FSS Newsletter - December 2014 

At Freemon, Shapard & Story we strive to meet your needs by offering services that extend beyond just the traditional tax, accounting and auditing services. One way we accomplish this is by offering personal financial planning services. Here are a few ways that we can help accomplish your needs: 

• Estimating your income tax liability for estimated tax payments and withholding
• Offering guidance on minimizing your income tax liability
• Helping to maximize transfer of wealth to your heirs
• Advising on ways to reduce your estate tax liability
• Evaluating your assets and sources of income to determine what you will have available for retirement
• Helping to maximize your social security benefits and assist in your decision on when to start benefits
• Helping with ways to save for your child's college education

Now that the end of the year is upon us, we wanted to remind you of a few quick planning tips to reduce your income tax liability.

• First, keep in mind that you can deduct contributions in the year you make them. If you use a credit card before the end of the year it will be deductible in 2014 even if you don't pay the credit card bill until 2015. Also, a check will be deductible in 2014 as long as you place it in the mail by December 31, 2014. See this IRS article for more on tips for year-end gifts.
   
• In addition, make sure that you continue to take advantage of tax savings vehicles. Traditional IRAs and employer-sponsored retirement plans allow you to contribute pre-tax funds that help to reduce your 2014 taxable income. For 2014, you can contribute up to $17,500 to a 401(k) plan ($23,000 if you're age 50 or older), and up to $5,500 to a traditional IRA ($6,500 if you're age 50 or older). Employees typically have until the end of the year to make 2014 contributions to an employer sponsored plan, however, you have until April 15, 2015 to make 2014 IRA contributions.
   
• Lastly, the due date for your fourth quarter estimated tax payment is January 15, 2015. The end of the year is a good time to reflect on if there have been any changes to your personal situation that may affect your tax liability. Please contact us if you need help in evaluating if you want to change your 4^th quarter payment.

If you have any financial or tax planning needs please feel free to contact us.

Sincerely yours,