Your Pot of Gold is Waiting for You in My Office! 

Greetings, dear friend! 

Unless your assets are set up correctly, inventoried regularly, and your legal documents are kept up to date, it could cost your family as much as it costs you to buy a new car to handle your affairs if you are in an accident or when you die …or your children could even end up in the arms of strangers…even if you have named guardians or have a will. 

Your family deserves the support of a trusted guide – a lucky leprechaun lawyer, like me – who will protect their treasure, like a leprechaun protecting his gold, when something happens to you. 

I’m here to sweeten the pot even further – I’m giving away $100 Amazon gift card to the first 5 lucky few who book a Life & Legacy Planning Session with me this March PLUS I’ll waive my regular $750 planning session fee. Please call 210-410-8013.

1 Make a Qualified Charitable Distribution (QCD)

Taking required minimum distributions that you don’t need, and want to spread love to a charity you’re passionate about? Consider making a Qualified Charitable Distribution from your account directly to charity. Not only does this fulfill your required minimum distributions, but it also exempts the amount you distribute from your taxable income. By giving back to causes close to your heart, you can make a meaningful impact while reducing your tax burden. That’s the kind of win/win we love.

2 | Front-load Your 401(k) Contributions

Show love to your future self by maximizing your 401(k) contributions early in the year as opposed to spreading them out evenly over 12 months. By reaching the 2024 limits of $23,000 sooner, your investments will have more time to grow, potentially enhancing your retirement nest egg even more. It’s a proactive step toward securing financial stability for yourself and your family down the road.

3 | Set Up an IRA for a Child

Want to inspire financial skills in your kids while getting a tax advantage? Teach the next generation the value of financial planning and responsibility by setting up and contributing to an IRA for a child with earned income. Whether it’s from babysitting jobs, odd jobs, or working for your business, every dollar invested grows tax-free, providing a solid foundation for their future financial well-being.

4 | Make Donations During Spring Cleaning

Ah, the annual ritual of spring cleaning. This year, let’s infuse this mundane task with a dose of love and generosity. As you sift through your belongings, consider the items that no longer serve you but could bring joy to others. From gently used household furnishings to clothing and books, each item holds the potential to make a difference in someone’s life.

Here’s the cherry on top: for items in good condition, you may claim a charitable deduction on your 2024 income tax return, making your act of kindness even sweeter. So, as you purge the old and welcome the new, keep receipts of your donations – it may add up to some real tax savings.

 | Give the Gift of Appreciated Stock Shares 

Strengthen familial bonds while supporting charitable causes by giving appreciated securities and stock shares directly to your sibling’s favorite charity. By donating your appreciated stock instead of selling it, you can avoid recognizing the gain as your income, maximizing the impact of your charitable giving while minimizing your tax liability. Sweet deal, right?

6 Establish a 529 College Plan

Invest in the educational future of your loved ones by setting up a 529 plan. While the contributions you make to a 529 account aren’t tax deductible, contributions to these plans grow tax-free and can be withdrawn tax-free when used by your loved one for qualified education expenses like housing, books, tuition, and more. Whether it’s for your child, grandchild, niece, nephew, or another family member, a 529 plan is a gift that keeps on giving.

7 | Make a Roth Conversion

Show love to your retirement savings by considering a Roth conversion on a traditional IRA. If your traditional IRA has declined in value, now is the ideal time to convert it to a tax-saving Roth. Doing so can reduce your income tax liability later on and let you potentially enjoy tax-free withdrawals in retirement. It’s a strategic move that can optimize your retirement income while minimizing tax obligations.

Let Us Help You Show Your Finances Some Love

February offers a perfect opportunity to demonstrate love not only through romantic gestures but also through practical Life & Legacy Planning®.  By incorporating these tax planning tips into your overall planning strategy, you can secure a brighter future for yourself and your loved ones while making a positive impact on your community.

Not sure where to start?  We’re here to guide you through every step of your planning journey, from taking inventory of what you have and what’s important to you, to the practical steps of how to plan for the life and legacy you dream of.

Schedule a complimentary 15-minute call with our office today to learn more 210.410.8013

This article is a service of Trisha Morales Padia, a Trusted Family Lawyer Firm. We don’t just draft documents; we ensure you make informed and empowered decisions about life and death, for yourself and the people you love. That’s why we offer a Legacy Planning Session during which you will get more financially organized than youve ever been before and make all the best choices for the people you love. You can begin by calling our office today to schedule a Legacy Planning Session.

The content is sourced from Trusted Family Lawyer for use by Trusted Family Lawyer firms, a source believed to be providing accurate information. This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal, or investment advice. If you are seeking legal advice specific to your needs, such advice services must be obtained on your own separate from this educational material.