Personal Finance @lemmy.ml sugar_in_your_tea @sh.itjust.works 7 mo. ago

[US] End of year PF tasks

www.kiplinger.com Seven Year-End Financial Tasks to Check Off Your To-Do List

The end of the year is already chockfull of important things to do, but don’t let these seven fall through the cracks. You’ll thank yourself in 2024.

I like to review my financial situation near the end of the year to prep for tax season, give to charity, etc. For any who cannot access the article or are too lazy, here are the things they recommend:

Tax loss harvesting
Contribute to retirement accounts
Convert IRA to Roth
Reassess risk tolerance
Review RMDs - only for 73+
Charitable contributions
Fund accounts for dependents

I check most of these, but more importantly I look at the new limits for 401k and IRA, as well at HSA limits for the upcoming year.

Is there something you like to do financially at the end of the year?

2 comments

As a retiree, my main EOY goal is to manufacture income for ACA and tax purposes. I also rebalance my allocations as needed.
Not just for the end of the year, but I check that I've paid enough in taxes. Roth conversions (for US folks), investment income in taxable accounts, retirement distributions, etc can all generate taxable income that pushes tax liability too far above the amount covered by payroll withholding and result in penalties.

Edit: Specified that Roth conversions are for US folks