Your financial planning checklist to prepare for 2026

By Jason R. Friday, CFP®, MPAS®, RICP®, CMFC, Head of Financial Planning | Citizens Wealth Management

_{As Head of Financial Planning, Jason is a strategic partner who is responsible for developing the strategy, managing the planner teams, and coordinating personal financial planning activities across Citizens Wealth Management to help clients navigate and grow in changing circumstances.}

As one year wraps up and another begins, it's a smart time to revisit your financial plan and ensure it still aligns with your life, goals and priorities.

From maximizing retirement contributions to reviewing estate documents, a well-timed financial planning checklist can help you move into 2026 with clarity and confidence. Use this guide to cover the essentials and prepare financially for the year ahead.

1. Review your financial plan and goals

Start by revisiting your financial goals. Have you experienced any major life events like having a baby, getting married or divorced, moving, receiving a promotion or retiring? These changes, and even small shifts in priorities, can have a big impact on your financial strategy. A quick review helps ensure your plan still matches your goals.

2. Maximize retirement account contributions

A new year also means new contribution limits and deadlines for retirement accounts. To make the most of these tax-advantaged accounts, it's important to understand the rules for both workplace and individual retirement plans.

401(k) and 403(b) plans

For workplace retirement plans like 401(k) and 403(b) plans, here are the contribution limits to keep in mind.

• 2025 contribution limit: $23,500
• Catch-up contribution (age 50+): $7,500
• "Super" catch-up contribution (age 60 – 63): $11,250

Starting in 2026, if your prior-year wages exceed $145,000 (indexed to inflation), any catch-up contribution must be made as a Roth contribution (after-tax).¹

Deadline: The deadline for contributions is December 31 of the tax year.

Traditional and Roth IRAs

• 2025 contribution limit: $7,000
• Catch-up contribution (age 50+): $1,000
• Eligibility depends on several factors, such as your income, tax filing status, and workplace retirement plan coverage.²

Deadline: Contributions can be made up to the tax-filing deadline (usually April 15 of the following year).

In general, aim to contribute enough to your workplace plans to receive the full employer match (if they offer one). If possible, consider maxing out your contributions to take full advantage of the potential tax benefits.

3. Evaluate required minimum distributions (RMDs)

If you're age 73 or older, you must take RMDs from most tax-deferred accounts like 401(k)s and traditional IRAs. The deadline for taking your first RMD is April 1 of the following year, but subsequent RMDs must be taken by December 31 annually to avoid potential penalties.³

4. Execute strategic tax planning moves

Financial moves like tax-loss harvesting or making charitable donations could help reduce your taxable income. These strategies are especially useful for high-net-worth individuals with larger tax liabilities. Conversely, it may be wise to consider Roth conversions in lower-income years.

Thinking about making a financial gift to a loved one? For 2025 and 2026, the annual gift tax exclusion is $19,000 per person.⁴ You can gift that amount or less to as many people as you'd like without needing to file a gift tax return. Amounts above that limit count toward your lifetime exemption, which increases to $15 million per person in 2026 under the One Big Beautiful Bill Act.⁵

Taxes can be complex. A tax professional and financial advisor can help you navigate changes and optimize your strategy.

5. Review your investment portfolio

Take time to review your investment portfolio with your financial advisor to ensure it aligns with your long-term goals and risk tolerance. Market conditions and life changes can shift your strategy. Reviewing your portfolio regularly helps you stay confident that your money is working toward what matters most to you.

6. Conduct a comprehensive insurance review

Life changes, like promotions, home purchases, or growing families, can impact your insurance needs. Review your life, disability, home and auto insurance policies to ensure your coverage level accurately reflects your current needs. For those in their 50s or 60s, now may be a good time to explore long-term care insurance options, before health care qualifications become more restrictive.

7. Update estate planning documents

Outdated estate documents can create serious issues for you and your heirs. Review wills, powers of attorney, health care proxies and advance medical directives to ensure your estate plan remains current. A quick review can help confirm that you've properly documented your medical care preferences for the future and that your assets will be distributed according to your wishes.

You should also check beneficiary designations on 401(k)s, IRAs and life insurance policies.

8. Evaluate and optimize employee benefits

The end of the year often coincides with the open enrollment period for employee benefits. Review your benefit elections, including:

• Health insurance
• Flexible spending accounts (FSAs)
• Health savings accounts (HSAs)
• Employee stock options

If you have vested stock options, consider whether exercising them before year-end makes sense from a tax perspective.

9. Review tax-advantaged education savings

If you're saving for a child's education, review and reassess your funding targets to ensure they align with rising tuition and expenses. Maximizing contributions to tax-advantaged accounts like 529 plans could help you keep pace with increasing costs and reduce future financial strain.

Create your personalized plan with your wealth advisor

Now is the time to take control of your financial future. Whether you're aiming to meet key year-end deadlines or start the new year with a clear strategy, reviewing this checklist is a valuable first step. But navigating complex decisions around investing, retirement, and estate planning can be challenging on your own.

A Citizens Wealth Advisor* can help you move forward with clarity and confidence. They'll work with you to prioritize your goals, identify actionable next steps, and provide personalized guidance to help you stay on track throughout the year ahead and beyond.

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