Maximize Your Retirement Savings with These 12 Tax Hacks! 🤑💸

As the year comes to a close, it’s time to look ahead and prepare for a better financial future. To ensure you’re on the right track, consider these year-end tax planning tips for 2024 and beyond to help you save money and grow your wealth.

1. Strategize Roth Conversions Before the End of This Year
   • A Roth conversion involves moving money from a traditional retirement account to a Roth account.
   • Use tools like the Roth Conversion Explorer and 2024 Roth Conversion Calculator to understand the tax implications and create a conversion strategy for lifelong wealth.
   • Simulate different conversion scenarios in the Boldin Retirement Planner to assess the impact on your finances.
2. Make Moves Now that Benefit You in the Future
   • Plan ahead to minimize future taxes and maximize your savings.
   • Explore strategies like Roth conversions, tax loss harvesting, and bundling deductions to reduce taxable income and optimize tax planning.
3. Reduce Taxable Income
   • Cut your taxable income by finding sources of nontaxable income, using deductions, and claiming tax credits.
   • Consider tax loss harvesting, bundling medical and charitable deductions, and maximizing your tax-advantaged savings.
4. Beware of the AMT
   • Be aware of the Alternative Minimum Tax (AMT) rules to avoid potential tax surprises.
   • Accelerating tax deductions could trigger the AMT, so plan carefully to minimize its impact.
5. Don’t Forget Your RMDs
   • Remember to take Required Minimum Distributions (RMDs) from your retirement accounts to avoid penalties.
   • Use the Boldin Retirement Planner to calculate your RMDs and plan for their impact on your finances.
6. In a Low Tax Bracket? Pick Up Capital Gains
   • Consider selling stocks with significant gains if you’re in a low tax bracket to take advantage of lower capital gains taxes.
   • Use strategies like resetting the basis and harvesting losses to optimize your tax situation.
7. Pay Attention to the Medicare Surtax and Net Investment Income Tax for High Earners
   • Understand the additional Medicare tax and Net Investment Income Tax implications based on your income level.
   • Stay below the income thresholds to avoid additional taxes on investments and Medicare.
8. 65 or Older? Know that You Have a Higher Standard Deduction
   • Take advantage of a higher standard deduction if you’re over 65 to reduce your taxable income.
   • Utilize the Planner’s federal income tax estimates to maximize your deductions.
9. Know How Your Social Security Benefits Are Taxed
   • Understand how Social Security benefits are taxed based on your income level.
   • Check your projected future tax burden in the Boldin Tax Insights to plan for taxes on Social Security benefits.
10. Thinking of Relocating in 2024? Consider the Best States to Retire in for Taxes
    • Explore states with favorable tax rates for retirees if you’re planning to relocate for retirement.
    • Model different scenarios in the Boldin Retirement Planner to compare estimated tax differences based on your location.
11. 529 Plans
    • Consider the tax benefits of 529 plans for education expenses and state tax credits.
    • Allow your contributions to grow in the account for greater tax savings before withdrawing funds.
12. Consider Getting Professional Help
    • If your tax situation is complex, consider seeking help from a tax professional or CERTIFIED FINANCIAL PLANNER™.
    • Schedule a FREE Discovery Session with a Boldin Advisor to discuss your financial needs and receive expert advice on tax planning.

Prepare for a brighter financial future by implementing these year-end tax planning strategies. By proactively managing your taxes, you can save money, grow your wealth, and secure your financial well-being for the years to come.