You may have some significant opportunities to reduce your tax bill and improve your financial situation before then and now is the time to do so.
But don’t procrastinate. If you wait too long to start your review, you might not have enough time to implement strategies that can improve your bottom line.
The best way to ensure that you’re ready for the new year is to review the year that’s ending and make improvements. How many of your 2016 business goals have been accomplished? Will you meet your revenue and profit projections? Is your budget on track? Review what worked and what didn’t and adjust your 2017 business plan accordingly.
Have your tax advisor evaluate whether you’ve paid enough estimated taxes for 2016 and suggest strategies for lowering your tax liability. For example, you might decide to boost expenses for 2016 by stocking up on office supplies or other items you frequently use or scheduling routine maintenance on your vehicles or equipment before December 31.
It takes time to prepare a comprehensive budget, so start the process soon. Anticipate major equipment purchases and real estate investments. And inventory your technology and software so you have a realistic estimate of your needs and costs for 2017. Identify new risks and meet with your financial professional for a full risk assessment to ensure that your business is well protected.
Make It Personal
Conduct a year-end review of your personal finances, too. Be sure to check the progress you’ve made toward your financial goals with your financial professional. Accumulating enough funds for retirement is probably the biggest one. Can you contribute more to a retirement account before year-end?
Finally, is your family protected should the unthinkable happen? Review your insurance policies with your financial professional to make sure your personal risks are adequately covered.
Take charge of your financial future. Give our Grand Rapids CPA Firm a call today at 616-888-6270 to find out how we can assist you and your business. Or, request a free consultation online.