Tax Day has ended, and many are dissatisfied with the amount of taxes they paid to the IRS. The surprising outcome that they experienced may have been a result of the recent overhaul in last year’s tax code, which included changes in itemized deductions and personal exemptions.
When you take quite a hit this tax season, don’t worry. The investment management advisors of AOG Wealth Management Inc. are here to share some tips that could help you save on taxes next year.
Make Charitable Donations
This is an easy way to reduce your taxable income. Itemizing your deductions on a Schedule A tax form allows you to claim a charitable deduction on your tax return. Consider bundling your donations if possible. For instance, rather than donate a specific amount for each of the five years, you may consolidate them at once. A Donor Advised Fund may be a helpful option if you have a large amount to contribute to charity, but want to spread the donations out across multiple years.
Contribute to an Individual Retirement Account
Another way to save on taxes for next year is to contribute money in an IRA. It is deducted from your tax return, especially if you contribute using after-tax cash. Continuing this every month helps it grow tax-deferred until it is withdrawn at retirement.
Wealth management solutions providers like us would recommend selling your stocks or other investments that lost value this year. Consider this tip if you come across an event that triggered a tax consequence. You’d want to make sure that you’re buying or selling when it makes sense tax-wise.
Reduce Taxes in the Top Brackets
For individuals or families that have income in excess of $300,000 per year, there are several tax strategies that can be used to potentially reduce your taxable income in a significant way. Talk to one of our advisors to learn which strategies may be best for you.
Talk to a Pro
Tax is not just about filling up the necessary forms and getting in touch with the numbers. Many nuances can get lost as you plan your taxes, costing you time and money in the process. Talk to a pro today; you’ll be advised on the steps to take to make next tax season less painful for you.
Turn to AOG Wealth Management Inc. for help on your financial needs and goals. We are a registered investment advisor that provides asset management services. Call (866) 993-0203 or fill out our contact form for a complimentary consultation. We serve Great Falls, VA, and surrounding areas.
Securities offered through TD Ameritrade Institutional Services located at 7801 Mesquite Bend Drive, Suite 112 Irving, TX 75063-6043. Investment advisory services offered through AOG Wealth Management, Inc. AOG Wealth Management, Inc. is neither an affiliate nor subsidiary of TD Ameritrade Institutional Services.
AOG Wealth Management does not provide tax or legal advice. Please consult with your tax and/or legal advisor for such guidance.