As the year comes to a close, December is a critical time to review your finances and take advantage of tax-saving opportunities before December 31. Proactive year-end tax planning can help individuals and business owners in Conway and across South Carolina reduce their tax liability and start the new year with confidence.

At Peavy & Associates, we work closely with individuals and small businesses to identify smart, last-minute strategies that can still make a meaningful impact. Use this year-end tax planning checklist to ensure you’re financially prepared before the calendar turns.

1. Review Your Income & Deductions

Understanding where you stand financially is the foundation of effective tax planning. Reviewing income, expenses, and deductions now allows time to make strategic adjustments.

Key items to review:

  • W-2 or 1099 income
  • Business revenue and expenses
  • Mortgage interest and property taxes
  • Medical expenses and other itemized deductions

2. Maximize Retirement Contributions

Contributing to retirement accounts is one of the most effective ways to reduce taxable income while investing in your future.

Before December 31, consider:

  • Maxing out IRA or Roth IRA contributions
  • Increasing 401(k) contributions
  • Reviewing SEP or Solo 401(k) options for self-employed individuals

3. Take Advantage of Charitable Giving

Charitable contributions may be tax-deductible if made by year-end. December is a great time to support causes you care about while also planning strategically.

Don’t forget to:

  • Obtain proper documentation for donations
  • Consider donating appreciated assets
  • Review donor-advised fund options if applicable

4. Small Business Owners: Clean Up Your Books

For business owners in Conway and Horry County, December is the ideal time to ensure bookkeeping and records are accurate before tax season begins.

Important steps include:

  • Reconciling bank and credit card accounts
  • Reviewing payroll and contractor payments
  • Preparing for 1099 filings
  • Identifying deductible business expenses

5. Evaluate Equipment & Asset Purchases

Certain equipment and asset purchases may qualify for accelerated depreciation or immediate expensing, depending on your situation.

Planning ahead allows you to:

  • Determine if purchases should be made before year-end
  • Understand how depreciation impacts your tax return
  • Align purchases with long-term business goals

6. Schedule a Year-End Tax Planning Meeting

Tax laws are complex, and every financial situation is unique. Meeting with a trusted accounting professional in December allows time to identify opportunities and avoid costly surprises in April.

Start the New Year Prepared with Peavy & Associates

Effective tax planning doesn’t happen during tax season—it happens before the year ends. At Peavy & Associates, we provide personalized tax and accounting services for individuals and businesses throughout Conway, South Carolina.

Schedule your year-end tax planning consultation today and take control of your financial future before December 31.