Tax Season Is Done. Planning Season Starts Now!
April 15 marks the end of tax season. That does not mean it should be the end of your focus on taxes.
Most people only think about their taxes once a year. They gather documents, file returns, hope for a refund, and move on. If that is your only interaction with the tax system, you may be missing opportunities to plan more effectively!
The Difference Between Tax Filing and Tax Planning
Tax filing is backward looking. It reports what already happened. Tax planning is forward looking. It helps reduce future tax liability through better decisions made now.
By the time you are filing a return, most of your best options are already off the table. This is why planning throughout the year can make such a difference.
Planning Opportunities That Require Looking Ahead
Some of the most impactful tax strategies only work when you plan ahead. Examples include:
Roth conversions to lock in lower tax rates or reduce future required distributions
Charitable giving strategies like donor-advised funds or bunching donations
Tax-efficient withdrawal strategies across different account types
Timing capital gains and losses to stay under income thresholds
Maximizing retirement plan contributions
Planning ahead for stock-based compensation or business income
Tax Planning Is Financial Planning
Tax decisions affect almost every part of your financial life. Whether you are thinking about retirement, education, charitable giving, or legacy planning, taxes play a role. This is why tax planning is not a once-a-year task. It is a year-round part of a thoughtful financial strategy.
Where to Go from Here
If this year’s tax season felt rushed or reactive, consider using that feeling as momentum to plan differently going forward.
You can start by asking:
What surprised me about my taxes this year?
Did I leave money on the table?
Could earlier planning have helped avoid stress or missed opportunities?
The goal is not perfection. It is progress and clarity. The sooner you start thinking ahead, the more control you can have next year and beyond!
*This content is for educational purposes only and is not intended to provide tax, legal, or accounting advice. Please consult a qualified tax professional regarding your individual situation.
