With all of the tax laws and legislative changes, how do you successfully navigate the complex, always changing and confusing tax system? More importantly, how do you best take advantage of these changing laws in order to improve your financial stewardship and accomplish your goals?
Benjamin Franklin once said that “nothing is certain but death and taxes.” Despite yearly tax bills, most individuals think about taxes only when they are filing their return. “After-the-fact” tax planning is often too late to take advantage of certain tax deductions, credits, and other tax planning strategies. Unlike tax preparation, tax planning is a year-round process.
Tax planning should be an important part of your financial plan. But simply lowering or avoiding taxes should never drive or be the centerpiece of your financial plan. Instead, consider tax reduction efforts in light of your overall goals for investing, debt reduction, estate distribution, and charitable giving.