2020 year end reminders

2020 Year-End Reminders


With 2020 coming to a close, it is important to ensure year-end planning items are completed before December 31. Whether they be for tax-planning, retirement or other financial planning purpose, the following are a few reminders of what you may need to review before ringing in the New Year.

Tax-Loss Harvesting

Tax-loss harvesting is the practice of selling securities in your taxable investment accounts at a loss and buying back the same security or a similar security after 30 days in order to avoid the wash sale rule and take advantage of the loss to limit your total realized capital gains for the year. If you are worried about the amount of realized long-term or short-term gains in your taxable accounts, please speak with a member of our team to discuss options for reducing your realized gains before December 31.

Retirement Plan Contributions and Roth Conversions

If you plan to maximize your contributions to your retirement plan, it is a good time to check your year-to-date contributions to ensure you are on track before December 31. If you need to make changes to your contribution amount, now is the time to update the contribution amount. Keep in mind, the maximum contribution for most employer-sponsored retirement plans (401k, 403b, 457, etc.) is $19,500 for those under age 50. For those who are age 50+, you can contribute an additional catch-up contribution of $6,500 for a total tax-deductible contribution of $26,000. If you plan on contributing to your traditional IRA or Roth IRA, you have until the tax filing deadline to make those contributions.

The deadline to complete Roth conversions is also December 31. So, if you plan on converting some of your traditional IRA assets to your Roth IRA for tax planning purposes, please give us a call today to ensure you have time to complete the necessary paperwork for your Roth conversion.

Charitable Contributions

If you plan to include charitable donations for your 2020 tax return it is  important to make those gifts before year-end. Options for charitable gifting include QCDs, gifting highly appreciated securities, contributions to donor-advised funds and gifting cash. For more information on these gifting options, please read our blog.

For 2020, the CARES Act created a $300 above-the-line deduction for contributions to certain qualifying charities. This can help reduce AGI for taxpayers claiming the standard deduction.

Financial Plan Updates

Now is a good time to schedule a meeting with your financial planner not only to ensure all action items have been completed pertaining to your specific plan. It is also a good time to review your current plan and discuss planning items for next year to have action items in place for retirement plan contributions, tax planning and any other areas relevant to your specific financial plan.

Required Minimum Distributions

With this year’s CARES Act, Required Minimum Distributions are waived for 2020.


According to a recent survey, it was found that only 8% of adults were able to identify the factors that determine maximum social security benefits.

July 14, 12:30pm EST

Live webinar on
3 ways to BOOST your social security benefits

Grab Your Spot

Leave a comment

Ths form uses grid for its layout. Adjust and reorganize the divs inside the Form Grid to fit 1 or 2 grid columns as needed.

Fields marked with an asterisk (*) are required.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

About Burney Wealth Management

Most Wealth managers give you the same pitch full of  impersonal metrics, making you feel like just a number in a  confusing system. At Burney, we personalize wealth management to your unique  story and rely on almost 50 years of leadership, innovation, and  fiduciary responsibility. So get treated like a human, get a clear plan, and know your  wealth is in caring and competent hands. 

Talk to us

Read More