A Year-End Financial Checklist for Investors

As we approach the end of the calendar, it is a good time for everyone to look over their financial plans and make sure important deadlines are met before the end of the calendar year. Several retirement, tax, and account-related tasks must be completed by year-end, and missing them may affect tax reporting, contribution eligibility, or long-term planning goals.

This overview highlights many common year-end deadlines and reminders. It is not intended as individualized investment, tax, or legal advice. Please consult a qualified tax professional, financial advisor, or attorney for guidance specific to your situation.

1. Employer-Sponsored Retirement Plan Contributions (401(k), 403(b), 457(b))

Deadline: Generally, December 31 or your final payroll of the year

Employee contributions must be made through payroll before year-end.

2025 IRS Contribution Limits

• Employee deferral: $23,500

• Catch-up contribution (age 50+): $7,500

• Total combined employer + employee: $70,000 under age 50

  
  

  (or $77,500 with catch-up age 50+)

• Age 60 to 63, “super catch-up” $11,250 as provisioned by the SECURE 2.0 Act, but your plan must allow for this to use it.  Check with your Human Resources.

What to review:

• Confirm year-to-date contributions and adjust if necessary.

• Understand your employer’s matching rules.

• Check whether payroll timing or plan limits affect your ability to contribute.

  
  

2. Roth Conversions

Deadline: must be completed by December 31

A Roth conversion transfers assets from a traditional IRA or eligible plan to a Roth IRA, generally creating taxable income in the year of conversion.

Investors may consider conversions to:

• Diversify tax treatment of retirement accounts

• Manage future Required Minimum Distributions

• Support long-term estate or income planning

Because conversions impact taxes, Medicare premiums, deductions, and credits, it’s important to coordinate with a tax professional.

3. Realizing Capital Gains or Losses (Tax-Loss or Tax-Gain Harvesting)

Deadline: Last trading day of the calendar year

To realize gains or losses for tax purposes, trades must settle within the current tax year.

Key considerations:

• Capital losses may offset capital gains.

• Up to $3,000 in net losses may reduce ordinary income annually (where applicable).

• Be mindful of the IRS wash-sale rule, which disallows losses if you repurchase a substantially identical investment within 30 days.

Whether harvesting gains or losses is appropriate depends on your tax situation and overall investment strategy.

4. Required Minimum Distributions (RMDs)

Deadline: December 31 : First-year RMDs may be delayed until April 1 of the following year.

Individuals age 73 or older—and certain beneficiaries of inherited IRAs and retirement plans must take RMDs annually. The rules vary based on account type and beneficiary type.

Year-end RMD checks:

• Confirm required distribution amounts.

• Determine whether RMDs can be aggregated across accounts.

• Review inherited IRA rules, as SECURE Act changes have altered withdrawal requirements.

Missing an RMD may result in IRS penalties, so verifying calculations is critical.

5. Charitable Contributions & Qualified Charitable Distributions (QCDs)

Deadline: December 31

Most charitable gifts must be completed by year-end to be deductible for the current tax year.

Qualified Charitable Distributions (QCDs) - Charitable Organization must cash by December 31

Individuals age 70½ or older may be eligible to donate directly from an IRA to a qualified charity. QCDs:

• Can count toward your RMD

• May offer tax advantages

Investors should verify that the receiving organization is a qualified charity and consult a tax professional for documentation requirements.

6. Flexible Spending Accounts (FSAs)

Deadline: Often December 31, but varies by plan

Many FSA plans follow “use-it-or-lose-it” rules, although some employers offer:

• A limited rollover amount, or

• A grace period into the next year

Review your specific plan to confirm deadlines and remaining balances.

7. 529 College Savings Plan Contributions

Deadline: December 31 in many states (state rules vary)

Some states offer tax benefits for 529 plan contributions, often requiring contributions before year-end. Other states allow contributions up to the tax-filing deadline.

Confirm your state’s rules and benefits when planning contributions.

8. Portfolio Reviews and Rebalancing

While not tied to a mandatory deadline, many investors use year-end as an opportunity to review:

• Asset allocation

• Risk exposure

• Investment performance

• Changes in personal or financial circumstances

Rebalancing in retirement accounts avoids taxable gains, while rebalancing in taxable accounts may trigger tax consequences.

9. Annual Federal Gift Tax Exclusion

Deadline: December 31

In 2025, individuals may give up to $18,000 per recipient without using lifetime estate and gift tax exemptions.

Gift tax rules are complex, so reviewing requirements with a tax professional is recommended.

Year-End Planning Checklist

Retirement & Tax

• Review employer retirement plan contributions

• Evaluate Roth conversions

• Review capital gains/losses

• Confirm RMDs

• Review charitable giving and QCD options

Education & Family

• Check 529 plan contribution deadlines

• Review dependent care or childcare account rules

Health & Benefits

• Confirm FSA deadlines

• Review HSA contributions (HSA deadlines follow the tax-filing deadline, not Dec 31)

• Review employer benefits elections for the upcoming year

Investments & Risk Management

• Review portfolio allocation and risk exposure

• Confirm beneficiary designations

• Review insurance coverage and account titling

Important Disclosures

This material is for informational purposes only and does not constitute financial, tax, or legal advice. The information provided is based on current tax laws and regulations, which may change and impact on the guidance above. Investors should consult qualified professionals for advice tailored to their personal circumstances.

Investment advisory services are offered through your Registered Investment Advisor. This communication does not represent an offer to buy or sell any security and is not intended to provide personalized investment recommendations.