Adjusted Gross Income (AGI) impacts the tax $$$ you owe. Better planning today could minimize what you pay in taxes tomorrow.
AGI is the sum of income from all sources minus any adjustments or deductions to that income. Generally speaking, the higher your AGI, the higher your tax rate, and the more you will pay in taxes. Smart tax planning includes taking advantage of opportunities throughout the year that can lower your AGI. Here’s what you can do now:
• Contribute to a Health Savings Account
• Claim educator expenses if you are a qualifying educator
• Pay student loan interest
• Save for retirement
• Claim educator expenses if you are a qualifying educator
• Pay student loan interest
• Save for retirement
• Invest in a traditional IRA
• Contribute to a retirement plan at work like a 401(k) plan
• Consider a Self-employed SEP, or SIMPLE, these are also retirement options that can lower AGI.
• Contribute to a retirement plan at work like a 401(k) plan
• Consider a Self-employed SEP, or SIMPLE, these are also retirement options that can lower AGI.
CONTACT US: A taxpayer’s AGI is an important factor influencing taxes owed, but only one factor determining the final tax bill. Our tax specialists can provide you with a helpful checklist of action items for consideration. With proper tax planning, you may be able to mitigate the tax impact of certain events and avoid unpleasant surprises before it is too late, even obtain more cash flow. Call toll free to set up a consultation with one of our tax and financial professionals: 855-534-2727.
