While you may be able to contribute to an IRA account, to reduce your tax liability, it's never too early to start tax planning.
Nobody wants to pay more in taxes than is absolutely necessary. Developing a tax plan and sticking to it may result in significant tax savings over the last minute pulling together of information at the end of the year.
Several examples of proven methods for reducing your tax burden have been outlined below. We appreciate your business and encourage you to call with any questions or concerns you might have.
- Through our alliance with UVEST Financial Services, maximize your contributions to a Retirement Plan, including an IRA and 401(k) Plan.
- Consider placing some cash reserves in a Tax-Exempt Money Market Fund.
- Consider purchasing a Non-Qualified Annuity Contract to supplement your employer-sponsored retirement plan.
- Closely monitor your withholdings to make sure you are not giving the government an interest-free loan.
- If you have an older life insurance policy, consider using a 1035 exchange to upgrade your policy without triggering an income tax liability.
- If you itemize deductions, gifts to qualified charitable organizations can be deducted from your reportable income.
- Respond to the IRS promptly if you receive any correspondence from them. Delays could incur steep penalties and interest charges.
UVEST Financial Consultants do not offer tax advice.
For tax assistance, please refer to your accountant or other tax professional.
