Identity Protection PIN (IP PIN) – Taxpayers can voluntarily opt into the IP Pin program as a proactive way to protect yourself from tax related identity theft. In order to opt in you must pass a thorough identity verification process. You can apply for the IP Pin online at www.irs.gov. IP Pins are valid for the calendar year they are issued. You must obtain a new one each year by logging into your IRS account. Once you have been given an IP Pin, you cannot efile your tax return without it. If your identity has been compromised, we highly recommend applying for an IP PIN.
Health Savings Accounts (HSA) - an HSA is only available to you if you have High Deductible Health Insurance Plan (HDHP). An HSA allows you to deposit funds up to $4,400 for a single plan or $8,750 for a family plan in 2026. There are many benefits to HSA’s.
· The contributions aren’t subject to federal income tax.
· Contributions can be made up until April 15th following the tax year end.
· Unspent money rolls over at year end and is available for future health expenses.
· Can be used to cover out of pocket medical expenses.
Qualified Charitable Distributions (QCD) – Qualified charitable distributions can be used as an above-the-line charitable deduction, if done properly. This deduction is available even if you don’t itemize. A taxpayer can distribute up to $111,000 from their IRA if they are over age 70 ½. The distributions must be made directly to a 501(C)3 charity. It is not limited to your Required Minimum Distribution (RMD) for the year. However, you cannot double count the deduction and take the same dollars as an itemized deduction. This provision is particularly beneficial to taxpayers who are charitably inclined but do not itemize their deductions.
$1,000/$2,000 Charitable Deduction, starting 2026 – Starting in the 2026 tax year, the "One Big Beautiful Bill" (OBBBA) introduces a deduction for non-itemizers, allowing potential deductions up to $1,000 for single taxpayers or $2,000 for married filing joint returns for cash contributions to qualified public charities. Maintain receipts/records of all charitable donations to take advantage of this deduction. Non-cash donations are not eligible for this deduction.
401(k) - A great tax savings vehicle is the 401(k) plan. If your employer offers a 401(k) plan, consider making contributions. In 2026 you can contribute up to $24,500 or $32,500 if you are over 50 to your 401(k). By contributing you are shielding your contributions from income tax in the current year. Some employers will match contributions up to a certain percent. If they do, you would be saving on taxes and boosting your retirement by the employer contribution as well. The fund grows tax free until you withdraw the funds, at which time your withdrawal is taxed at your current tax rate.
Student Loans Paid by Employer – Employers can make tax- free student loan payments up to $5,250 per employee in 2026 (adjusted annually for cost of living). Both Federal and private loans are eligible, including Parent Plus loans. Employers and employees save on federal payroll taxes. Employees save on federal income taxes. This is a great way to get those student loans paid down.