TAX TIME IS A GREAT TIME not only to review your 2018 taxes but also to dig in to what 2019 has in store for you. You can’t impact your 2018 taxes at this point, but you can make a difference in your 2019 taxes. If you haven’t already discussed 2019 with your tax professionals, you should connect with them while it is fresh in your mind. Tax planning should occur throughout the year, but starting earlier in the year allows you enough lead time to make the changes for the greatest impact on your taxes.

One area becoming a bit more common is a cash balance retirement plan which allows companies to put away more money than permitted in a 401k plan. It carries an associated cost, but it may work for you and your employees, especially if you see your business doing well and you are willing to make a larger commitment to your retirement plan and to your employees.

Another area that merits discussion is your potential 199a deduction. Speak to your tax professional and review your budgets to make sure you get the maximum deduction. If not, plan for it appropriately to avoid leaving some deductions on the table.

If you are in the market for some equipment, talk to your tax professional to determine the amount of depreciation you will be able to deduct if you purchase a long-lived asset. As the government looks for companies and individuals to purchase big-ticket items to spur the economy, the depreciation rules become more business-friendly, resulting in a significant impact on that taxable income line everyone attempts to lower. You may find it behooves you to purchase items in 2019 instead of 2020 because the deductions will be at a higher level, as you may pay taxes at a higher rate in 2019 than in 2020.

On an individual tax level, look at your itemized deductions and those items that impact them to see if you want to bunch some of them in one year. You may get more bang for your buck. For example, you may save tax dollars by making all your charitable contributions in one year instead of over two years. By doing this, you may utilize the standard deduction in one year while itemizing your deductions in the other; even though you’re spending the same amount of money over two years, you may gain some extra tax deductions by timing your expenditures.

It is never too early to review your tax situation, and do so frequently. By devoting a little time on it well before the year’s end, you can make a dent in your taxes. It will be time wellspent.

The content of this article is for informational purposes only. It is not intended to be a substitute for professional financial advice. Always seek the expertise of a certified financial advisor or other qualified provider with any questions you may have regarding personal finance, investment and money-related issues.