Fall Financial Planning Tips
As we approach year-end, we suggest you consider the following steps to best position yourself for success in 2023 and beyond:
Update your estate plan if any changes in the past year warrant updating your will or other estate planning documents. A complete estate plan includes a last will and testament and planning for incapacity with a financial power of attorney and an advance health care directive. Additionally, like your will, beneficiary designations should be reviewed every few years and especially any time you experience a life-changing event, such as the death of a loved one, divorce, marriage or change in financial status. A beneficiary designation overrides a distribution set forth in your will. If you change or update your estate planning documents and do not also change or update your beneficiary designations on non-probate assets, distribution upon your death may not match your intent.
Revisit your asset allocation to help ensure your portfolio is still apportioned among stocks, bonds, cash and other asset classes in alignment with your goals and risk tolerance.
Plan for your tax return to minimize the impact of taxation on your portfolio. For example, for those who are still working, consider fully funding your employer-sponsored retirement plan since your contributions can be made on a pre-tax basis.
Plan your charitable and holiday giving by setting a budget for planned year-end spending. Those planning to give financial gifts to family members should keep in mind the annual gift tax exclusion limit of $16,000 per individual/$32,000 for couples for 2022 and look to make those gifts before year-end.
Our Financial Planning team, led by Eric Wiegand, is here to help you with these steps and more. Please call your wealth advisor to discuss your personal situation.