Tax Planning:
Roth Conversions, Tax-Loss Harvesting & Income Timing Strategies
The fourth quarter is a great time to take a closer look at your tax picture—before deadlines sneak up. Smart planning now can reduce your 2025 tax burden and ensure you’re putting your money to work in the most efficient way possible. Plus, with the new tax bill coming into effect this year, it helps to ensure you understand the changes and impact on your situation.
Roth Conversions: Pay Now, Save Later
If your income is lower this year—or if you’re temporarily in a lower tax bracket—a Roth conversion could be a strategic move. By converting a portion of your traditional IRA to a Roth IRA, you’ll pay taxes on that amount now, but your future withdrawals can be tax-free. This can be especially beneficial for those approaching retirement or expecting higher tax rates down the road.
Tax-Loss Harvesting: Turning Losses into Opportunity
Have investments in a taxable account that didn’t perform as expected this year? You might be able to sell them and “harvest” those losses to offset gains elsewhere in your portfolio. Tax-loss harvesting is a tactical way to reduce your tax bill while rebalancing your investments with intention.
Income Timing: Managing When You Earn
If you’re self-employed or receive irregular income (bonuses, commissions, or capital gains), there may be opportunities to shift income into next year—or accelerate deductions into this year—depending on your projected tax bracket. Timing matters more than most people realize, and it’s one area where proactive planning can make a real difference.