Year-End Tax Tips If You’re Divorcing

Divorce is emotional — but don’t let taxes add to the stress. A few smart moves before Dec. 31 can save you time, money, and headaches later.

1) Check your filing status

Final by year-end? You’ll file Single or Head of Household (if you qualify). Not final? Options may include Married Joint, Married Separate, or Head of Household if you’ve lived apart 6+ months.

2) Confirm who claims the kids

This is a top reason returns get rejected. Decide now, and consider filing Form 8332.

3) Update your W-4

A change in income or support can shift your tax bill — adjust now to avoid surprises.

4) Contribute to retirement accounts

401(k)s and IRAs can lower taxes today or in the future.

5) Look at investment gains/losses

Losses can offset gains — decide who gets to claim what.

6) Understand property transfers

No tax now, but cost basis matters when you sell.

7) Track charitable giving

Know who’s claiming donations this year. 

😎Stay organized

Keep records — it makes filing (and future decisions) easier. A quick tax check before year-end can save you big next spring.