Tax Season Coming Soon!

With tax season 3 weeks away, it’s time to get those last minute contributions in. A few potential ways to save some money on your tax return this year:

1) Contribute to a Health Savings Account. If you’re covered by a high deductible health insurance, you may be eligible to contribute to an HSA and be tax deductible. One great thing about HSA’s are if they aren’t used, they can be later be used after age 65 for even non health related expenses and be penalty free. They can be like a second IRA in that way.

2) Contribute to an IRA or Roth IRA. Contributing before the tax deadline and count for the previous tax year. Meaning you can contribute in 2025 and count towards your 2024 tax return if you choose to. Keep in mind, there are income limits to watch out for when contributing to an IRA or Roth. It also depends on if you and/or your spouse has a workplace retirement plan, which can alter the income limits.

3) Think ahead to next tax year. Potentially start with increasing your workplace retirement plan contribution up to the maximum. Look at contributing to a child’s 529 college savings plan. Explore a back door Roth IRA contribution if you’re income is over the limits.

If you have any questions regarding your investments or financial planning, please feel free to reach out to Synergy Wealth Management. Serving the greater Grand Rapids, Michigan area.