10 Smart Year-End Financial Moves for Retirees

 As the year comes to a close, retirees have an important opportunity to strengthen their financial plan, reduce taxes, and prepare for a more confident year ahead. Year-end planning doesn’t need to be stressful—small, smart steps can make a meaningful difference in your income, taxes, and long-term retirement security.  Here are 10 practical year-end moves every retiree should consider.

 1. Confirm Your RMDs (Required Minimum Distributions) If you're age 73 or older (or turning 73 this year), the IRS requires you to take RMDs from your traditional IRAs and retirement accounts. Missing an RMD can result in steep penalties. Now is the time to confirm the correct amount and verify all accounts are included.  

2. Consider Using a Qualified Charitable Distribution (QCD) If you give to charity, a QCD lets you donate directly from your IRA—reducing your taxable income dollar for dollar. QCDs count toward your RMD and help lower taxes, IRMAA surcharges, and Social Security taxation.  

3. Review Whether a Roth Conversion Still Makes Sense The window between retirement and age 73 can be ideal for Roth conversions. Lower-income years = lower tax brackets = opportunity to reduce future RMDs and create tax-free income later.  

4. Check Tax Withholding and Estimated Payments Unexpected tax bills are common for retirees drawing from multiple income sources. A year-end tax review helps ensure your withholding is aligned with your expected liability.  

5. Evaluate Your Withdrawal Strategy for Next Year A structured withdrawal plan can extend the life of your portfolio. Questions to review: Which accounts should you tap first? Should you rebalance withdrawals? Can you keep taxable income below IRMAA thresholds?  

6. Review Medicare and Prescription Drug Coverage Medicare open enrollment runs through December 7. Plans change annually—prescriptions, networks, and premiums can shift. Review now to avoid unnecessary costs.  

7. Rebalance Your Investment Portfolio Market swings throughout the year may have shifted your allocations. A disciplined rebalance helps maintain appropriate risk levels and prepare for the year ahead.  

8. Update Beneficiaries and Check Account Titling Life events happen. Make sure your estate plan, wills, trusts, and beneficiary designations match your current wishes.  

9. Review Your Charitable Giving Strategy Beyond QCDs, retirees often benefit from donor-advised funds, gifting appreciated securities, and multi-year giving strategies. These can all help reduce capital gains and taxable income.  

10. Revisit Your Financial Plan Year-end is the perfect moment to ensure your plan still reflects your goals, lifestyle, and spending needs. A structured annual review helps maintain confidence and clarity.  

Final Thoughts: Thoughtful year-end planning can reduce taxes, strengthen your retirement income strategy, and create peace of mind as you enter a new year. If you’d like help reviewing your plan or navigating any of the steps above, I’m here to help.