Smart moves to make before year-end to lower your tax bill and boost your bottom line.
Fall isn’t just for pumpkin spice and football—it’s also prime time to take control of your tax strategy before the calendar flips. Waiting until December (or worse, April) means missed opportunities. Here’s your fall checklist to make the most of the remaining months.
1. Get a Clear Picture of Year-to-Date Profit
You can’t plan what you haven’t measured. Start by reviewing your year-to-date Profit & Loss statement.
- Are your profits higher or lower than expected?
- Are you on track with your estimated tax payments?
- Do your financials reflect your true performance?
Tip: Don’t wait for your accountant to ask—get proactive with your numbers now.
2. Consider Strategic Spending Before December 31
Need new equipment, software, or office upgrades? Buying now may allow you to deduct the full amount this year under Section 179.
Other smart investments:
- Year-end bonuses
- Prepaying rent or utilities
- Marketing pushes with measurable ROI
Spend intentionally—don’t just spend to get a write-off. Every dollar should move the business forward.
3. Max Out Retirement Contributions
Retirement plans like Solo 401(k)s, SEP IRAs, or employer-sponsored 401(k)s offer powerful tax savings.
- Consider employer contributions if you’re a business owner.
- Review employee deferrals—especially if a match is involved.
- Don’t forget catch-up contributions if you’re 50+.
Pro Tip: Some plans must be established by year-end to count, even if funded later.
4. Evaluate S-Corp Salary vs. Distributions
If you’re an S-Corp owner, it’s essential to strike the right balance between a “reasonable salary” and owner draws.
- Too low, and you risk an IRS audit.
- Too high, and you overpay payroll taxes.
Now is the time to review compensation strategy—not in tax season when options are limited.
5. Harvest Tax Losses (If You Have Investments)
For those with taxable investment accounts, you may be able to offset capital gains by selling underperforming assets before year-end.
- Coordinate with your financial advisor.
- Be aware of the wash sale rule (you can’t buy the same security back within 30 days).
6. Schedule a Year-End Tax Review with Your CPA
Fall is when your tax advisor can provide the most value—before the clock runs out.
- Project your tax liability
- Identify deduction opportunities
- Avoid surprises (and penalties)
Don’t wait until January. Book that Discovery Meeting now while there’s still time to act.