Tax Planning: Frequently Asked Questions

What's the difference between tax planning and tax preparation?

Tax preparation is filing a return for a year that's already over — it reports what happened. Tax planning happens before the year ends, while you can still change the outcome: adjusting retirement contributions, timing income and sales, choosing the right business structure, and more. Preparation records your taxes; planning lowers them.

When should I start tax planning?

The best time is early in the year, so every decision has the most room to help — but it's genuinely never too late. Even late-year, year-end moves before December 31 can still change your bill. The worst time is after the year closes, when preparation is all that's left.

How much can I contribute to my retirement accounts in 2026?

For 2026, you can contribute up to $24,500 to a 401(k), with an $8,000 catch-up if you're 50 or older (a total of $32,500), and a higher $11,250 catch-up for those ages 60–63. IRA contributions are up to $7,500, with a $1,100 catch-up at 50+ (a total of $8,600). The right mix depends on your situation — that's part of what planning sorts out.

What is the QBI deduction?

The Qualified Business Income (QBI) deduction lets many pass-through business owners — sole proprietors, partnerships, and S-corporations — deduct up to 20% of their qualified business income. The rules and limits are intricate, and whether you qualify (and for how much) is exactly the kind of thing worth planning around.

How do estimated quarterly taxes work?

If you're self-employed or have income that isn't subject to withholding, the IRS expects you to pay tax throughout the year in four installments. For 2026 income, the due dates are April 15, 2026; June 15, 2026; September 15, 2026; and January 15, 2027. Paying the right amount on time avoids underpayment penalties — our guide to estimated quarterly taxes walks through it.

Do you only work with clients in New Jersey?

No. We're based in Blackwood, New Jersey, but tax planning works the same regardless of distance, and we serve clients in all 50 states. Local clients are welcome in the office; everyone else we work with remotely.

I owe back taxes or got an IRS notice — can you help?

Yes. There are established ways to resolve almost any IRS situation — installment agreements, offers in compromise, penalty relief, and more — and you don't have to deal with the IRS alone. See our tax resolution & IRS relief page, and don't ignore a notice; the earlier you act, the more options you have.

What does a consultation cost?

Your first consultation is free — a straightforward conversation about where you stand and what a plan could do for you, with no obligation. Schedule one here.

Do you also prepare tax returns?

We do — but as part of a plan, not as a once-a-year transaction. The planning is what lowers the bill; the preparation files it correctly. Clients get both under one roof.