option for you, choose the charity or charities of your choice and make a great impact. Simply remember to have your receipts for any & all contributions.
- Another strategy to accelerate a deduction in 2017 is to make an advanced payment on your 2018 Property Taxes. With the current tax reform, you may want to consider taking advantage of that deduction in 2017 instead of waiting for next year. We simply don’t know how the current tax reform will change how taxes are collected or managed.
- If you are an accredited investor, there are opportunities to invest in oil drilling. Developmental drilling programs can provide attractive tax benefits to investors. This is a complicated investment strategy that can have significant tax benefits for certain clientele. If this peaks your interest, there are many elements of strategy that should be discussed and I look forward to that conversation.
- Increase your contribution to your tax-deferred retirement accounts. Company-sponsored 401(k) plans are typically an ideal contribution because employers often match your contribution.
- Does your company offer flexible spending accounts? Check with your employer to see if they have adopted a grace period to allow spending into 2018. If not, make those last-minute appointments with your dentist, optometrist or doctor and/or purchase any necessary items allowed to use those funds so you don’t lose them!
We are committed to you and your financial well-being. As you review your 2017 finances and look ahead at 2018, you may have numerous questions regarding end-of-year giving or investments. We want to remind you that we are always here. We encourage you to call us with questions and let’s discuss the best strategy for your profile.
From all of us here at Bluestone Wealth Partners, we wish you and your family a safe and happy holiday season with friends and family. We also want to take this opportunity to thank you for entrusting us with your financial well-being this year. We look forward to continued success and growth in 2018.