Get Ahead of The Curve: Year-End Financial Planning

Trust us, it’s never too early to start year-end financial planning. 

Year-end is about so much more than just your financial statements. The right year-end planning allows individuals to make the most out of their financial plans and tax strategies while also monitoring their current progress.

Centura Wealth Advisory believes that there are ways to liberate your wealth—that process can be made possible through financial planning. 

What are some advantages of getting ahead of the curve? You may be able to:

• Lower your taxes with retirement contributions and charitable gifting
• Offset taxes on investment gains by selling some assets
• Adjust your budget to meet your financial goals as they change

Whether you’re focused on building wealth, fine-tuning your portfolio or preparing for retirement, there are things you should consider before December 31st.

Below are a couple of steps to follow for your annual financial planning. Let’s take the opportunity to get ahead of the curve and reach your financial goals.

First, What is Year-End Financial Planning?

In its simplest terms, year-end financial planning is a way to determine where you are financially as the year comes to a close.

A successful financial plan can help you:

• Assess your budget
• Cash flow
• And other assets

A financial plan can reduce negative spending habits, help manage taxes, savings, debt and more as well as push individuals towards their financial goals.

Now, let’s take a look at some steps to take in your year-end planning.

Review Your Mortgage

It’s unlikely that you want to deal with a mortgage, but there are many benefits to conducting an annual mortgage review. Why? The factors which drove you to that loan choice – such as finances – have likely changed since after the settlement. By taking the time at the end of the year to review your mortgage, you can be sure the loan you have is still the best choice for your financial situation.

For instance, maybe you’re working from home long-term and want to move to a new area, maybe you’re just ready for a change of pace. Either way, evaluating your current mortgage and adjusting can help future plans be set in motion. 

Tax Loss

Year-end financial planning should also include a look at your taxes. While Tax Day may not be until April 15th, getting ahead on tax preparation can be beneficial. 

Centura Wealth Advisory specializes in tax planning for different categories including:

• Short Range Tax Planning
• Long Range Tax Planning
• Permissive Tax Planning
• Purpose-Driven Tax Planning

Some professionals believe in a tax-loss method as a way to invest in returns, but each family and institution is different.

Our investment philosophy is centered around achieving the best absolute returns given a range of likely outcomes. We achieve this through passive investment management, and by offering a unique set of alternative investments that can bring an excess return to your portfolio.

General Planning

Consider what’s coming in the next few months and beyond. The holidays can become spendy and might require further budgeting. This is another reason why financial planning can never be started too early. It can be tempting to wait until after the holidays, but if you start now then there is greater room for financial liberation.

Let’s Talk Insurance: Time to Review Your Coverage

Insurance policies have a tendency to shift depending on changes in the environment. Centura Wealth Advisory acknowledges that a key element of financial liberation is to monitor and pivot your original plans. 

Insurance policies can be broken up into categories depending on your lifestyle. General liability insurance or personal liability insurance are a couple of examples that are worth reviewing. 

General liability insurance covers your business when costly claims arise during normal business operations. It can help cover your business in the case that your business caused:

• Third-party bodily harm
• Third-party property damage
• Reputational harm
• Advertising injury

General liability insurance, however, does not cover your business for work-related injuries or illnesses sustained by employees. It also does not cover damage to your own business property or mistakes made in your business’s professional services.

Meet with a Tax Advisor

Meeting with a tax advisor can save you time, money and the stress of worrying that you might have made a mistake.

At Centura Wealth Advisory, we are dedicated as fiduciaries to our clients’ stewardship of their assets. 

One of our goals is to help our clients navigate and understand challenging economic changes, such as the current rising interest rate environment and inflation.

Review our article “How to Plan and Invest in a Rising Interest Rate Environment” for more information, then get in touch with us today.

Disclosures

Centura Wealth does not make any representations as to the accuracy, timeliness, suitability or completeness of any information prepared by any unaffiliated third party, whether linked to or incorporated herein.  All such information is provided solely for convenience purposes and all users thereof should be guided accordingly.

We are neither your attorneys nor your accountants and no portion of this material should be interpreted by you as legal, accounting, or tax advice.  We recommend that you seek the advice of a qualified attorney and accountant.

For additional information about Centura, please request our disclosure brochure as set forth on Form ADV using the contact information set forth herein, or refer to the Investment Adviser Public Disclosure website (www.adviserinfo.sec.gov). Please read the disclosure statement carefully before you engage our firm for advisory services.