As 2020 comes to an end (finally!), we encourage our individual and business clients to review their financial situations to identify tax planning opportunities. Here are a few tips to get you started.


  • Review your retirement contributions
    Have you maxed out your yearly contribution?
  • Charitable contributions
    The CARES Act now provides a $300 “above-the-line” contribution for cash donations regardless of your income and whether you take the standard deduction or itemize your deductions.
  • Consider a Roth IRA Conversion
    Is your income down significantly this year? Maybe consider a Roth Conversion.
  • Harvest capital losses
    Consider selling losing investments to offset capital gains you have incurred.

Business Owners

  • Evaluate the timing of your payroll tax deduction
    The CARES Act allowed employers to defer payment of employer Social Security taxes through the end of 2020. If you are a cash basis taxpayer, consider paying these amounts before the end of the year to take advantage of the tax deduction.
  • Defer income
    Consider delaying billing if you are a cash basis taxpayer.
  • Accelerate equipment purchases
    If you plan on investing in equipment in 2021, consider accelerating the purchase so you can take advantage of accelerated depreciation deductions in 2020.
  • Consider carryback losses
    Net Operating Losses (NOLs) incurred during 2020 can be carried back up to five years for refunds of prior year taxes.
  • Understand the PPP and how it may impact your tax situation