Greenville Life Holiday 2022 | Page 24

5 Steps for your

Presented by Joseph Killgore

You may not have started baking those pumpkin pies but I bet you are already checking out the holiday baking section at the your grocery store – I know I am ! This time of the year is also when I start thinking about how to maximize all of the tax saving strategies that are available to both my business and my family . This includes scheduling an appointment with our CPA to get input about specific items that we might deploy before the end of the year . It ’ s also a good time for investors to think about their portfolios , and their overall savings and investing approach . In between your holiday parties and family time , you may want to consider a few steps that could help minimize your tax liability for the current tax year , and position your portfolio for 2020 :

1Rebalance your portfolio : According to Schwab ’ s 2019 Modern Wealth Survey , less than 50 percent of investors have rebalanced their portfolio in the last year . Amid the increased market volatility this year , it ’ s possible investment portfolios have strayed from their original target asset allocation .

Joseph Killgore , CFP ® Independent Branch Leader and Financial Consultant
Greenville Independent Branch
3110 I-30 Frontage Road ( 903 ) 355-2574 schwab . com / greenvilletx
Over time , assets that have gained in value will account for more of your portfolio , while those that have declined will account for less . This can leave you exposed to unintended risk if the market environment should suddenly change , turning former “ winners ” into underperformers . Rebalancing means selling positions that have become overweight in relation to your target allocation and moving the proceeds to positions that have become underweight . The end of the year is a good time to take a look at your portfolio allocation and make sure it ’ s aligned to your goals and risk tolerance . This can be especially important for people nearing or in retirement , who might not be able to withstand sudden volatility .
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