Wrapping Up the Year: Five Tax Tasks to Consider Before December 31
By Steve Contreras
With the holiday season in full swing and the year quickly coming to a close, this is a great moment to pause and make sure your tax planning is on track before January arrives. A few thoughtful steps now can help reduce stress later, avoid surprises, and set you up for a smoother filing season.
Below are five items many taxpayers choose to consider before December 31.
1. Review Your Tax Withholding and Estimated Payments
It can be useful to confirm whether enough tax has been paid throughout the year, especially if your income changed due to bonuses, investment activity, job transitions, or side work. A quick review now can help you determine whether adjusting your withholding or making a final estimated payment before January 15 might be appropriate.
How Keystone can help: We can walk you through a high-level withholding or estimated-tax check to help you understand how your current payments align with your expected 2025 return.
2. Consider Increasing Retirement Account Contributions
Many individuals review their retirement contributions at year-end to see whether adding more before December 31 aligns with their savings goals or may improve their tax situation. Workplace plans and IRAs each have different timing and contribution rules, so it can be helpful to understand what options are available and what fits your situation.
How Keystone can help: We can help you review contribution limits and discuss how year-end additions may fit into your broader financial picture.
3. Complete Charitable Gifts Before December 31
Year-end giving may offer tax benefits for those who itemize deductions, and many taxpayers use this season to support organizations they care about. Charitable gifts may take different forms depending on your circumstances. Some individuals also use Donor-Advised Funds when they want to complete a year-end gift but prefer additional time to choose specific charities.
How Keystone can help: We can help you understand how different types of charitable contributions may be treated on your tax return and whether itemizing could be beneficial.
4. Review Your Investments for Potential Loss Harvesting
Some taxpayers evaluate whether selling investments that declined in value could help offset gains recognized during the year. This strategy is frequently considered in December. Because investment decisions involve timing and may be affected by tax rules, it’s generally helpful to ensure you understand how the approach works before making trades.
How Keystone can help: We can help you evaluate whether loss harvesting may be relevant to your tax situation and coordinate with your financial advisor as needed.
5. Organize Key Documents for Filing Season
Preparing your documents now can make your filing experience much smoother. Many taxpayers begin gathering W-2s, 1099s, charitable receipts, brokerage statements, digital asset records, and documentation for deductible expenses. Life events—such as a move, home purchase, marriage or divorce, or the arrival of a child—can also affect your return.
How Keystone can help: We can help you identify which documents you’ll need and assist with organizing your information for the upcoming filing season.
How Keystone Supports Your Year-End Planning
Keystone is available to help you evaluate these year-end considerations, understand how general tax rules may apply to your situation, and prepare for filing season with greater clarity. We offer support, structure, and guidance so you can enter the new year feeling organized and confident. Because each taxpayer’s circumstances are unique, we encourage reaching out if you’d like help reviewing your 2025 tax picture or preparing for 2026.
If you’d like help reviewing your year-end tax considerations or getting organized for filing season, our team is here to assist.