5 Ways to Lower Your Tax Bill Before April 15th

The calendar may say 2026, but for many taxpayers, there is still time to impact your 2025 tax return. While most tax planning happens during the fourth quarter, the IRS allows several specific contributions to be made up until the April 15th filing deadline.

In this week’s “5 on Fridays,” Managing Attorney Mark Milton outlines five ways you can still lower your tax burden before the clock runs out.

1. Make a Deductible IRA Contribution

For many individuals, making a traditional IRA contribution is the fastest way to lower taxable income. For the 2025 tax year, you can contribute and deduct up to $7,000. If you are age 50 or older, that limit increases to $8,000.

Note: To be eligible for the deduction, you generally cannot have a retirement plan through your employer.

2. Contribute to a Roth IRA

While a Roth IRA contribution is not tax-deductible today, it is a powerful wealth-building tool. Your money grows tax-free, and as long as you follow the rules, your withdrawals in retirement are also tax-free. You have until April 15th to make this contribution for the previous tax year.

3. Fully Fund Your Health Savings Account (HSA)

If you have a high-deductible health plan, the HSA is often called the “triple-tax-advantaged” account. Contributions are deductible, growth is tax-free, and withdrawals for medical expenses are tax-free. For 2025, an individual can contribute up to $4,150. This provides a dollar-for-dollar reduction of your taxable income.

4. SEP IRA Contributions for the Self-Employed

If you are a small business owner or self-employed, a Simplified Employee Pension (SEP) IRA is a vital tool. You actually have until the time you file your return (including extensions) to fund a SEP IRA, which can result in substantial savings on your self-employment income.

5. 529 Education Savings Plans

While 529 plans are designed for education savings for children or grandchildren, they often carry state-level tax benefits. Every state varies on its specific deadlines and deduction amounts, but April 15th is a common cutoff for many residents to maximize their state tax benefit.

Optimize Your Tax Strategy

At Milton Law Group, we specialize in helping individuals and business owners find every legal avenue to protect their assets. If you are concerned about your upcoming tax bill, don’t wait until the last minute.

Schedule a consultation with our team today to ensure you are taking full advantage of the IRS “off-ramps” available to you.