Year-End Financial Planning & Voluntourism Among Seniors

While people often view year-end planning from a tax perspective, there’s a lot more to it than tax considerations. It also offers a great opportunity to assess your overall financial health and identify strategies that can help you enter the new year on a firm financial footing. Be sure to work closely with your tax and financial professionals to implement the strategies that are right for your situation.

Investment strategies

• Recognize capital gains and losses through tax harvesting
• Avoid violating wash sale rules. A wash sale occurs when you sell a security at a loss and repurchase the same security—or a substantially identical one—within 30 days.
• Rebalance your portfolio, if needed, to maintain your target allocation

Retirement planning

• Fund retirement accounts: 2024 contributions to employer retirement accounts must be made by December 31^st (2024 individual retirement account (IRA) contributions can be made up to the April 15, 2025 tax filing deadline)
• Maximize health savings account (HSA) contributions if you’re enrolled in a high-deductible health plan (HDHP)
• Take required minimum distributions (RMDs) from qualified retirement accounts if you’re age 72 or over (73 if you reach age 72 after Dec. 31, 2022)
• Consider if a Roth conversion is right for you

Wealth transfer and legacy planning

• Fund charitable giving
• Make annual gifts
• Consider a qualified charitable distribution (QCD) from an IRA. This can also be used to satisfy all or part of your RMD, if applicable.
• Fund 529 plans

Tax strategies

• Review income tax withholding if you’re still working
• Reduce AMT liability, if applicable
• Accelerate deductions into 2024, as applicable, if you plan to itemize

Plan ahead for the new year

• Prepare your 2025 spending plan and budget and ensure adequate emergency savings
• Review and update your:
  • Goals
  • Beneficiary designations on retirement accounts, 529 plans, life insurance policies, etc.
  • Estate planning documents and strategies
• Schedule an annual review with your financial professional at least once every 12 months

To learn more about these and other strategies, contact the office now to schedule a time to talk.

Voluntourism Is Trending Among Seniors: How You Can Get On Board

Volunteering abroad continues to grow in popularity among travelers aged 50 and up. Not only does it allow for more immersive travel experiences, but it also provides travelers seeking to explore a new country or culture with an opportunity to make a positive and lasting impact.

Also known as “voluntourism,” global volunteering can be an ideal adventure for those with the time and resources to combine their love of travel with a desire to help others. Senior volunteers are often sought out for the life experience, wisdom, and skills they bring to helping local communities. While many bring skills like teaching, nursing, gardening, or carpentry – opportunities abound for anyone willing to lend a helping hand.

Most voluntourism opportunities are made available through not-for-profit and other organizations that handle all travel arrangements, including booking flights and accommodations as well as local transportation for volunteers. These organized projects offer seniors a convenient and often more cost-effective way to participate. In many cases, travel costs are subsidized through grants and private donations to the sponsoring organizations. And since you’re traveling and volunteering as part of a group, that can help alleviate concerns about traveling alone, especially to more remote locations.

If you’re interested in adding voluntourism to your bucket list, you can learn more about how it works and explore opportunities of interest to you at the websites listed below:

• VolunteerHQ.org
• DiscoverCorps.com
• ProjectsAbroad.org
• TheSparkleFoundation.org