What smart moves can you make to slash your 2015-2016 tax bills?
There’s only a few weeks left to make those moves, maximize deductions, and keep more of your paycheck in your pocket. So aside from getting all of your paperwork organized and sitting down with your financial experts, what are some of the tax saving moves you might want to consider now?
Everyone’s tax situation is unique, and it is essential to speak with your own licensed tax professionals before making any moves, but here are some that you might benefit from…
Max Out Retirement Savings Contributions
Maxing out IRA contributions can be a great way to put more of your hard earned money back in your pocket rather than handing it right over to the IRS. A married couple can potentially contribute up to $11,000 to a traditional IRA in 2015.
Health Savings Accounts are like IRAs for your healthcare. They allow individuals to put aside money and let it grow tax free to pay for medical costs. Just make sure you meet the eligibility requirements.
Tax Free College Saving Plans
College saving plans like the 529 or Edward Jones Coverdell Education Savings Accounts enable parents to invest for their children’s future education and gain tax breaks.
Launch that Startup
Start that business you’ve been thinking about and take the losses. New businesses will typically have paper losses for the first year or two. Depending on your corporate and accounting set up those may be rolled over for a year or two and reduce your personal income tax bill. So why not kick start that this year?
Buy Real Estate
NY real estate can be a great investment. Whether it is your first home or a pure investment property there could be substantial tax breaks, while taking advantage of great interest rates, and more.
Appeal Your Property Taxes
For those that already own property, make sure you have challenged your property tax assessment and appeal your tax bill so that you are not overpaying.
How will you save on taxes this year?