5 Musts For Year-End Financial Planning

by / ⠀Finance / September 8, 2025
Financial Planning
Now is the time for families and single adults to start year-end financial planning. In the blink of an eye, the holiday season will be over, and the 2026 tax filing deadline will arrive on April 15. Why not get ahead of the curve by taking a few hours to sit down, crunch a few numbers, and get all those money-related issues in order? The third quarter of the year is an ideal time to take advantage of tax savings, contribute to retirement accounts, address annual expenses, conduct a comprehensive financial review, and address dental work that’s long overdue. It’s always helpful to have a detailed cash flow roadmap. Here are details about the building blocks of a workable plan.

Get Personal Finances in Order

New Year’s resolutions can come later; it’s better to spend the late summer and fall months taking stock of money matters. Step one is to gather all the pertinent documents and statements, including outstanding loans, investment portfolios, bank accounts, credit cards, deeds, car titles, insurance policies, and other relevant documents. Do a simple net worth calculation by subtracting total liabilities from total assets.  Doing so is a simple way to gauge progress made since the same date last year and to identify areas that could use a little attention. Categorize all spending into logical groups, like impulse buys, subscriptions, eating out, clothing, vacations, and groceries. Make a note about which ones are most susceptible to overspending.  Find a free online budgeting app or use a favorite spreadsheet to build a visual tracker for each expense category. Knowledge is a powerful tool when it comes to changing behavior; never underestimate the power of knowing where you stand. Consider taking action as needed, like making a plan to minimize debt, adding to savings, or rebalancing investment portfolios.  For high-interest plastic, try paying down the worst offenders, the ones with the highest rates, first. You can simplify by eliminating the smallest balances first to build momentum. Finally, consider meeting with a licensed insurance agent and reviewing life, health, automobile, and other policies.
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Finance Dental Work You’ve Been Putting Off

The concept of consumer finance for dental patients is not new, but many are starting to realize that paying off large balances on a monthly basis makes very good sense for all sorts of reasons. Not long ago, patients were required to make large upfront payments for certain treatments. That’s all changed in the past few years, as most practitioners have partnered with third-party providers and now offer sensible, budget-friendly payment plans.  The arrangement means that people don’t have to delay needed treatment for checkups, cleanings, crowns, implants, root canals, and dozens of other procedures. Consumers enjoy stretching their healthcare dollars by splitting up larger costs into smaller, commonsense installment payments. Fortunately, there are plans to suit every patient’s unique financial situation and dental needs.  Likewise, applying for approval has no impact on credit scores and takes just a few minutes. If approved, it’s possible to set up a logical, simple schedule that runs between six and 24 months. That way, there’s never a worry about up-front expenses or the need to scrimp on holiday spending due to dental work. Getting started is as easy as asking your favorite dentist for their unique application link or grabbing it online through their financing partner.

Make a Realistic Holiday Spending Plan

There’s a lot of truth to the old saying that budgets are easier to break than make. In fact, many householders suffer buyer’s remorse when January rolls around. Luckily, there’s a no-hassle solution: make a holiday specific spending plan before the festive season arrives. Begin by creating a line-item expense report that includes categories such as wrapping supplies, travel, decorations, gifts for friends and family, entertainment, and more. After that, use data from past years to assign dollar amounts to every category. When in doubt, use amounts that are slightly higher than anticipated to give the budget a small cushion. Add everything up and divide the grand total by the number of pay periods left before the holidays arrive. Create a designated account at your bank and set up auto-pay to make the necessary periodic deposits. There’s no better way to avoid that sense of panic that can set in at year’s end. Consider preserving cash by hosting potluck dinners, making a few handmade gifts, or participating in Secret Santa exchanges with family and friends. If there’s money left over, use it to pay off the plastic or add to an emergency fund. Being proactive about year-end spending is a smart way to make the special season guilt-free and fun instead of stressful.
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Contribute to Retirement Accounts

Whether you have an IRA, 401(k), 403(b), or no retirement account at all, the second half of a calendar year is the time to get busy. Either contribute to an existing plan or set one up. The tax code can be complex, but all it takes is asking a banker how to set up a basic retirement savings account. In most cases, contributions will reduce the amount of current taxable income. Even better than paying less income tax is the fact that the accounts can make golden years less stressful. Speak with your employer about special catch-up provisions if you’re over 50 and haven’t contributed to a retirement account in the past years. Or consult a CPA, attorney, or Enrolled Agent to set up a comprehensive tax-advantaged retirement account suited for your specific needs, income, and lifestyle.

Get Serious About an Emergency Fund

Everyone needs a cash cushion for unexpected situations. All it takes to sabotage a budget is a major car repair expense or a surprise medical bill. Year-end planning is the perfect time to establish or contribute to an emergency fund. How big should it be?  A good goal is between three and six months’ worth of everyday life expenses, but nine months is even better. If money is short right now, just go ahead and set up a segregated bank account into which you automatically deposit between one and three percent of every paycheck. An emergency fund does two things very well: it prevents consumers from using high-interest borrowing, and it gives them peace of mind throughout the year.

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About The Author

Editor in Chief of Under30CEO. I have a passion for helping educate the next generation of leaders. MBA from Graduate School of Business. Former tech startup founder. Regular speaker at entrepreneurship conferences and events.

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