Nine Last-Minute Tax Moves You Still Have Time To Make
With the April tax deadline fast approaching, there’s still time to lower your bill.
A few strategic moves—and a careful review of deductions and credits—could help you keep more of your money. Here are nine smart steps to consider before you file.
1. Fund Your Health Savings Account
An HSA offers triple tax advantages: contributions are tax-deductible, growth is tax-free, and withdrawals are tax-free when used for qualified medical expenses. If you have a high-deductible health plan, you can still contribute for the previous tax year until the April deadline. For 2025, contribution limits are $4,300 for individuals and $8,550 for families. Be sure to mark contributions as applying to the prior year—otherwise, they’ll count toward 2026 and won’t reduce your current tax bill.
2. Contribute To An IRA
You also have until April 15 to fund an individual retirement account for the prior year. For 2025, limits are $7,000 (or $8,000 if you’re 50 or older). Even if you have a workplace retirement plan like a 401(k), you can still contribute to an IRA. Depending on your income, a traditional IRA may offer a tax deduction. Alternatively, a Roth IRA doesn’t provide an upfront deduction but allows for tax-free growth and withdrawals later.
3. Open A Business Retirement Plan
If you’re self-employed, freelance, or run a small business, you have additional options. A SEP IRA, for example, allows contributions of up to 25% of your income, with a maximum of $70,000 for 2025. These plans can be opened and funded up until your tax filing deadline—including extensions—potentially giving you until October to contribute.
4. Save On State Taxes With A 529 Plan
While 529 contributions aren’t deductible on federal returns, some states offer tax breaks. A few states even allow contributions up until April to count for the previous tax year. If you live in one of those states, a last-minute contribution could reduce your state tax bill.
5. Check Whether You Can Itemize
Many taxpayers default to the standard deduction, but recent changes may make itemizing worthwhile again—especially with a higher cap on state and local tax (SALT) deductions. If you have significant property taxes, mortgage interest, or charitable donations, it’s worth running the numbers.
6. Don’t Miss New Deductions
Recent tax law changes introduced several new deductions, including those for:
- Tipped income
- Overtime pay
- Seniors age 65+
- Car loan interest (for qualifying vehicles purchased after 2024)
Some of these—especially car loan interest—are easy to overlook, so double-check eligibility.
7. Review Last Year’s Purchases
Certain expenses from the past year could qualify for tax benefits. For example:
- Energy-efficient home improvements may earn you a credit
- Home office expenses can boost deductions for self-employed workers
Taking time to review receipts and records could uncover savings you might otherwise miss.
8. Claim Valuable Credits
Tax credits are especially powerful because they directly reduce what you owe—and some are refundable.
Common credits include:
- Earned income tax credit (EITC)
- Child tax credit
- American opportunity credit
Even if you don’t usually file taxes, it may be worth doing so if you qualify for refundable credits.
9. File for an Extension
If you’re running out of time, filing an extension can help you avoid costly mistakes. You’ll have until October to complete your return properly. Just remember: an extension gives you more time to file—not more time to pay. Any taxes owed are still due by April 15.
Making a few of these moves now could lead to meaningful savings. Even small adjustments can add up—especially when it comes to taxes.
Source: U.S. News & World Report
