As summer winds down and we look to fall, now’s the best time of year to start your year-end tax planning. It’s important to remember that December 31 is a deadline, not a planning window. If you wait until the end of the year to start planning, you could miss out on valuable tax savings opportunities.

With nine months of the year under your belt, you should be able to see a clear picture of your potential tax exposure while there’s still enough time to change the outcome.

Why This Year Matters More Than Most

In 2026, tax planning matters more than usual, as it’s the first full year under the new tax framework created by the One Big Beautiful Bill Act (OBBBA), which was signed into law on July 4, 2025.

OBBBA made permanent many of the individual tax provisions of the 2017 Tax Cuts and Jobs Act (TCJA). For example, the lower individual tax rates implemented under TCJA were extended by OBBBA. This means federal tax bracket rates remain at 10%, 12%, 22%, 24%, 32%, 35% and 37%. Had the provisions of TCJA been allowed to expire, these rates likely would have risen.

Additional key tax planning numbers for 2026 include the following.

Tax Planning Moves to Make This Fall 

The following tax planning moves have the potential to reduce your tax exposure if implemented early enough in the year.

• Build a 2026 tax projection. Start by assessing your annual tax situation so far. Consider year-to-date income, expected year-end compensation (including salary and any anticipated bonuses), investment gains, rental or K-1 income and any deductions that are already locked in. Rather than asking, “What will I owe?” think strategically by considering where you fall relative to a tax bracket threshold, a SALT phase-down, a QBI phaseout or the net investment income tax. These considerations can help you identify opportunities to shift your income and reduce your tax exposure.

• Consider filing an itemized versus standard return. Add up your projected state income tax, property tax and remaining deductions. Compare that total with the 2026 standard deduction. If you are close to the threshold, it may make sense to bunch multiple years of charitable donations or other deductible expenses in order to itemize your taxes in the current year.

• Max out tax-deferred accounts. Contributions to tax-deferred accounts, such as 401(k)s, 403(b)s and HSAs, reduce your taxable income during the year in which they are made. However, many of these accounts have a strict December 31 deadline for contributions. If your goals include maxing out these accounts, now’s the time to adjust your contributions to remain on track.

• Harvest investment losses. Tax-loss harvesting can be used to offset realized gains and up to $3,000 of ordinary income, and unused losses can be carried forward to future tax years. September is a great time to review your investment performance and offset gains by realizing losses elsewhere in your portfolio.

• Revisit your estate plan. Had the provisions of TCJA been allowed to expire, it’s likely the lifetime gift and estate tax exemption would have reverted to a significantly lower amount. If your estate plan was established with this reduction in mind, now’s is a great time to revisit it. Work with your financial advisor and estate planning attorney to determine if any changes should be made in light of the current exemption amount.

At North Oaks Wealth Management, we take a year-round approach to helping clients manage their tax exposure. If you could use some help with your year-end planning, we would love to have a conversation. Please schedule a call to get started.

August marks the beginning of back-to-school season. If you have students in your household, you may be feeling the annual scramble of school supply lists, shopping for clothing and shoes, tuition, fees, extracurricular activities and more. Add to that the ongoing work of funding college savings accounts, and the expenses can quickly add up.

Fortunately, approaching back-to-school season with a clear strategy can turn your family’s education-related spending into a coordinated part of your broader financial plan. The following strategies can help.

1 – Treat education expenses as a core line item in your budget. 

It’s important to treat education expenses in the same manner as other key spending priorities. Start by estimating the full annual cost across all of your children, including:

• School tuition and mandatory fees
• Uniforms/clothing
• Technology fees, software and device purchase requirements
• Enrichment programs
• Sports, arts and other extracurricular activities
• Tutoring, academic coaching and test preparation
• Future college costs based on multiple scenarios (public in-state, public out-of-state, private, specialized programs, etc.)
• PTO fees and other nonprofit education-related expenses

Once you have an understanding of your potential expenses, decide what portion of your discretionary cash flow to direct to education versus retirement contributions, taxable investments and other priorities. This can help ensure education spending does not interfere with your other long-term financial objectives.

2 – Maximize your college saving strategy.

If your financial plans include paying for your children’s college expenses, it’s important to have a savings plan in place. Consider implementing the following strategies.

• Maximize contributions to 529 savings plans. In some situations, it may make sense to front-load up to five years of gifts in a single year to help minimize your tax exposure and optimize your savings.
• Encourage grandparents and other family members to help by making 529 plan contributions or direct tuition payments to a university.
• Evaluate whether it makes sense to layer additional college savings vehicles, such as Coverdell education savings accounts or UTMA/UGMA accounts.
• Regularly revisit projected college costs to help ensure you remain on track with the latest expenses.

3 – Manage extracurriculars with intention. 

Elite extracurricular expenses, such as travel sports, specialized coaching, private lessons and professional academic enrichment can quickly rival the cost of tuition, which is why it’s important to view these as discretionary, rather than non-discretionary expenses. Consider what you’re paying versus your child’s sustained interest and potential developmental return, and establish a clear family activity budget. This can help ensure activity costs remain in line with your overall financial plan, family values and priorities.

4 – Don’t sacrifice your own financial future. 

This can be a difficult tip for many parents who want to prioritize their children’s education expenses. However, it’s vital to ensure that school-related costs do not derail your long-term financial security by getting in the way of your retirement savings or emergency reserves. As you’re planning for education expenses, it’s important to also:

• Continually contribute to your retirement savings accounts, even during expensive education years.
• Avoid taking on high-interest debt or home equity lines of credit to pay for education.
• Periodically model the impact education spending has on your projected net worth, retirement readiness and estate planning goals.
• Carefully manage lifestyle creep to avoid overspending.

Could you use some help ensuring education expenses don’t derail your long-term financial objectives? We would love to have a conversation. At North Oaks, we support clients in building strong financial futures, one brick at a time. Schedule a call to learn more.

You’ve worked hard to save and invest for the future, but have you taken steps to protect your wealth from scams and fraud?

Individuals in the United States reported losing more than $12.5 billion to consumer fraud in 2024, according to the Federal Trade Commission.¹ Bankrate notes that 40% of U.S. adults reported falling victim to financial or identity scams in the last 12 months, with 73% experiencing fraud in their lifetime.² And, technological advances, such as artificial intelligence and deepfake capabilities, are making it easier than ever for scammers to take advantage of unsuspecting victims.

Fortunately, there are steps you can take to protect yourself and your loved ones from scams and financial fraud.

Know What Red Flags to Look For
There are several key warning signs that could signal a potential financial scam.

• Unsolicited emails, texts, phone calls or social media messages with urgent demands or pressure to act immediately
• Offers or investment opportunities that sound too good to be true
• Requests for payment via wire transfer, gift cards or cryptocurrency
• Unusual communication such as typos in email addresses, voice inconsistencies, strange phrasing, etc.
• Pressure to keep the “opportunity” secret from your advisors and family

Watch Out for Phishing Scams

Phishing refers to the act of sending fraudulent emails that seem to come from a reputable source but are actually sent by scammers. Some phishing emails attempt to convince the recipient to share personal information that can be used to commit identity theft. Other emails contain corrupted links that, when clicked on, install malware on the device that is used to interfere with the system’s operation or access personal data.

Remember that if you receive an email with an offer that seems too good to be true, it probably is. Similarly, if you receive an email that appears to be from a financial institution, government agency, such as the IRS or Social Security Administration, or other seemingly reputable source, do not click on links or provide personal data until you’ve confirmed the email’s legitimacy. To do so, open up a new browser, directly type in the organization’s verified website address, and call the official phone number listed. Never trust website links or phone numbers provided in suspicious emails.

Strengthen Your Cyber Protections
The following best practices can help protect you from fraud.

• Enable multi-factor authentication (MFA) on all financial and email accounts. MFA requires that you provide two sources of data to gain access to your account. In addition to a password, the second piece of data may be a code sent to your phone number, a facial or fingerprint scan, or a series of security questions only you would know the answer to. This makes it more difficult for a hacker to access your account.
• Usee strong, unique passwords, change them often and resist the urge to write them down. A password manager can help securely manage your various logins.
• Install and regularly update security software. All internet-enabled devices should be equipped with strong security software that includes antivirus protection, firewalls and intrusion detection. Never connect to the internet without these protections in place.
• Never click on unsolicited links or open attachments from unknown sources.
• Place a credit freeze with each of the major credit bureaus – Equifax, Experian and TransUnion.
• Regularly review your financial accounts and statements for unauthorized activity. Immediately report any unfamiliar transactions to your financial institution.
• Only use secure wi-fi networks. Never access financial or personal data over public wi-fi or unsecured networks.

Could you use some help protecting your wealth from possible scams? We would love to have a conversation. At North Oaks, we support clients in building strong financial futures, one brick at a time. Schedule a call to learn more.

This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

All investing involves risk including loss of principal. No strategy assures success or protects against loss. Rebalancing a portfolio may cause investors to incur tax liabilities and/or transaction costs and does not assure a profit or protect against a loss. There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio Diversification does not protect against market risk. Asset allocation does not ensure a profit or protect against a loss.

As warmer weather and the long days of summer approach, you may not be thinking about your finances. However, it’s important to regularly check in on your portfolio, and there’s no better time than now. A mid-year review is one of the most important steps you can take to help ensure your finances remain on track, for several reasons.

1 – Markets don’t take a break… neither should your strategy. 

The first half of 2026 has brought significant volatility in the form of inflation, rising gas prices, geopolitical uncertainty, market fluctuations and more. It’s important to review how these factors may have influenced your portfolio. A mid-year review is a great opportunity to:

• Identify any drift away from your target allocation and rebalance accordingly.
• Compare your actual performance to your personal goals and long-term benchmarks.
• Reevaluate underperforming assets.

2 – Tax planning strategies are most effective when employed throughout the year.

Tax planning should be a year-round event, and mid-year serves as an important reminder to proactively manage your tax exposure. Work with your financial advisor to:

• Harvest investment losses to offset gains.
• Evaluate where you stand on your required minimum distribution (RMD) if you’re required to take one.
• Review Roth conversion opportunities.
• Adjust retirement plan contributions for maximum tax efficiency.
• Consider charitable giving opportunities.

3 – Mid-year rebalancing helps maintain your intended risk and target allocation.

Regular rebalancing is an important portfolio maintenance task. When strong-performing assets grow faster than others, your portfolio can drift away from its target allocation. If not rebalanced, this drift can expose you to unintended risk. Portfolio rebalancing:

• Forces you to sell high and buy low, which is an essential investing principle.
• Restores your intended risk level.
• Helps maintain proper diversification.

4 – Life often changes faster than you realize.

Many things can happen in six months. Mid-year is a great time to review any changes in your life and how they may impact your financial strategies. The following changes have the potential to impact your risk tolerance, time horizon, cash flow needs, tax situation, savings goals, withdrawal strategies, long-term goals and more.

• Marriage
• Divorce
• The birth of a child
• A loved one’s death
• A new health diagnosis
• An inheritance, business sale, bonus or other large influx of capital
• A major purchase such as a new home, boat, college expenses, etc.
• A job change or promotion
• A change in your retirement timeline

5 – Regular check-ins can provide financial clarity and confidence.

Perhaps the greatest benefit of a mid-year review is the clarity it can provide. Knowing your portfolio is aligned with your goals, properly diversified, tax-efficient and managed with intention can provide confidence, especially during periods of market uncertainty.

Could you use some help conducting your mid-year financial review? We would love to have a conversation. At North Oaks, we support clients in building strong financial futures, one brick at a time. Schedule a call to learn more.

Retirement today is much different than past decades, and recent trends impacting soon-to-be retirees have many people rethinking their retirement planning strategies. As you plan for your next chapter, it’s important to understand how a dynamic retirement landscape could impact your financial confidence. Let’s consider a few recent trends and practical steps you can take to strengthen your retirement plan.

Longer life expectancies

In recent studies, the top financial fear of retirees is the possibility of running out of money part-way through retirement.¹ This fear is exacerbated by the fact that the average American life expectancy has increased from 68.1 years in 1950 to 79.4 years in 2025, which means that retirees must ensure they have enough savings to last for an extra 11 years compared to past generations.² Fortunately, there are several steps you can take to help ensure you don’t outlive your assets.

Implement a “bucket strategy” for allocating your investments. Allocating your investments to different buckets based on when you will need to access them allows you to work toward growing your portfolio for the long-term, while also ensuring you have enough liquid reserves to cover your short-term living expenses.

• Short-term bucket – Consider maintaining adequate funds in cash or very conservative investments to cover the next one to two years’ worth of living expenses. This allows you to pay for your daily lifestyle needs without being forced to sell out of stocks in a downturn.
• – Medium-term bucket – Assets invested in the medium-term bucket can be used to replenish your short-term bucket at opportune times. These assets are typically invested in balanced funds and bonds.
• – Long-term bucket – Your long-term bucket should be focused on growth, taking into account your risk tolerance and investment timeline. Remember that you could end up living in retirement for 20 to 30 years, which means that it remains important to keep up with inflation and continue growing your assets.

Carefully consider the timing of your Social Security benefits. Full retirement age (FRA) is the age at which you are eligible to receive 100% of your earned Social Security benefit. For those born after 1960, FRA is 67. Claiming benefits at a younger age permanently reduces your monthly benefit by about 30%, while waiting until age 70 can increase your monthly benefit by up to 24%.

This range of monthly benefits can have a big impact on your net retirement income, which is why it’s important to carefully consider the timing of Social Security. Your wealth manager can help you run various scenarios and help you determine the right approach for your particular situation.

Establish a strategic withdrawal strategy. Having a strategic withdrawal strategy in place can help ensure you maintain enough assets to fund your lifestyle needs throughout retirement. Ideally, you will have saved in a variety of accounts with different tax treatments, as this helps optimize your tax savings opportunities.

There are three main approaches you may wish to consider.

1. Systematic withdrawals – This involves taking regular withdrawals at a particular rate. For example, you may decide to withdraw 4% of your retirement savings in the first year of retirement and adjust that amount for inflation in each subsequent year.
2. Tax-driven withdrawals – Another approach is to withdraw from one account at a time based on each account’s tax exposure. For example, it may make sense to withdraw from your taxable accounts first, followed by your tax-deferred accounts and your tax exempt accounts last.
3. Proportional withdrawals – This approach involves withdrawing from each account based on the proportion of retirement savings in each account type and can help ensure a more stable tax bill from year to year.

Phased retirements

The average retirement age has steadily risen in recent years as a greater percentage of Americans continue working throughout their 60s, 70s and beyond. Between 2002 and 2007, 41% of individuals aged 60-64 and 70% of those between the ages of 65-69 were retired. However, between 2016-2022, just 32% of those aged 60-64 and 70% of those aged 65-69 were retired.³

Instead of fully retiring on a set date, more workers are choosing a phased approach. This often includes gradually reducing their hours, shifting to part-time work, taking on roles in the gig economy or switching industries completely. The benefit to a phased retirement is that it provides additional time to save, invest, and remain active and engaged.

Rising healthcare costs

Healthcare is one of the largest expenses faced by many retirees, and the costs keep rising, which is why it’s important to have a plan in place to pay for medical expenses in retirement. If you’re eligible to contribute to a health savings account (HSA), it may be wise to maximize your contributions throughout your working years. This can be a great way to pay for your retiree medical expenses with tax- advantaged funds.

You may also consider purchasing a Medicare supplement plan and/or long-term care insurance to help cover unexpected expenses. Your wealth manager can help you evaluate your options and establish a healthcare savings plan that makes sense for you.

Could you use some help navigating the challenges of planning for a successful retirement? North Oaks Wealth Management is here to help. We support clients in building strong financial futures, one brick at a time. Schedule a call to learn more.

As this year’s tax filing deadline quickly approaches, you may wonder whether you’ve done all you can to reduce your tax exposure. While the most effective approach is to employ year-round tax planning strategies, there are still some steps you can take to reduce your 2025 liabilities prior to the 2026 filing deadline.

The following moves have the potential to reduce your taxable income and/or boost your refund.

Max out your 2025 IRA contributions.

Did you know you can continue making 2025 IRA contributions until the tax filing deadline of April 15, 2026? Maxing out contributions to your tax-deferred retirement accounts can be a great way to reduce your taxable income for the year.

In 2025, taxpayers under age 50 can contribute up to $7,000 to a traditional IRA. Those aged 50 or older can make an additional $1,000 catch-up contribution, for a total contribution of $8,000. Because these contributions are made with pre-tax assets, they can help reduce your income tax liabilities.

It’s important to note that 2025 contributions to Roth IRAs can also be made until April 15, 2026. Because they’re funded with after-tax assets, Roth contributions do not reduce your taxable income in the current year; however, they do offer tax benefits down the road, as retirement withdrawals from Roth accounts are exempt from taxes. 

Fully fund your health savings account (HSA). 

If you are enrolled in a high-deductible health plan (HDHP) that provides access to a health savings account (HSA), you have until April 15, 2026, to make 2025 contributions. HSAs offer three distinct tax benefits.

1. Tax-deductible contributions – Similar to traditional IRA contributions, HSA contributions are made with pre-tax assets, which can help reduce your taxable income during the year in which they are made.
2. Tax-exempt growth – Once contributed, assets held within an HSA grow tax deferred in the account. This is a significant benefit over most savings and investment accounts, which are taxed on an ongoing basis. Also, unlike traditional IRAs and 401(k)s, HSAs are not subject to required minimum distributions (RMDs), which means assets can continue growing within the account indefinitely.
3. Tax-free withdrawals for qualified expenses – When used to pay for qualified medical expenses, HSA withdrawals are exempt from taxes.

The 2025 HSA contribution limit is $4,300 for individuals and $8,550 for families. Those aged 55 and older can contribute an additional $1,000 catch-up contribution. 

Claim any overlooked deductions or credits. 

Before submitting your tax return, be sure to review it one last time for any overlooked deductions or credits. Commonly missed deductions and credits include:

• Student loan interest – You may be eligible to deduct up to $2,500 of interest paid on student loans.
• Medical expenses – Those who file an itemized tax return can deduct unreimbursed medical costs that exceed 7.5% of adjusted gross income (AGI). Qualified expenses include doctor visits, prescriptions, mileage to medical appointments at approximately $0.21 per mile, long-term care premiums, glasses, hearing aids, etc.
• Charitable donations – Charitable donations, including out-of-pocket expenses and mileage, can be deducted from your itemized tax return.
• Educator expenses – If you’re a teacher, you may be eligible to deduct up to $300 for unreimbursed classroom supplies, books and technology.
• Child and dependent care – Working parents and those caring for disabled or elderly loved ones may be eligible to receive a tax credit for childcare/dependent care expenses.

Could you use some help implementing these last-minute tax savings strategies? North Oaks Wealth Management is here for you. We support clients in building strong financial futures, one brick at a time. Schedule a call to learn more.

On February 28, the United States and Israel launched joint airstrikes on Iran. As part of this operation, Iran’s supreme leader, Ali Khamenei, was killed. As you can imagine, this has caused an upsurge in volatility for both the oil and stock markets. While markets were mostly flat on Monday, March 2, the Dow dropped by over 1,200 points early on Tuesday, March 3 before recovering some of its losses later.¹

I want to assure you that my team and I have spent a lot of time analyzing the situation and how it might impact you. We’ll go over some of the details in a moment, but the most important thing for you to know is that we are keeping a close eye on everything. We remain confident in our investment strategy as well as the path to your financial goals.

Because I’m a financial professional, not a geopolitical expert or military strategist, I’m going to refrain from commenting on the conflict itself and focus instead on its financial ramifications. Before continuing, though, I do want to say that our thoughts are with our armed forces and the innocent civilians in the region. So, while this message will focus on the economic side of the conflict, let us all remember that nothing compares to the human side.

With that said, let’s now turn to the central question: How will this conflict affect the markets?

Nobody has a crystal ball, including me. But when it comes to geopolitical events, the markets typically react in a fairly consistent way. First, there’s the initial reaction. The most risk-averse investors tend to sell, and quickly. Fighting brings disruption to production and trade; disruption brings uncertainty. Uncertainty, of course, is the ultimate cause of nearly all volatility.

Next, one of two things often happens. In some cases, the conflict resolves quickly and events normalize. In this case, the markets often rebound after their initial drop as investors seek to get back into the markets, or as those who stayed in seek out opportunities to buy at lower prices.

On the other hand, even if the conflict does not end quickly, investors, after digesting the news and its implications, will often treat it as merely one factor amid a myriad of factors that influence the markets. Sometimes this “digestion” can take merely days. Other times, it may last weeks or even months and cause a lot of indigestion in the process. But in both scenarios, volatility eventually settles down.

For these reasons, geopolitics tend to have a surprisingly short-lived effect on the markets. For example, take the Cuban Missile Crisis. The world has never been closer to nuclear war than during those nerve-wracking thirteen days in 1962, yet during that time, the Dow only fell 1.2%. By the end of the year, the Dow was up 10%.³

For two examples from the Middle East, consider when Iraq invaded Kuwait back in 1990, which triggered the Persian Gulf War. The Dow declined more than 18% in the immediate aftermath – only to recover completely a few months later.⁴ More recently, when Israel struck Iranian bases and nuclear facilities last year, the stock market slid sharply but recovered quickly.

Zoom out, and the pattern becomes fairly clear. According to one study of forty major geopolitical events across the past 85 years, the S&P 500 has fallen an average of 0.9% in the month after the event but risen 3.4% over the following six months.⁵

This phenomenon is common not just for stocks, but other markets as well. When Russia invaded Ukraine in 2022, energy prices skyrocketed. (Russia is a large source of both oil and natural gas, and international sanctions put a limit on how much the western world could import both.) But a year later, the oil market had “fully absorbed” the impact of the invasion, and prices returned to more normal levels.⁶

Now, I wish I could simply wrap up this message here. But while the markets typically shrug off geopolitics, that doesn’t mean we don’t need to pay attention to what’s going on. Because while the past offers lessons for the present, it is no guarantor of the future.

Unlike last year, when Israel struck Iranian facilities, this is a more significant conflict. The scale is much larger. President Trump has said the war could last four to five weeks, or perhaps even longer.⁷ The consequences are already more significant. Iranian counterattacks have also struck other nearby countries like Saudi Arabia, Qatar, Kuwait, and the United Arab Emirates. For these reasons, it’s impossible to say how long the fighting will last or if it will widen. If it does, investors may be forced to process a continuing stream of ever changing news rather than one single event.

In the meantime, the biggest question mark is what this all means for oil prices. Consider:

• Iran produces 4.5% of the world’s oil and shares the largest natural gas reserve in the world.⁸
• More importantly, Iran controls the north bank of the Strait of Hormuz. This waterway is one of the world’s most crucial arteries for delivering oil and natural gas. According to the U.S. Energy Information Administration, an average of 20.9 million barrels of oil pass through the strait every day — about 20% of the world’s total consumption.⁹
• As part of the conflict, Iran has struck multiple energy facilities in nearby countries, forcing them to suspend production. Some of the world’s most major shipping companies have also suspended activity in the strait until further notice.

Now, it’s important to note that, as of this writing, the Strait is not completely closed — and any closure would likely be temporary. But even temporary interruptions to production and trade can cause oil prices to spike. This matters because higher energy prices can lead to higher shipping and travel costs, food prices, and snarls in the supply chain. Furthermore, all these price hikes can affect everything from inflation to interest rates to corporate earnings, thereby potentially denting the stock market.

The takeaway, then: While conflict rarely causes long-term pain in the markets, we should certainly be prepared for possible heartburn in the short-term.

But here is what’s always so important to remember during times like these: Conflict means change and change means uncertainty.

Uncertainty triggers overreaction.

That’s why so many investors tend to lose money during times of volatility, because they make long-term decisions based on short-term emotions. The situation in the Middle East will likely change every day, hour, even minute. Headlines we read in the morning might be obsolete by afternoon. That’s why it makes no sense when investors panic or make decisions under the fog of uncertainty. By the time they do, the situation they’re reacting to may have already passed!

For these reasons, the single best thing we can do is to simply hold on to our overall strategy and avoid overreacting, no matter how many headlines prompt us to do so.

With all that said, «NicknameFirstname» and «SpouseNicknameFirstname», I want you to know my team and I will continue digesting every bit of information we can. If anything changes to the point that it requires us to change, either to take advantage of opportunities or to protect, we will let you know promptly. And of course, if you have any fears or doubts in your mind, please tell me about them . While it’s one thing to say, “Don’t act out of emotion,” it’s also important to acknowledge that your emotions are valid and meaningful. (We just don’t want to act on them without careful consideration.) I am always here to listen to you and discuss any questions or concerns you may have.

In the meantime, I hope you found this information helpful. If we don’t speak before then, I hope you have a great rest of your month, and a wonderful start to spring! Please let me know if there is anything I can do for you.

2026 brings some significant tax law changes, partly due to the passing of President Trump’s One Big Beautiful Bill Act (OBBBA) in July 2025. The bill made permanent many of the provisions of Trump’s 2017 Tax Cuts and Jobs Act (TCJA). In addition, the IRS has increased several key retirement plan limits, which can help you save more.

Here, we provide insight into some updates happening in 2026 and how they impact you.

Social Security Updates

In 2026, Social Security has been modified in the following ways.

• Cost-of-living adjustment (COLA) – Social Security benefits received a 2.8% COLA boost, which adds approximately $56 per month to the average retiree’s check.
• Full retirement age (FRA) – Known as FRA, the age at which individuals can begin receiving full Social Security benefits has increased to 67 for those born in 1960 or later.
• Earnings limit – The earnings limit for those younger than FRA who work while receiving Social Security benefits has increased from $23,400 in 2025 to $24,480 in 2026. Those who reach FRA in 2026 are subject to a $65,160 earnings limit. The limit no longer applies once a taxpayer reaches full retirement age.
• Social Security tax threshold – The maximum amount of income subject to Social Security tax has increased from $176,100 in 2025 to $184,500 in 2026.

Retirement Plan Contribution Limits

For 2026, the IRS updated its retirement plan contributions to help Americans keep up with inflation.
The new limits are as follows.

• IRAs – In 2026, the IRS contribution limit has increased to $7,500.
• IRA catch-up – Individuals age 65 and older can make an additional $1,100 IRA catch-up contribution, for a total contribution of $8,600.
• Employer-sponsored retirement plan – Employees can contribute up to $24,500 to a qualified retirement plan, such as a 401(k)s, 403(b)s and 457 plan.
• Catch-up contributions – Savers aged 50 and older can contribute an additional $8,000 in catch-up contributions to an employer-sponsored retirement plan, for a total contribution of $32,500.
• Super-catch-up contribution – As an added retirement savings boost, the IRS allows individuals between the ages of 60 and 63 to make a super-catch-up contribution of up to $11,250 to an employer-sponsored retirement plan. This can result in a total 2026 contribution of $35,750 for individuals nearing retirement.
• Total defined contribution limit – The total contribution to a defined contribution plan, including both employee and employer contributions, has increased to $72,000 in 2026.

Updated Rules for High Earners

The following new rules apply to high-income earners.

• New Roth catch-up rule – Effective in 2026, employees who earned more than $150,000 in the previous year must make catch-up contributions to qualified retirement plans on an after-tax (Roth) basis.
• IRA deduction phase-out – In 2026, the IRA contribution deduction is phased out for married couples filing jointly who have a modified adjusted gross income (MAGI) between $242,000 and $252,000 when a spouse is covered by a workplace retirement plan.

Senior Deduction Opportunity

OBBBA introduced a new deduction opportunity for those aged 65 and older who earn less than $75,000 per year, or $150,000 for married couples filing jointly. These taxpayers may qualify for deduction of between $6,000 and $12,000 to help offset federal taxes on their Social Security and other retirement income.

Healthcare Savings Updates

Health savings accounts (HSAs) and Medicare received a cost-of-living boost for 2026.

• HSA contribution limits – HSA limits have increased to $4,400 for individuals and $8,750 for families in 2026.
• Medicare Part B premiums – The standard monthly premium has increased to $202.90 in 2026, up from $185 in 2025, and the annual deductible has increased to $283.

Could you use some clarification on how these new rules and updates may impact your financial situation? North Oaks Wealth Management is here to help. We support clients in building strong financial futures, one brick at a time. Schedule a call to learn more.

This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

All investing involves risk including loss of principal. No strategy assures success or protects against loss. Rebalancing a portfolio may cause investors to incur tax liabilities and/or transaction costs and does not assure a profit or protect against a loss.​

A new year is a great opportunity to review your financial strategies and refocus on strong financial habits. As you begin 2026, the following tips can help you start the year off on strong financial footing.

Create a budget.

One of the best ways to gain control of your financial life is by establishing (and following!) a budget. Start by reviewing a year’s worth of bank and credit card statements to gain an idea of what you spend on both discretionary and non-discretionary expenses. Compare that amount to the income you bring in each month. Are you spending less than you make? If not, it’s probably time to cut back on some discretionary expenses.

Use the insight you gained in reviewing your income and spending to establish a monthly budget you can realistically stick to over time. There are several effective budgeting strategies to consider, based on your lifestyle and goals.

• Zero-based budgeting – Using this method, you would assign every dollar of income to a specific financial category, such as expenses, savings or debt repayment. This allows you to have a plan in place for every dollar, ensuring that your income minus your expenses equals zero.
• 50/30/20 budgeting – Using this method, you would allocate 50% of your income to needs (mortgage payment, utilities, groceries, etc.) 30% to wants (entertainment, gifts, vacations, etc.) and 20% to savings and debt repayment.
• Envelope system – Some people find success in using an envelope system. This cash-only spending approach involves putting physical bills into envelopes labeled for specific expenses. For example, eating out, entertainment, groceries, etc. This approach can help you adhere to your budget by physically limiting your spending in certain categories.

Establish an emergency fund.
Not only can maintaining adequate emergency savings help you cover unexpected expenses, it also allows you to avoid selling out of investments at inopportune times, which could lock in losses during a market downturn. It’s wise to save three to six months’ worth of living expenses in a liquid account to cover emergency expenses such as medical bills, lawsuits, natural disasters, car accidents, etc.

Make a plan to pay off debt.
By its very definition, having debt means that your financial priorities are to someone else, not yourself. High-interest debt is particularly problematic, as it typically comes with high interest rates and fees that can significantly erode your ability to save and invest for your own financial future. Whether you carry credit card debt, student loans or another type of debt, the sooner you pay it off, the more financially secure you’ll be.

Two effective strategies for paying off debt include:

• The avalanche method – This method involves paying off debt that carries the highest interest rate first, followed by the next highest interest rate until all of your debt is paid off. The benefit of this approach is that your payoffs pick up speed as they go because each payment saves you more money than the one before.
• The snowball method – With this approach, you pay off your smallest loan as quickly as possible, then move on to the next smallest loan until you’ve worked through all of your debt. This method can give you a sense of accomplishment as you pay off loans one by one.

Maximize your retirement plan contributions.
The start of a new year is a great time to recommit to saving for retirement. Consider boosting the amount you contribute to your 401(k) and IRA. Even increasing your contribution percentage by 1% to 2% can have a big impact over time, and you’re unlikely to notice a difference in your take-home pay. At a minimum, make sure you’re contributing enough to your employer-sponsored retirement plan to receive the full available employer matching contribution.

Automate your savings.
Make saving as frictionless as possible by setting up automatic transfers from your checking account to your savings, emergency fund or investment accounts each payday. This “pay yourself first” approach allows you to focus on other things while ensuring your savings continues to grow.

Review and rebalance your investment portfolio.
If it’s been a while since you reviewed your investment portfolio, it may be time to check in on it. Over time, as certain investments outperform others, your allocation can drift away from its target, resulting in an overweighting of certain asset classes. This can lead to concentrated risk as one asset type begins to dominate your portfolio.

Rebalancing refers to the process of selling off some of the overperforming assets and reinvesting in the lower-performing assets in order to get back to your target allocation. This is an important way to ensure your portfolio continues to meet your needs and align with your risk tolerance. Your wealth advisor can help you implement a tax-efficient rebalancing strategy.

Check your credit report.
The new year is also a great time to check in on your credit score and review your credit reports for any potential fraud. Each of the major credit agencies provides one free credit report per year, which you can request at the following websites.

• Equifax (www.equifax.com)
• Experian (www.experian.com)
• TransUnion (www.transunion.com)

Review your subscriptions.
Take time to review your bank and credit card statements to identify any non-essential spending and subscriptions you’re paying for that you rarely use. Canceling these unused subscriptions can free up extra cash to put toward your financial goals.

Could you use some help starting the new year on more confident financial footing? North Oaks Wealth Management is here to help. We support clients in building strong financial futures, one brick at a time.Schedule a call to learn more.

This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material.
All investing involves risk including loss of principal. No strategy assures success or protects against loss. Rebalancing a portfolio may cause investors to incur tax liabilities and/or transaction costs and does not assure a profit or protect against a loss.

A Roth conversion refers to the process of converting assets from a tax-deferred, or pre-tax, retirement account into a Roth, or after-tax, retirement account. The main benefit of a Roth conversion is that it allows you to establish a source of tax-exempt retirement income, which can give you greater flexibility to create a tax-efficient retirement income stream. Once the assets are held within the Roth account, they are free to grow and compound on a tax-exempt basis, and unlike tax-deferred retirement assets, Roth after-tax assets are not subject to required minimum distributions (RMDs) in retirement.

However, a Roth conversion itself can lead to significant tax consequences because any amount converted from a pre-tax account to an after-tax account is taxed as ordinary income during the year in which the conversion takes place. This makes it important to carefully plan the timing of your Roth conversion. The following considerations can help you get the timing right.

Consideration #1 – The nuances of a Roth conversion

A Roth IRA conversion, sometimes called a backdoor Roth strategy, is a way to participate in a Roth IRA when your income exceeds the standard eligibility limits. The converted amount is treated as taxable income and may affect your tax bracket, increasing your federal, state and local tax exposure. If you are subject to an RMD in the year of conversion, the RMD must be completed before the conversion can take place.

To qualify for tax-free withdrawals, you must generally be age 59½ and have held the converted funds in the Roth IRA for at least five years. Each conversion has its own five-year minimum period, and early withdrawals may be subject to a 10% early withdrawal penalty unless an exception applies. Income limits still apply for future direct Roth IRA contributions.

Consideration #2 – Your anticipated annual income

The amount you convert from a tax-deferred account, such as a 401(k) or traditional IRA, to a Roth account is taxable as ordinary income during the year in which the conversion takes place. If this amount bumps you up into a higher tax bracket, you may face higher taxes than anticipated.

The best timing for a Roth conversion is during a year in which your income is less than normal. For example, maybe you took some time away from work or made a sizable charitable donation that reduced your income enough that you fall into a lower-than-normal tax bracket. This could be a great time for a Roth conversion.

Consideration #3 – Current market conditions

It may make sense to initiate a Roth conversion during a year in which your portfolio value drops. If you sell assets from a tax-deferred retirement account when the value dips, you will likely pay taxes on fewer assets. As long as you have enough time to recover, you can reinvest those assets in a Roth IRA and position them for future growth and tax-exempt appreciation.

For example, let’s say the value of your traditional IRA was $150,000 at the beginning of the year. Due to market volatility, the value has dropped to $100,000. If you initiate a Roth conversion on the lower asset value, you will owe taxes on $100,000 instead of $150,000. If you then reinvest the $100,000 in your Roth IRA, you can position the assets for a future market recovery.

Keep in mind that correctly timing the market is incredibly difficult, and there are other important factors that should be taken into consideration. Be sure to consult with an experienced wealth manager before taking action.

Consideration #4 – Your investment time horizon

The longer your assets are invested in a Roth account, the more effective your conversion will be. That’s because you need to give your assets enough time to grow tax-free in order to overcome the tax liabilities of the conversion itself. For example, if you are within just a few years of retirement, you may not have enough time to grow your Roth assets enough to make up for the tax liability of completing the conversion.

Your wealth manager can run various projections to help you determine whether a Roth conversion makes sense, based on your investment time horizon, potential tax exposure and future goals.

Consideration #5 – Your legacy goals

If your goals include passing along a sizable inheritance to your loved ones, there are two main estate planning benefits to completing a Roth conversion.

1. Tax-exempt distributions to your heirs – Withdrawals from Roth IRAs are generally exempt from federal income taxes, which can lead to tax savings for your heirs.
2. A longer time horizon for growth – Because Roth assets are not subject to RMDs, they are able to remain invested for a longer period of time. This provides an opportunity for enhanced growth and asset accumulation.

When NOT to complete a Roth conversion

Typically, it does not make sense to complete a Roth conversion in the following situations.

• You expect to fall into a lower tax bracket in the future.
• The conversion will bump you up into a higher tax bracket for the year.
• You are experiencing a year with high taxable investment gains.
• You will need access to the money within five years (example, as a withdrawal in retirement), as there is a five-year waiting period to withdraw Roth IRA funds without a penalty.
• You plan to bequeath your IRA to a charity after you die. (It’s generally better to make a tax-free charitable donation of appreciated securities.)
• You do not have enough cash on hand to pay the additional taxes that result from the conversion.
• You recently experienced an event that resulted in a large lump-sum payout, such as a business sale, significant bonus, deferred compensation payout, etc.
• You are 65 or older and collecting Medicare. In this situation, the Roth conversion may push you into a higher tax bracket, which could result in higher monthly premiums.

If you are considering a Roth conversion, it’s important to work with a qualified wealth manager who can help you weigh the pros and cons in relation to your specific financial situation, tax exposure, investment time horizon, risk tolerance and more.

At North Oaks Wealth Management, we support clients in building strong financial futures, one brick at a time. If you could use some help determining whether a Roth conversion makes sense for you, we would love to have a conversation. Please schedule a call to learn more.