If you are like many, you don’t begin to think about how to reduce your tax liabilities until it is time to file your federal and state taxes. By then, it is too late to take advantage of many opportunities available if you plan. Tax planning should begin at the beginning of the tax year to see the most significant savings on your taxes. Cummings Wealth Management advisors can assist you in developing strategies to reduce your tax burdens.
Though taxes are essential to funding the services governments provide, most people want to pay as little as possible to preserve their financial health. Tax planning provides a framework for lowering annual payments.
However, it isn’t just about reducing your out-of-pocket costs; it is an approach that considers your overall goals. Strategies for managing your lifetime tax liabilities includes the following:
Furthermore, you want to consider ways to reduce estate taxes for your beneficiaries.
While you will need your tax professional’s help completing your taxes, our advisors work with you to devise strategies for increasing your tax efficiency while still meeting your financial and life goals. When creating your tax plan, we consider your income, retirement goals, significant expenses, and investment portfolio. Get in touch with us today to schedule a consultation.