Year-End Financial Pointers

As predictable as finding "It's a Wonderful Life" in your DVD player at Christmas, it is time once again to start mulling over year-end tax, estate, and financial planning moves while it is yet 2014.

A recent article in the Physician's Money Digest, titled 10 Financial Planning Tips for Year-end," offers a few pointers for you to consider for the year-end.

For example:

• Think about adding to or opening a tax-advantaged 529 education plan for future education expenses, which allows you to make five years’ worth of gifts in one year.
• Make your last-minute charitable donations, and maximize your itemized deductions by donating property, or appreciated stock (i.e., contributions are deductible if you itemize deductions).

• For 2014, you can make gifts up to $14,000 (per person) to as many people as you want without any federal gift tax.

• If you're over 70½, be sure you’ve taken your required minimum distribution, including all of your IRAs in the calculation.

• Review the beneficiary designations on your IRA’s, 401(k)s, and insurance policies to confirm the correct info, and do not name your estate as a beneficiary!

After you read the additional pointers in the original article, review your own year-end options and ask your estate planning attorney to review your specific situation while you are at it.

Remember: “An ounce of prevention is worth a pound of cure.” When making your financial, tax and estate plans, do not go it alone. Be sure to engage competent professional counsel.

For more information about estate planning in Overland Park, KS (and throughout the rest of Kansas and Missouri) and to download free tools to help you organize your estate, visit my estate planning website.

Reference: Physician's Money Digest (October 17, 2014) 10 Financial Planning Tips for Year-end"