Finish 2025 Strong: 3 smart tax moves before December 31

You know that feeling when you’re cruising toward the end of the year and realize your books look more like a “choose your own adventure” than a balance sheet? You’re not alone. December sneaks up on every business owner — and the IRS doesn’t give bonus points for good intentions.

The good news: a few smart moves now can make a serious impact on your tax bill and your peace of mind come April. Here are three high-impact actions worth checking off before the ball drops.

Take control of your income and expenses

Timing matters. If you’re expecting a profitable year, it may make sense to delay some income (like invoicing that last big job in January) or accelerate deductible expenses into December. Equipment purchases, supplies, or year-end bonuses can all help lower taxable income — if they’re paid before 12/31.

Quick rule: money has to leave your account this year to count this year. No “I’ll pay that next week” IOUs allowed.

Review your payroll and owner compensation

If you’re structured as an S-Corp, December is your last chance to check your reasonable compensation and make adjustments. Paying yourself too little can trigger IRS scrutiny, but paying yourself too much can drive up payroll taxes.

Take a quick look at your numbers: Does your salary still make sense given this year’s profits? A 15-minute review with your accountant now can save headaches — and letters — later.

Max out your retirement contributions

Yes, we know, this one sounds like every “smart money” blog post ever written. But here’s why it matters: retirement contributions are one of the few double-win deductions left. They reduce taxable income and help future-you stop worrying about what Congress does next.

Depending on your setup, you could contribute to a SEP IRA, Solo 401(k), or traditional plan — often up to tens of thousands in deductible savings.

Bonus tip: Book your year-end review now

If you wait until January, you KNOW my team and I will be buried in 1099s, W-2s, and caffeine. December is your last best window to make changes that still count for 2025.

Set up a quick year-end session with us, and we’ll walk through everything — income timing, compensation, deductions, and cash-flow planning — so you can hit January clean and confident.

Yes, it’s the holiday season, but I’ve got a few appointment slots open to serve my business clients these next couple weeks. Ring us up and get a review scheduled.

Finishing the year strong isn’t about working harder. It’s about working smarter — and a little earlier. So take 30 minutes this week to make those final moves. Come April, you’ll be toasting your foresight instead of filing extensions.

All the Best,

Flores Continental Financial Services
Global Solutions for your Financial Dreams

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Every financial decision you make throughout the year can impact your tax situation. At FCFS, we do more than just prepare your tax return — we help you plan ahead strategically. With proper guidance, you can avoid costly tax consequences and take advantage of key opportunities. Reach out to us before making major financial moves and let FCFS help you stay ahead with smart tax planning.

Pension or IRA distributions.
Significant change in income or deductions.
Job change.
Marriage.
Attainment of age 59 or 73.
Sale or purchase of a business.
Sale or purchase of a residence or other real estate.
Retirement.
Notice from IRS or other revenue department.
Divorce or separation.
Self-employment.
Charitable contributions of property in excess of $5,000.

This brochure contains general information for taxpayers and should not be relied upon as the only source of authority. Taxpayers should seek professional tax advice for more information.