Why the Next 10 Weeks Matter More Than April
April is when you report your taxes. December is your last chance to change them. Once the calendar flips to January 1, 2027, most of the moves that lower your 2026 tax bill are gone for good.
This year matters even more. 2026 is the first full year under many provisions of the One Big Beautiful Bill Act (OBBBA). That means new deductions, higher limits, and a few new traps. For small business owners and families in Kendall and across Miami-Dade, a quick year-end review can easily be worth thousands of dollars.
Below are the numbers you need, the moves that matter most, and a simple checklist to work through before December 31.
Key 2026 Tax Numbers at a Glance
These are the official limits for tax year 2026 (the return you will file in 2027).
| Item | 2026 Limit |
|---|---|
| Standard deduction, married filing jointly | $32,200 |
| Standard deduction, single | $16,100 |
| Standard deduction, head of household | $24,150 |
| 401(k) / 403(b) / 457 employee deferral | $24,500 |
| 401(k) catch-up, age 50+ | $8,000 |
| 401(k) “super” catch-up, ages 60–63 | $11,250 |
| Traditional / Roth IRA contribution | $7,500 (+$1,100 catch-up at 50+) |
| SEP IRA | Up to $72,000 (25% of compensation) |
| HSA, self-only / family | $4,400 / $8,750 |
| SALT deduction cap | $40,400 (phases down at higher incomes) |
| Section 179 expensing | About $2.5 million, indexed for inflation |
| Bonus depreciation | 100% for qualifying property |
| Senior deduction, age 65+ | Up to $6,000 per person (2025–2028) |
| Charitable deduction for non-itemizers | $1,000 single / $2,000 joint (new in 2026) |
Sources: IRS / Rev. Proc. 2025-32 summary, 2026 retirement plan limits, OBBBA overview.
5 Year-End Moves for Small Business Owners
1. Time your equipment purchases
OBBBA restored 100% bonus depreciation and raised Section 179 expensing to about $2.5 million. If you plan to buy a work vehicle, computers, machinery, or office furniture, buying before December 31 can let you deduct the full cost on your 2026 return.
One important detail: the asset must be placed in service by December 31. Ordering it is not enough. Also, Section 179 cannot create a business loss, so the right mix of Section 179 and bonus depreciation depends on your numbers.
2. Manage income and expenses across the calendar line
If you use cash-basis accounting, you have some control over timing. Paying January rent, supplies, or vendor bills in December moves the deduction into 2026. Sending some invoices in late December, so payment arrives in January, can push income into 2027.
This works best when you expect a similar or higher tax bracket next year. If 2027 looks like a bigger year, the opposite strategy may make sense.
3. Protect your QBI deduction
The 20% Qualified Business Income (QBI) deduction is now permanent. For many LLCs, S corporations, and sole proprietors, it is the single largest deduction available. Owners near the income thresholds, especially in service businesses, can sometimes stay eligible through retirement contributions or expense timing.
4. Open or fund a retirement plan
A retirement plan lowers your tax bill and builds your own wealth. Self-employed owners can put up to $24,500 into a Solo 401(k) as the employee, plus an employer contribution. A SEP IRA allows up to 25% of compensation, capped at $72,000.
Timing matters: a Solo 401(k) generally must be established by December 31 to accept employee deferrals for 2026. A SEP IRA can usually be opened and funded up to your filing deadline.
5. Clean up your books now, not in March
Reconcile bank and credit card accounts, review your payroll, and collect W-9s from your contractors (under OBBBA, the 1099-NEC filing threshold rises from $600 to $2,000 for payments made in 2026). Also compare your sales records with any Form 1099-K you expect from PayPal, Square, Stripe, or Venmo. Our guide on IRS Form 1099-K and digital payment apps explains how to avoid mismatch notices.
5 Year-End Moves for Individuals and Families
6. Max out your workplace retirement plan
You can defer up to $24,500 into a 401(k) or 403(b) in 2026, plus $8,000 if you are 50 or older. If you are between 60 and 63, the special catch-up rises to $11,250. Payroll deferrals must happen by December 31, so ask HR now about raising your contribution for the last few paychecks.
7. Fund your HSA and use your FSA
If you have a high-deductible health plan, an HSA is triple tax-advantaged: deductible going in, tax-free growth, and tax-free for qualified medical costs. The 2026 limits are $4,400 for self-only and $8,750 for family coverage. If you have an FSA instead, check your plan’s deadline so you don’t lose unspent dollars.
8. Decide: itemize or take the standard deduction?
The SALT cap jumped from $10,000 to $40,400 for 2026, although it phases down for higher earners. Florida has no state income tax, so for most local homeowners SALT means property taxes plus sales tax. With high Miami-Dade property taxes and a mortgage, many families who stopped itemizing in 2018 may want to run the numbers again.
If you are close to the line, consider “bunching”: concentrating charitable gifts or elective expenses into one year to clear the standard deduction.
9. Plan your charitable giving
Starting in 2026, even non-itemizers can deduct cash gifts to charity: up to $1,000 for single filers and $2,000 for married couples filing jointly. Itemizers face a new rule this year: only gifts above 0.5% of your adjusted gross income count. Keep written receipts for every donation, and make sure gifts clear by December 31.
10. Claim the new OBBBA deductions
Several temporary deductions run from 2025 through 2028. These include up to $6,000 per person for taxpayers 65 and older, plus deductions for qualified tips and overtime pay for eligible workers. Each has income limits and recordkeeping rules. Review your pay stubs now and keep records that separate tips and overtime from regular wages.
What Florida Taxpayers Should Keep in Mind
Florida’s lack of a personal income tax simplifies a lot, but it does not remove every state issue.
- C corporations: Florida has a corporate income tax and has historically not followed federal bonus depreciation in full. A big equipment purchase can look very different on your Florida return than on your federal one, so model both before you buy.
- Homestead exemption: If you bought a home in Miami-Dade this year, file for the homestead exemption by March 1, 2027. It lowers your property taxes and caps future assessment increases.
- Florida eServices: Sales tax and reemployment tax filings now run through the state’s digital system. Make sure your account and payment details are current before year-end filings. See our 2026 Tax Guide for details.
Your Year-End Tax Checklist
| Deadline | Action |
|---|---|
| Now through November | Book a year-end planning meeting and project your 2026 income |
| December 31, 2026 | Place equipment in service to claim Section 179 or bonus depreciation |
| December 31, 2026 | Make final 401(k) payroll deferrals and set up any new Solo 401(k) |
| December 31, 2026 | Make charitable gifts and pay deductible expenses you want in 2026 |
| December 31, 2026 | Take required minimum distributions (RMDs) if you are 73 or older |
| January 15, 2027 | Pay your fourth-quarter 2026 estimated tax |
| February 1, 2027 | Send W-2s and 1099-NEC forms to workers and contractors |
| March 1, 2027 | File for the Miami-Dade homestead exemption (new homeowners) |
| April 15, 2027 | Last day for 2026 IRA and HSA contributions |
Frequently Asked Questions
When should I start year-end tax planning? October or November is ideal. That leaves time to buy equipment, adjust payroll deferrals, and set up retirement plans before December 31.
Can I still lower my 2026 taxes after January 1? Yes, but only a little. IRA and HSA contributions can be made until April 15, 2027, and a SEP IRA can be funded until your filing deadline. Most other moves must be done by December 31.
Does buying a vehicle for my business reduce my taxes? It can, if the vehicle is used mostly for business and placed in service by December 31. The deduction depends on the vehicle’s weight, business-use percentage, and your overall income.
Should Florida homeowners itemize in 2026? Possibly. The higher SALT cap lets you deduct more property and sales tax. Combined with mortgage interest, many Miami-Dade homeowners may now exceed the $32,200 joint standard deduction.
Do I need to make a fourth-quarter estimated payment? If you are self-employed or have significant non-wage income, likely yes. The payment for 2026 is due January 15, 2027.
Plan Now, Relax in April
Every business and family is different. The right mix of moves depends on your income, your entity type, and your plans for 2027. At The Taxman 59, we help Kendall and Miami-Dade clients review their numbers before year-end, so there are no surprises at tax time.
Schedule your year-end tax review today. Call our office at 305-392-0820 or request a quote online. You can also visit us at the Kendall Executive Center, 8785 SW 165 Ave., Suite 300, Miami, FL 33193.
This article is for general information only and is not tax or legal advice. Tax rules change, and your situation may differ. Please consult a qualified tax professional before acting.
