“In this world nothing can be said to be certain, except death and taxes.”

-Ben Franklin

Tax Planning Moves: What You Can Still Do for 2025 (and What to Do Going Forward)

Disclosure: This is a longer blog. The reason is that I want to give you a template you can use going forward. Some may apply to you and some may not.

Of course, run this by your CPA before executing.

Carry on…

Most people overpay. Not because they’re doing anything wrong. But because they don’t know what’s possible, or they wait too long to act.

We’re now in 2026. The 2025 tax year is closed. But that doesn’t mean you’re out of options.

Some moves can still be made before you file. Others set you up for lower taxes in the years ahead. Let me walk you through all of them.

Part 1: What You Can Still Do for 2025

The calendar year ended December 31, but you still have time to make a few important moves that count toward your 2025 taxes.

1. Contribute to a Traditional IRA.

You can still make a 2025 IRA contribution up until the tax filing deadline — April 15, 2026. The 2025 limit is $7,000, or $8,000 if you were 50 or older by December 31, 2025.

If you qualify for the deduction, this reduces your 2025 taxable income dollar for dollar. Income limits apply if you or your spouse are covered by a workplace retirement plan.

2. Contribute to a Health Savings Account.

If you had a high-deductible health plan in 2025, you can still contribute to your HSA until April 15, 2026. The 2025 limits are $4,300 for self-only coverage and $8,550 for family coverage, plus an additional $1,000 if you were 55 or older.

HSA contributions are tax-deductible, growth is tax-free, and withdrawals for qualified medical expenses are tax-free. It’s the only account with a triple tax advantage.

3. Fund a SEP-IRA (if you’re self-employed).

Self-employed individuals can contribute to a SEP-IRA up until the tax filing deadline — including extensions. That means you potentially have until October 15, 2026 to make a 2025 contribution.

The 2025 limit is 25% of net self-employment income, up to $70,000. This is one of the most powerful deductions available to business owners.

4. Make Solo 401(k) employer contributions (if you’re self-employed).

If you have a Solo 401(k), the employee contribution deadline was December 31, 2025 — that window is closed. But the employer contribution portion can still be made up until your tax filing deadline, including extensions.

5. Max out your 529 contributions for the state tax benefit.

Many states offer a state income tax deduction or credit for 529 plan contributions. Deadlines vary by state — some require contributions by December 31, but others allow contributions up until the tax filing deadline for the prior year.

Check your state’s rules. If you’re in a state that allows it, you may still be able to contribute for 2025.

6. Use your Flexible Spending Account funds.

If your FSA plan has a grace period, you typically have until March 15, 2026 to spend your 2025 FSA dollars. Check with your employer — some plans offer a grace period, others offer a small carryover, and some are strict use-it-or-lose-it by December 31.

If you have funds remaining, schedule those medical appointments, buy new glasses, or stock up on eligible expenses before the deadline.

7. Use your Dependent Care FSA funds.

Same principle. If you have dependent care FSA money left over and your plan offers a grace period, use it before you lose it. Eligible expenses include daycare, after-school programs, and summer camps for children under 13.

That’s it for 2025. Everything else — 401(k) employee contributions, tax-loss harvesting, charitable donations, income deferral — had to be done by year-end. If you didn’t make those moves, the opportunity for 2025 has passed.

But here’s the good news: you have all of 2026 ahead of you.

Part 2: What You Can Do Now to Lower Your 2026 Taxes

These are the moves you can make this year to reduce what you’ll owe when you file next spring.

Retirement Account Contributions

8. Max out your 401(k) contributions.

The 2026 employee contribution limit is $24,500. If you’re 50 or older, you can add $8,000 in catch-up contributions for a total of $32,500. If you’re between 60 and 63, the catch-up is $11,250, bringing your total to $35,750.

Every dollar you contribute to a traditional 401(k) reduces your taxable income.

One new wrinkle for 2026: if your 2025 wages exceeded $150,000, any catch-up contributions must go into a Roth 401(k), not traditional. This is a SECURE 2.0 change taking effect this year.

9. Contribute to an IRA.

The 2026 IRA limit increased to $7,500. If you’re 50 or older, the catch-up is now $1,100, for a total of $8,600.

If you qualify for the traditional IRA deduction, contribute early in the year and let it grow. If you’re above the income limits for deductibility, consider a Roth IRA or a backdoor Roth strategy.

10. Fund your HSA.

The 2026 HSA limits are $4,400 for self-only coverage and $8,750 for family coverage, plus $1,000 if you’re 55 or older.

If your employer offers payroll contributions, use them — you’ll avoid FICA taxes in addition to income taxes.

11. Do a Mega Backdoor Roth if your plan allows it.

Some 401(k) plans allow after-tax contributions beyond the standard employee limit, up to the total annual limit of $72,000 (including employer contributions). If your plan allows this — and allows in-plan Roth conversions or in-service distributions — you can convert those after-tax contributions to Roth.

This is an advanced strategy, but for high earners with extra cash to save, it’s a powerful way to get more money into tax-free accounts.

Investment Moves

12. Harvest losses throughout the year.

Don’t wait until December. If you have investments in a taxable account that are down, consider selling them to realize the loss. You can use those losses to offset gains and up to $3,000 of ordinary income per year. Unused losses carry forward indefinitely.

13. Harvest gains at 0%.

If your taxable income puts you in the 0% long-term capital gains bracket — up to roughly $48,350 for singles or $96,700 for married couples filing jointly in 2026 — you can sell appreciated investments and pay zero federal tax on the gains. This resets your cost basis higher, reducing future taxes.

Stock Compensation Strategies

14. Consider electing into your ESPP.

If your company offers an Employee Stock Purchase Plan and you’re not enrolled, consider whether it makes sense for you. Most ESPPs let you buy company stock at a discount — often 15% below market price. That’s an immediate return, though you’ll owe taxes when you sell.

Enrollment periods vary by company. Check when the next window opens.

15. Sell ESPP shares strategically.

If you acquired ESPP shares that vested in December 2025, think carefully about when and how to sell. If you hold the shares for at least two years from the grant date and one year from purchase, you get favorable long-term capital gains treatment on most of the gain.

Selling too soon triggers ordinary income on the discount portion. Timing matters.

16. Exercise Incentive Stock Options (ISOs) up to the AMT threshold.

ISOs don’t trigger regular income tax when you exercise, but they do create an Alternative Minimum Tax preference item. If you have ISOs, consider exercising just enough to stay under the AMT threshold. Or, if it’s part of a deliberate multi-year strategy, you may choose to go past it.

This requires careful planning. The math is complicated and depends on your overall income, the spread on the options, and your AMT situation.

17. Exercise Non-Qualified Stock Options (NSOs) if it makes sense.

Unlike ISOs, NSOs trigger ordinary income the moment you exercise — on the spread between the exercise price and the current market value. If you’re in a lower tax bracket this year than you expect to be in future years, exercising now might make sense. If you expect lower income next year, waiting might be better.

There’s no one-size-fits-all answer. It depends on your tax situation, the stock price, and your outlook.

Charitable Giving Strategies

18. Donate cash to charity — or bunch donations in a donor-advised fund.

If your itemized deductions are close to the standard deduction, consider bunching multiple years of charitable giving into one year. This pushes you over the threshold so you actually benefit from itemizing.

A donor-advised fund makes this easy. You get the full deduction in the year you contribute, but you can distribute the money to charities over time.

There is a new law for 2026: you can donate $ 1,000 per person and get the deduction without itemizing.

19. Donate highly appreciated stock instead of cash.

If you have stock that’s increased significantly in value, consider donating the shares directly to charity instead of selling them, paying the capital gains tax, and donating the cash.

When you donate appreciated stock held longer than a year, you get a deduction for the full market value — and you avoid paying capital gains tax on the appreciation. It’s one of the most tax-efficient ways to give.

20. Use a Qualified Charitable Distribution.

If you’re 70½ or older, you can transfer up to $105,000 directly from your IRA to charity. The distribution satisfies your RMD (if you have one) but doesn’t count as taxable income. This is especially valuable if you don’t itemize.

Other Current-Year Moves

21. Review your paycheck withholding.

Look at your most recent pay stub. Are you on track to have enough withheld, or are you heading toward a big refund?

A big refund might feel nice, but it means you gave the IRS an interest-free loan all year. That’s your money sitting in their account instead of yours.

On the other hand, if you’re under-withheld, you could face a penalty. The goal is to get close — owe a little or get a small refund, but not give away thousands for free.

22. Watch your income for IRMAA.

Your 2026 income determines your Medicare premiums in 2028. If you’re approaching a threshold — or if you’re planning a Roth conversion or selling property — be aware that a spike in income this year will cost you extra later.

The first IRMAA surcharge kicks in around $109,000 for singles and $218,000 for married couples filing jointly.

23. Defer income if possible.

If you have control over when you receive income — bonuses, consulting fees, contract payments — consider whether deferring some to next year would keep you in a lower bracket this year.

Part 3: Strategic Moves for Lower Taxes in Retirement

These aren’t about one tax year. They’re about positioning yourself for lower taxes over a lifetime.

24. Do Roth conversions in low-income years.

The years between retirement and age 73 (when RMDs begin) are often a golden window. Your income may be lower than it’s been in decades. Converting traditional IRA money to a Roth during this window fills up low brackets on purpose — so you’re not pushed into higher brackets later by required distributions.

25. Spread conversions over multiple years.

Don’t convert everything at once. That creates a massive tax bill. Instead, convert just enough each year to fill your current bracket without spilling into the next one.

26. Coordinate Social Security timing with your tax strategy.

When you claim Social Security affects how much of your benefit is taxable. Combined with other income, up to 85% of your benefit can be taxed. Delaying Social Security while doing Roth conversions can significantly reduce your lifetime tax bill.

27. Plan your withdrawal sequence.

In retirement, you likely have three types of accounts: tax-deferred (traditional IRA, 401k), tax-free (Roth), and taxable (brokerage). The order and proportion you draw from these affects your taxes every year. This isn’t something to wing.

28. Manage RMDs before they start.

Required Minimum Distributions begin at 73. If you have a large traditional IRA balance, those distributions could push you into higher brackets and trigger IRMAA surcharges. The time to address this is before RMDs begin — not after.

29. Consider your account types for new contributions.

If you’re in a low tax bracket now, Roth contributions may make more sense than traditional. If you’re in a high bracket, traditional contributions and the immediate deduction may be more valuable.

Think about where tax rates are headed — both for you personally and in general. Having a mix of account types gives you flexibility to manage your taxable income in retirement.

The Bottom Line

Taxes are one of the biggest expenses in retirement. But unlike most expenses, they’re also one of the most controllable.

The key is thinking ahead. Most opportunities require action before a deadline passes. Once the moment is gone, it’s gone.

For 2025, you still have a few weeks to make IRA, HSA, and possibly 529 contributions. Don’t miss that window.

For 2026 and beyond, the playbook is bigger. The question is whether you’re using it.

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Jeremy Finger, Founder

Jeremy grew up in Nichols, South Carolina, where fishing with his dad sparked a lifelong interest in how money shapes our lives. Since becoming a financial advisor in 1996, he’s helped people navigate life’s biggest moments—and today, with Riverbend, he offers a calm, personal approach that helps clients focus on what matters.

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