Many year-end tax and retirement planning articles and notices publish in mid-December. But by then, some of the actions you can take must be done quickly. Moves like a Roth conversion, a required minimum distribution (RMD), and a gift of appreciated stock could take weeks of lead time, not days.
This year-end financial checklist helps you sort out the relevant information by where you are — whether you’re still employed, retired but not yet taking RMDs, or past your RMD beginning date. It’s formatted so you can read one section and skip the rest if it doesn’t apply to you.
Think of your checklist as more of a filter than a to-do list. The goal is to find the two or three items that matter most for your situation this year.
Dec. 31 isn’t always the deadline
Every year-end financial checklist should make clear that cutoffs for financial organizations holding your assets (often referred to as custodians) typically land in mid-December.
- Transferring appreciated securities takes days and mutual fund transfers take longer.
- Donor-advised fund paperwork, new account openings, and wire approvals all need runway.
- A charitable check has to be mailed in time.
- A gift of real estate or a closely held interest needs an appraisal, which may be a weeks-long process.
Tip: If something on your list requires moving an asset, plan backward from the first week of December.
Where you are
If you’re still employed
Consider maxing your 401(k) contributions by your final payroll of the year, not by Dec. 31. Payroll is the actual constraint. The 2026 elective deferral limit is $24,500, plus an $8,000 extra savings amount if you’re 50 or older. If you’re ages 60 through 63, a larger amount of $11,250 applies.
If you’re enrolled in a high-deductible health plan, a health savings account (HSA) is often the gold standard of retirement planning because it offers a triple tax benefit: deductible contributions, tax-free growth, and tax-free withdrawals for qualified medical expenses.
The 2026 HSA contribution limit is $4,400 for self-only coverage or $8,750 for family coverage, plus an extra $1,000 if you’re 55 or older. The strategy is to maximize contributions, invest the balance for long-term growth, pay current medical expenses from other assets when you can, and save your receipts for tax-free reimbursement in future years.
If you’re retired and considering Roth conversions
This is the shortest window on the list and the one that may have the most upside. A Roth conversion by Dec. 31 can fill a lower tax bracket amount and help reduce future required minimum distributions. The converted amount counts as ordinary income in the year of conversion, so the timing decision matters if your income varies year to year.
If you’re age 73 or older, consider taking your full RMD before you convert anything because an RMD cannot be converted, and a conversion does not satisfy the RMD. The goal is to convert enough to fill your current tax bracket without pushing yourself into a higher one or triggering larger Medicare premiums the following year.
Roth conversions can also make sense through a legacy and wealth-transfer lens. A Roth IRA can be an attractive asset to leave to your heirs, and paying the tax now can reduce a potentially taxable estate. Current tax rates also remain relatively favorable from a historical perspective, which can make converting today appealing if you expect rates to rise later.
Capital gains deserve a look in a low-income year. In some cases, unwinding a concentrated stock position may be more tax-efficient when taxable income falls within the 0% long-term capital gains tax bracket. For 2026, that means income up to $49,450 for single filers or $98,900 for married couples filing jointly.
If you’re 73 or older
RMDs generally begin at age 73, rising to age 75 for those born in 1960 or later under phased-in rules. Taking the required minimum distribution by Dec. 31 is important. The penalty for a missed or insufficient distribution is 25% of the shortfall, which you can reduce to 10% if you correct the oversight promptly.
Regardless of where you are
Medicare open enrollment
Medicare open enrollment runs every year from Oct. 15 to Dec. 7. Drug plans change their formularies each year; therefore, last year’s plan may not be this year’s. A few minutes on medicare.gov can help you confirm whether your coverage still fits. If you take several prescriptions, even a small formulary change can affect your out-of-pocket costs, so this review is worth the time.
Tax-loss harvesting
Review your portfolio for positions trading below what you paid. Selling can lock in a loss that you can use to offset realized gains and up to $3,000 of ordinary income, with any excess carried forward. Keep in mind the 30-day wash-sale rule on both sides of the trade — buying a substantially identical security within 30 days before or after the sale disqualifies the loss. If you want to stay invested, consider replacing the sold position with a similar but not identical fund so you can keep market exposure without violating the rule.
Gifts to family
The 2026 annual gift exclusion is $19,000 per recipient. A married couple can give up to $38,000 per recipient by splitting gifts. The exclusion is for each calendar-year and doesn’t carry forward. For instance, a check dated Dec. 31 counts for 2026 and a check dated Jan. 2 counts for 2027. These gifts remove assets from your taxable estate without using any lifetime exemption.
Charitable giving
If you’re charitably inclined, donating appreciated securities instead of cash can be one of the most valuable year-end planning moves. You can deduct the full fair market value of the securities and avoid paying capital gains tax on the appreciation — a double benefit that cash gifts don’t offer. But remember that transfers take time, so plan backward from early December.
529 plan contributions
Many states offer a deduction for 529 plan contributions, and the deadline is Dec. 31 — not the April filing deadline. Unlike IRA contributions, 529 contributions must post to the account by year-end to qualify for that year’s state tax benefit. Because of potential processing delays during the holidays, aim to fund the account by mid-December.
Flexible spending account balances
If you have a health flexible spending account (FSA), check whether your plan allows a carryover or a grace period. The 2026 carryover limit is $680. Without either feature, you forfeit unused balances at year-end. Spending remaining funds on eligible medical expenses before the deadline helps keep that money in your pocket.
What is not a Dec. 31 deadline
IRA, Roth IRA, and HSA contributions can be made until the April filing deadline. If you’re self-employed, some retirement plan funding extends even further.
The items that have no deadline don’t need to be crammed into December:
- Beneficiary designations
- Estate documents
- Insurance reviews
- Credit freezes
401(k) fund consolidations
The right moves
The value in this list isn’t checking boxes — it’s knowing which two or three items are worth your attention this year given your income, your accounts, and what may have changed.
That’s where coordination across tax planning, investment management, estate planning, and insurance solutions helps make the difference. Creating a comprehensive financial plan with a Mercer Advisors wealth advisor can help you identify the right moves for your situation and sequence them before the year closes.
The right conversation can turn a long list into a short one — and that’s the real point of a year-end financial checklist.
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A Roth conversion must settle by Dec. 31 to count in the current tax year. The converted amount is added to your ordinary income, so the timing decision matters if your income varies. If you’re 73 or older, take your full required minimum distribution (RMD) before you make the conversion, because an RMD can’t be converted and a conversion does not satisfy it.
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Medicare open enrollment runs from Oct. 15 to Dec. 7 each year. Changes you make during this window take effect Jan. 1 of the following year. Drug plans change their formularies annually, so last year’s plan may not be this year’s best fit.
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A Roth conversion before Dec. 31 can fill a lower tax bracket and reduce future required minimum distributions (RMDs). The converted amount counts as ordinary income, so it makes sense in a year when your taxable income is lower than usual. A Mercer Advisors wealth advisor can help you size the conversion to fill your desired bracket without triggering higher Medicare premiums.
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Yes. You can make IRA and Roth IRA contributions for the current tax year until the April filing deadline. HSA contributions share the same extended deadline. Only employer-sponsored plan deferrals must be completed through payroll by Dec. 31.
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A Mercer Advisors wealth advisor can review your full financial picture and help you identify which two or three items deserve your attention this year. We offer a complimentary consultation so you can assess fit before committing.
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Visit medicare.gov between Oct. 15 and Dec. 7 to compare plans available in your area. You can switch Medicare Advantage plans, change Part D drug coverage, or return to Original Medicare. The plan must receive your enrollment request by Dec. 7.
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A Roth conversion moves money from a traditional IRA or pretax 401(k) into a Roth IRA, and you pay income tax on the converted amount. A required minimum distribution (RMD) is a mandatory withdrawal from a traditional IRA or employer plan that counts as taxable income. A conversion is voluntary; an RMD is not, and you must take the distribution before converting.
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Tax-loss harvesting sells investments trading below their cost to lock in a loss that offsets gains and up to $3,000 of ordinary income. Tax-gain harvesting sells appreciated positions to lock in gains at favorable rates on assets held more than a year. Both must be completed by Dec. 31, and both require watching the 30-day wash-sale rule.
All expressions of opinion reflect the judgment of the author as of the date of publication and are subject to change. Some of the research and ratings shown in this presentation come from third parties that are not affiliated with Mercer Advisors. The information is believed to be accurate but is not guaranteed or warranted by Mercer Advisors. Content, research, tools and stock or option symbols are for educational and illustrative purposes only and do not imply a recommendation or solicitation to buy or sell a particular security or to engage in any particular investment strategy. All investing involves risk, including the possible loss of principal.
For financial planning advice specific to your circumstances, talk to a qualified professional at Mercer Advisors.
