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Year-End Financial Planning Checklist

Below are some considerations to keep in mind as year-end approaches.

Income Tax Considerations

  • Review income increase or decrease, income type, or income location.
  • Itemized Form 1040 returns may weigh accelerating deductions into this tax year (e.g., medical expenses).
  • If expecting a net operating loss from a business, review a potential Roth conversion.
  • Maximize retirement, dependent care accounts, and health savings accounts to reduce taxable income.
    • Due to rollover/carryover restrictions, spend the FSAs and dependent care accounts spend in the current calendar year.
  • Review tax withholdings on retirement account distributions and make desired changes for the new year.
  • Anticipate quarterly estimated tax payments.
  • For clients with foreign accounts, complete your Foreign Bank and Financial Accounts Report.


  • Review investment accounts with all providers to ensure allocation reflects intended risk tolerance and no inadvertent concentrations.
  • Ensure assets are located in most tax effective location (e.g., taxable bonds in tax-deferred accounts, equities in taxable accounts)
  • Estimate tax bracket for 2023 (and 2024 if retirement/business sale is upcoming) to determine tax loss harvesting for TY 2023 or delay to early 2024.
  • Consider a budget for capital gains for 2024. It may be effective to take gains early in the year and work them off throughout the year. If anticipating a sale of a business, consider an installment sale to spread out capital gains over several years.


  • Maximize retirement savings, including catchups, if you are 50 or older.
  • Remember to take RMDs as required to avoid a potential 25% penalty on the RMD that should have been taken but was not.
  • Review the SECURE 2.0 Act’s other provisions to see which might impact you. The SECURE 2.0 Act raised the age requirement for RMDs to age 73.
  • If you reach age 72 in 2023, the required beginning date for your first RMD is April 1, 2025, for 2024.
  • If you turned 72 in 2022 and are subject to the 72 RMD rule, you may be subject to two RMD distributions:
    • The first RMD was due by April 1, 2023, based on your December 31, 2021, account balance.
    • The second RMD is due by December 31, 2023, based on your December 31, 2022, account balance.
  • Review Medicare and Affordable Care Act (ACA) enrollment options and adjust as necessary during enrollment periods.
    • The enrollment period for ACA is November 1 to December 15 (January 1 start date)
    • The enrollment period for Medicare is October 15 to December 7 (January 1 start date)

Charitable Contributions and Gifting

If charitably inclined

  • Donate low-cost basis investments rather than cash gifts.
  • Redirect Required Minimum Distributions (RMDs) directly to charity through qualified charitable distributions rather than realizing the income. At 70 ½, you are allowed to make qualified charitable distributions to eligible charitable organizations.
  • Utilize donor-advised funds to time a charitable deduction this year while maintaining your ability to choose future charities.
  • Gather 2023’s charitable gifts for tax documentation (self-reported to IRS).

Family gifts

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Take advantage of your annual gift exclusions. The annual exclusion amount is $17,000 per individual ($34,000 per married couple).

  • Consider making gifts to your children or family members.
  • Consider gifts into a 529 plan.
    • If any withdrawals occur during the tax year, reload any tuition-related refunds to avoid penalties and taxes on nonqualified distributions.
    • Can frontload a five-year annual exclusion gift, if needed.
  • Establish Roth IRAs as gifts for younger family members who may have earnings from work.

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Take advantage of your federal exemption amount. The federal exemption amount is $12.92 million dollars for individuals and $25.84 million for couples. This exemption will be greatly reduced once the Tax Cut and Jobs Acts sunsets after December 31, 2025.

  • Review estate plan to check if there are any opportunities around any unused lifetime exemption.
  • Business Owners: If doing annual appraisals, consider using an independent appraiser to value the interest of assets to be gifted by year-end.

Estate Plan Review

  • If you inherited an IRA in 2023 or 2022, it may be subject to the 10-year rule for distributions. Ensure your tax situation is planned accordingly for optimal time to realize income tax in future years.
  • If there was a birth or death in your family, ensure IRA, TOD, and insurance beneficiary designations align.
  • If promissory notes exist with your family, consider forgiveness as an option for “gifting” with lower interest rates..
  • Plan time to review your estate plan to coordinate with your family situation and changing estate and tax laws.
    • Include an insurance coverage analysis to mitigate risk.
    • Include insurance review for potential income replacement.

For more information or advice on preparing your financial plan, reach out to a Calamos Wealth Management advisor.

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1Extended enrollment for ACA is from December 15 to January 15 and will push your coverage start date to February 15.
2Source: IRS

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Calamos Wealth Management LLC is neither a law firm nor a certified public accounting firm and no portion of the newsletter content should be construed as legal or accounting advice. Everyone’s tax and financial situation is unique. You should consult your tax and/or legal advisor for advice and information concerning your particular situation. Nothing in this material should be relied upon in isolation for the purpose of making an investment decision. If you are a Calamos Wealth Management LLC client, please remember to contact Calamos Wealth Management LLC, in writing, if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. A copy of our current written disclosure Brochure discussing our advisory services and fees continues to remain available upon request or at

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