Year-End Checklist

As 2023 comes to an end, it is time to ensure that you have taken care of a couple of things.  I’m going to share with you a checklist that will help you stay organized, informed and up to date.

401(k)/IRA/Roth IRA Contributions – The 2023 contribution limit for 401(k) plans is $22,500 with an additional catch-up contribution limit of $7,500 if you are 50 and older.  For IRAs (Traditional and Roth), the 2023 contribution limit is $6,500 ($7,500 if you are 50 and older).  Be sure to consult with your CPA if you have questions about contributions and how they relate to your tax situation.

Required Minimum Distribution (RMD) – If you have an IRA or Beneficiary IRA and you are in RMD stage, you must take the required amount each year.  This RMD can be sent to your bank account on file, come as a check to you, or it can be re-invested.

Qualified Charitable Distribution (QCD) – If you are over age 70 1/2, you can donate money from your traditional IRA to a charity (or charities) of your choice.  This donation can be in place of your RMD and is not counted as taxable income.

Gifting – You are allowed to gift individuals up to $17,000 as a for the year 2023.  This is a common tool used to minimize estate taxes by reducing the size of the estate.

Select employer benefits for next year – review your benefits package with your employer and be sure that any adjustments that need to be made for next year are taken care of.

Plan for large expenses in the upcoming year – Major purchases, vacations, and life events such as the arrival of a newborn are examples of things to plan for appropriately.

Review your beneficiaries – Sometimes things change.  Life events occur and we forget to change beneficiaries on insurance policies, investment accounts and bank accounts.  An annual review of these is important.

Review your insurance policies – Be sure you have enough coverage and adjust deductibles if needed. 

The end of the year can be quite busy with holidays, family time and travel.  If you have questions or if you aren’t sure where to start, please reach out to us!  We are happy to help you check these boxes.

Securities offered through LPL Financial. Member FINRA/SIPC. Marzano Capital Group is an other business name of Independent Advisor Alliance, LLC. All investment advice is offered through Independent Advisor Alliance LLC, a registered investment advisor. Independent Advisor Alliance is a separate entity from LPL Financial.

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