Wealth management

Last-minute tips—and thinking ahead for 2026

Tax season can feel like a maze—every turn reveals another form to file or another deduction you might have missed. As April 15, tax deadline day, draws near, that familiar question starts nagging: Did you do everything possible to minimize your tax bill?

To help answer that question, we consulted with Sarah Price, a member of TIAA Wealth Management’s Wealth Planning Strategies team, to identify five last-minute tax tips that could help you get a refund—or at least avoid writing Uncle Sam an outsized check. (For additional tax information, consult TIAA Wealth Management’s 2025 Year-End Tax Planning Guide.)

Remember, the bulk of your 2025 tax bill is already locked in by this time of year, so this year’s tax return should remind you of the importance of in-year tax planning. For example, if you expect your modified adjusted gross income (MAGI) to be lower in 2026, it might be a good time for a Roth IRA conversion because conversion costs are tied to your tax bracket. Alternatively, if you’re expecting an income boost this year, making extra qualified charitable distributions (QCDs) can reduce your taxable income and maximize eligibility for new deductions available in the One Big Beautiful Bill Act (OBBBA).

Before you start the 2026 strategizing, here are five tax tips that could help with 2025:

1. Take your 2025 RMDs now if you haven’t already.

Wednesday, April 1, is the extended deadline for anyone who failed to take their first required minimum distributions (RMDs) in 2025. This grace period applies only to first-time RMD takers. Holders of most types of retirement accounts, including 403(b)s, 401(k)s, and IRAs, are required to take RMDs beginning the year they turn 73. (Those working at or past 73 are exempt from taking RMDs from current employer-sponsored retirement accounts.)

Don’t wait until the last minute because penalties for missing RMDs are serious—25% of the missed distribution if not rectified within two years and 10% if corrected promptly. If you’ve missed an RMD, contact your tax professional immediately. In some cases, especially when the oversight was unintentional and the RMD is taken quickly, the Internal Revenue service may waive the penalty.

If you’re a first timer taking advantage of the April 1 deadline, keep in mind that delaying means you’ll have two RMDs in a single tax year—the delayed 2025 distribution plus your required 2026 distribution. Whether bunching two RMDs into one year makes sense depends on your specific tax situation and should be discussed with your tax advisor.

2. You still have time to make 2025 contributions to your IRA and HSA.

The IRS deadline for making 2025 contributions to an IRA or health savings account (HSA) is April 15, 2026. IRA contribution limits for 2025 remain unchanged at $7,000 for those under 50 and $8,000 for those 50 and older. If you can afford to max out those contributions but haven’t done so already, you could be leaving some tax savings on the table.

Contributions made to a traditional or pretax IRA can reduce your 2025 taxable income if you fall under certain income limits—$89,000 for single filers and $146,000 for married joint filers. For Roth IRAs, you can make contributions (with after-tax dollars) only if your taxable income is below $246,000 for married couples filing jointly and $165,000 for single filers.

Don’t forget about HSAs either. If you have an HSA, you can also make 2025 contributions up to April 15, and those contributions are triple-tax-free. Contributions to an HSA reduce your taxable income, grow tax-free, and can be withdrawn tax-free to pay for qualified medical expenses. For 2025, individuals can contribute up to $4,300, and families can contribute up to $8,550. Those 55 and older can make an additional $1,000 catch-up contribution. Learn more about the benefits of an HSA here.

Because your tax situation changes annually, it’s important to have an annual conversation with your tax advisor about how much you should be contributing and what effect those contributions will have on your overall taxes.

3. Take advantage of the increased state and local tax (SALT) deduction if you itemize.

Thanks to the OBBBA, the SALT deduction cap increased from $10,000 to $40,000 for 2025. This significant increase applies to both single filers and married couples filing jointly and covers state and local income taxes as well as property taxes.

The SALT cap increase is a game changer for many taxpayers, particularly those in high-tax states. For years, many taxpayers have taken the standard deduction rather than itemizing because their total itemized deductions didn’t exceed the standard deduction threshold. With the SALT cap now four times higher, this is an excellent year to check in with your tax advisor about whether itemizing makes more sense than taking the standard deduction.

One important caveat: The increased SALT deduction is phased out for taxpayers with MAGI between $500,000 and $600,000, though it never drops below the old $10,000 cap. The enhanced deduction is temporary, running from 2025 through 2029, after which it reverts to $10,000 in 2030.

If you’re close to the phase-out threshold, you may want to explore strategies to reduce your MAGI—such as making QCDs if you’re over age 70½—to ensure you qualify for the full enhanced deduction.

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