As 2026 comes to a close, year‑end financial planning takes on added importance. Recent legislation, including the One Big Beautiful Bill Act (OBBBA), also known as the Working Families Tax Cuts, along with ongoing changes from SECURE 2.0, has created new opportunities and considerations for individuals and families. Combined with shifting interest rates and market uncertainty, now is an ideal time to review your financial strategy and prepare for the year ahead.
According to Michelle Slawny, director of wealth planning at Associated Bank, proactive planning can help individuals make informed decisions before key deadlines pass. “The more proactive you are, the more flexibility and confidence you’ll have moving into 2027,” she says. The earlier you evaluate your options, the more opportunity you may have to optimize tax strategies, retirement savings and long‑term wealth planning.
One of the most important areas to revisit is your tax strategy. OBBBA introduced several changes that may affect planning decisions, including an enhanced deduction for adults age 65 and older, expanded SALT deduction opportunities and updated charitable giving rules. The federal estate and gift tax exemption also increased to $15 million per individual in 2026, creating new opportunities for wealth transfer planning and family legacy discussions.
Slawny encourages individuals to take a close look at their income before year‑end. “I always encourage people to get an idea of what their income looks like year to date and if they anticipate being in a lower tax bracket before December 31,” she explains. Reviewing income, deductions and retirement account opportunities before the year closes may help uncover valuable planning opportunities.
For Wisconsin retirees, additional tax benefits may be available. Wisconsin residents age 67 and older may qualify for an additional deduction of up to $24,000 of qualifying retirement income per individual, or up to $48,000 for married couples filing jointly when both spouses qualify. This opportunity could help reduce state income taxes owed on retirement income and should be considered part of year‑end planning.
Year‑end is also the time to maximize contributions to tax‑advantaged accounts. For many investors, ensuring 401(k), IRA and HSA contributions are fully funded can provide both current tax benefits and long‑term growth potential. SECURE 2.0 also increased catch‑up contribution limits for individuals ages 60 to 63 and introduced new Roth catch‑up requirements for certain higher‑income employees, making retirement plan reviews especially important.
Beyond taxes, investors should use year‑end as an opportunity to review their portfolios. Market gains may have caused allocations to drift from their intended targets, increasing risk exposure. Rebalancing can help restore alignment with long‑term goals while creating opportunities to review diversification, concentrated positions and overall portfolio risk.
“If people have not been rebalancing, that might mean the stock portion of their account is a little overweighted,” Slawny says. A disciplined review can help ensure investment strategies remain aligned with both goals and risk tolerance.
Successful year‑end planning is about more than checking boxes. It is an opportunity to evaluate your complete financial picture and ensure every aspect of your strategy supports your goals. As Slawny notes, “Ultimately, it’s a combination of having that plan and having the road map to get you there.” With significant legislative changes impacting financial decisions in 2026, acting now can help position you for greater confidence, flexibility and financial well‑being in 2027.
About the Guest Author
Michelle Slawny Director of Private Wealth Planning, Associated Bank Private Wealth
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