The smartest August money moves are to review 529 education savings, prep your open-enrollment choices, reassess cash and fixed income ahead of possible rate changes, and track 2025 tax proposals with a year-end strategy in mind.
1) Review Education Savings and 529 Plans
Tuition bills and supply runs make August a natural checkpoint. Revisit:
- Current 529 contributions and beneficiaries
- Whether you’re on track for near-term tuition needs
- If a 529 fits goals for a child, grandchild, or your own continued education
Tip: Automate contributions and note gift-tax rules and qualified expense categories.
2) Get Ready for Open Enrollment
Open enrollment is often a once-a-year window. If your job or family situation changed in 2025, line up decisions now:
- Retirement plan contributions (Traditional vs. Roth 401(k))
- Health Savings Account (HSA) eligibility and funding
- Life and disability insurance coverage levels
- Equity compensation and deferred comp elections
Create a simple checklist so you can enroll quickly when portals open.
3) Revisit Cash and Fixed Income Ahead of Potential Rate Cuts
If the Federal Reserve lowers rates later this year, yields on cash-like vehicles may shift. Consider:
- The role of high-yield cash versus short-duration bonds
- Laddering to balance reinvestment risk and liquidity for near-term goals
- Aligning holdings with time horizon, risk tolerance, and tax considerations
4) Track 2025 Tax Proposals and Plan Proactively
Several federal tax proposals are being discussed in 2025. Details can change, but it’s smart to:
- Model capital gains scenarios
- Review bracket management and charitable strategies
- Coordinate business deductions and retirement plan opportunities
We’ll keep clients updated as specifics emerge and discuss year-end moves if appropriate.
Plan What’s Next
Everyone’s situation is unique. A brief strategy session can help you enter fall with clarity—whether you want to refine education savings, finalize open-enrollment elections, or tune your cash and bond mix.
Schedule a conversation (in person in White Bear Lake or via Zoom).
Enjoy the rest of your summer,
Ryan Johnson, CFP®, APMA™
Financial Advisor
4637 White Bear Pkwy
White Bear Lake, MN 55110-3300
Ready to learn more? Get started by
requesting a complimentary initial consultation whenever it’s convenient for you.
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