Last-Minute Tax Tips

There's still time to make these tax-savvy moves before you file.¹

Contribute to an IRA

You can contribute to a tax-deferred traditional IRA or Roth IRA for 2026 until April 15, 2027. The maximum contribution is $7,500, or $8,600 if you’re age 50 or older. You may be able to deduct the contributions to a traditional IRA from your taxes, depending on your income.² You won’t get a tax deduction from a Roth IRA, but your withdrawals will be tax-free and penalty-free if you are age 59 1/2 and meet other eligibility requirements.³

Add to Your HSA

You also have until April 15, 2027, to make a health savings account contribution for 2026 if you have a qualifying high-deductible health plan. Contributions are tax-deductible, and withdrawals to pay medical expenses are tax-free. The maximum contribution is $4,400 if you have single coverage and $8,750 for family coverage. Those age 55 and older can save an extra $1,000.

When it comes to filing your tax returns, the IRS Free File program allows most taxpayers to file their federal tax returns at no cost using software from major tax preparation companies. However, if your taxes are complicated, consider consulting a tax professional. You can also request an extension to file your return by Oct. 15, 2026, but you must pay any taxes owed by April 15. Keep these tips in mind as you make any last-minute adjustments to your tax plans.

Disclosures

¹ MissionSquare does not provide tax advice. You are encouraged to consult a tax professional to review your specific tax situation.

² Distributions from a traditional IRA are subject to federal income tax. However, no tax applies to any portion of a distribution that represents nondeductible contributions made to the IRA. In addition to income tax, you may have to pay a 10% early withdrawal penalty if you're under age 59 1/2 at the time of the distribution, although a number of exceptions apply.

³ Contributions: If you contribute to a Roth IRA, you can make tax-free withdrawals if you’ve owned a Roth IRA for at least five years (as defined by the IRS) and meet the requirements for a “qualifying event”: age 59 1/2, a “first-time” home purchase, a disability, or death (with withdrawals going to your beneficiaries). Otherwise, you may have to pay income taxes and penalties to withdraw your earnings. Withdrawals:  Roth IRA contributions can be withdrawn at any time without taxes or penalties. If you have a traditional IRA, you may not be able to withdraw your money before age 59 1/2 without paying a penalty. There can be many exceptions to the IRS rules, so carefully research all of your options.

Save More With an IRA

A traditional or Roth IRA could help you save more for your future.