21 SMART MOVES TO MAKE BEFORE YEAR-END

These steps can help trim your tax bill, boost your savings, lower your health care costs and set you up for financial success in 2026.

- BY PENELOPE WANG

As December approaches, you likely have a year-end financial review marked on your calendar. Better block out extra time—this typically routine task is far more urgent this year.

Recent tax legislation, including the One Big Beautiful Bill Act (OBBBA), has made the process of figuring out deductions and other tax breaks much more complex. You are also contending with a lofty stock market that is looking increasingly risky, a looming surge in health care costs and nonstop economic developments. That all makes it especially important to take a clear-eyed look at your financial picture before the clock runs out on 2025 to ensure you've taken full advantage of money-saving opportunities, avoided potential tax land mines and put yourself in the best position for 2026.

Consider, for example, the potential impact of the OBBBA. Signed into law in July, the legislation's many provisions include a more generous standard deduction, a bonus deduction for older taxpayers and other valuable tax breaks. But some of these deductions have income limits, so you may need to take steps before the end of the year to make sure you don't run afoul of them and lose the potential write-off. The OBBBA also ends some other deductions, so you'll need to move fast to claim them.

Rising health care costs may pose one of the biggest challenges you'll face in 2026, so the stakes are higher than usual for choosing coverage during this fall's open-enrollment season. Many Affordable Care Act enrollees will see huge increases in their premiums following the scheduled expiration of a subsidy for marketplace plans at year-end. (At press time, a standoff in Congress over extending the subsidies was unresolved.) Premiums and out-of-pocket costs will also climb for those relying on employer and Medicare coverage, with some plans changing benefits and others closing down.