Year-End Financial Planning Checklist: Setting the Stage for 2026

As the year draws to a close, it’s the perfect time to pause, reflect, and take proactive steps to align your financial life with your goals. A structured year-end review ensures you’re maximizing opportunities for tax efficiency, fine-tuning your investments, and entering the new year with confidence.

Below, you’ll find two tailored checklists—one for individuals still in their working years and another for those enjoying retirement.

For Working Individuals: Positioning for Progress

1. Maximize Retirement Contributions

   • Review your 401(k), 403(b), or 457 plan contributions.

   • If possible, contribute up to the 2025 limits before December 31 to take advantage of tax-deferred growth.

   • Consider a Roth IRA or Backdoor Roth strategy depending on income eligibility.

2. Evaluate Employer Benefits

   • Use any remaining FSA (Flexible Spending Account) funds—remember, most are “use it or lose it.”

   • Check your HSA (Health Savings Account) contributions and ensure you’re maximizing tax benefits.

   • Review open enrollment options for next year, including insurance, disability, and dependent care benefits.

3. Review Tax Withholding and Estimated Payments

   • Compare your year-to-date tax payments with projected liabilities.

   • Adjust withholding to avoid underpayment penalties—or to prevent an unnecessary overpayment.

4. Revisit Investment Allocations

   • Assess whether your portfolio aligns with your risk tolerance, time horizon, and goals.

   • Rebalance to maintain your target asset mix, especially after a volatile year.

   • Harvest losses strategically to offset capital gains where appropriate.

5. Plan Charitable Giving

   • Consider donor-advised funds (DAFs) or qualified charitable distributions (QCDs) if you’re age 70½ or older.

   • Review appreciated securities that could provide both a tax deduction and capital gains benefit.

6. Address Debt and Cash Flow

   • Evaluate progress toward debt-reduction goals.

   • Reassess emergency savings (ideally three to six months of expenses).

   • Identify opportunities to redirect cash flow toward long-term savings or investments.

7. Check Beneficiaries and Estate Documents

   • Ensure retirement accounts, insurance policies, and estate documents reflect your current wishes.

For Retirees: Preserving Wealth and Enhancing Income Efficiency

1. Review Required Minimum Distributions (RMDs)

   • Confirm that all RMDs have been satisfied to avoid penalties.

   • Consider charitable giving directly from IRAs via QCDs to meet RMD obligations tax-efficiently.

2. Optimize Withdrawal Strategy

   • Evaluate which accounts to draw from first—taxable, tax-deferred, or Roth—to manage long-term tax exposure.

   • Assess whether a Roth conversion before year-end could make sense in a lower-income year.

3. Reassess Portfolio Sustainability

   • Compare your withdrawal rate to your current portfolio balance and market performance.

   • Review your investment mix to ensure sufficient liquidity and stability for near-term income needs.

4. Evaluate Healthcare and Medicare Coverage

   • Review Medicare open enrollment choices and supplemental coverage options.

   • Estimate healthcare costs for the upcoming year and ensure your HSA (if applicable) is appropriately funded.

5. Tax Planning and Charitable Impact

   • Explore charitable gifting strategies, including donor-advised funds and bunching deductions to maximize tax benefits.

   • Coordinate with your CPA and Advisor to project taxable income and optimize deductions before December 31.

6. Estate and Legacy Planning

   • Review wills, trusts, and powers of attorney.

   • Update beneficiaries and confirm titling on investment and bank accounts.

   • Revisit your legacy and gifting plans to ensure alignment with your broader family goals.

7. Review Insurance and Long-Term Care Needs

   • Confirm that existing coverage remains suitable as needs evolve.

   • Assess whether long-term care plans, life insurance, or annuities still serve their intended purpose.

Moving Forward with Confidence

Year-end planning is more than a checklist—it’s an opportunity to align today’s financial decisions with tomorrow’s goals. Whether you’re building wealth or focusing on preservation, these reviews can uncover opportunities for optimization and peace of mind.

If you’d like professional guidance reviewing your year-end strategy or tax opportunities, schedule a consultation with Rigden Capital Strategies

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About Rigden Capital Strategies

Rigden Capital Strategies was founded on a simple belief: financial advice should be personal, transparent, and centered around your goals—not built on generic models or product-driven sales. With decades of combined industry experience, we’ve developed a process grounded in three core values: value, integrity, and progress.

As a fee-only fiduciary, we provide personalized, goals-based wealth planning services designed to adapt with your life. Our services include investment management, retirement and tax planning, and estate coordination. We use a mix of active and passive strategies to help clients navigate market changes with clarity and confidence.

We believe in building real relationships and delivering clear, actionable strategies—focused on long-term planning and aligned with your objectives.

Your goals, our strategies. Together, let’s make your goals happen.

Disclaimer: This material is for informational purposes only and should not be construed as personalized financial, tax, or investment advice. Clients should consult their tax or legal professionals before making any year-end decisions.