Tax season is finally over! Before you throw your calculator in a drawer and forget about taxes until next April, here are some savvy moves to make while financial matters are still fresh in your mind. 

Celebrate First, Then Strategize 

Completing your taxes deserves a little celebration! Whether you treated yourself to takeout or finally binged that show everyone’s been talking about, I hope you take a moment to acknowledge your financial adulting achievement. 

Now that the confetti has settled, it’s time to turn that tax-filing momentum info financial wins. 

Smart Moves for Your Tax Refund

Got a refund coming your way? While that vacation or new gadget might be calling your name, consider this your annual financial opportunity: 

• The 80/20 Rule: Allow yourself to enjoy 20% of your refund guilt-free, but direct 80% toward financial goals. It’s the perfect balance between treating yourself and building your future. 

• Boost Your Emergency Fund: If recent years have taught us anything, it’s that financial cushions are essential. Aim for 3-6 months of expenses in an accessible account. 

• Tackle High-Interest Debt: Every dollar paid toward credit card debt gives you an immediate “return” equivalent to your interest rate - often much higher than any investment could guarantee! 

• Jump-Start Next Year’s IRA: Why wait until next tax season? Contributing now gives your money an extra year to grow. 

If You Owed Taxes This Year… 

Don’t panic! This actually means you’ve been keeping more of your money throughout the year. However, you might want to: 

• Adjust Your Withholding: If the amount you owed was uncomfortable, consider updating yourW-4 with your employer. Finding that sweet spot, where you’re not giving the government an interest-free loan but also not facing a giant bill, takes a little tweaking. 

• Set Up a Tax Savings Account: Consider opening a separate high-yield savings account and making automatic monthly transfers to prepare for next year’s tax bill. 

Tax Preparation for Everyone 

Regardless of whether you received a refund or wrote a check, now is the perfect time to: 

• Organize Your Tax Documents: Create a dedicated folder (physical or digital) for 2025 tax documents. Future You will be eternally grateful!

• Review Your Retirement Contributions: Are you maximizing your employer match? Could you increase your contribution percentage by just 1%?. 

• Analyze Your Deductions: If you itemized, which deductions made the biggest impact? Consider how you might maximize those areas this year (charitable giving, mortgage interest, etc.).

• Consider Tax-Loss Harvesting: If you have investments in taxable accounts that are currently down, you might benefit from strategic selling to offset capital gains.

My Favorite Post-Tax Season Tip

Here’s what I recommend to all my clients: Schedule a “Mid-Year Tax Check-In” on your calendar for July. This 30-minute personal appointment gives you time to: 

1. Review year-to-date income and any life changes that might impact your taxes

2. Adjust strategies if needed

3. Identify any new tax-saving opportunities 

The Bottom Line

Tax filing shouldn’t be a once-a-year financial checkup. Use this post-tax momentum to make strategic decisions while everything is fresh in your mind. Small adjustments now an lead to signifiant financial wins (and fewer headaches) next April. 

What are you planning to do with your tax refund this year? Or if you’re making adjustments after owing taxes, I’d love to hear your strategy! Reach out if you’d like personalized guidance on maximizing your post-tax season moves. 

The information provided in this newsletter is based on carefully selected sources, believed to be reliable, but whose accuracy or completeness cannot be guaranteed. All information and expressions of opinions are subject to change without notice and are those of Arrow Advisors.  

Arrow Advisors offers Advisory Services through International Assets Investment Management, LLC.

Arrow Advisors is an independent and unaffiliated entity.