Mid-Year Tax Checkup:

5 Things to Review Before December Gets Here

Most people don't think about taxes until January and by then, it's already too late to make the moves that actually save money.

July is the sweet spot. You're halfway through the year, your income picture is starting to take shape, and you still have time to make adjustments that will matter when you file.

Here are five things worth reviewing right now.

1. Check Your Withholding

If you're a W-2 employee, your employer withholds taxes from every paycheck. But life changes, a new job, a raise, a marriage, a new dependent. Each of these can throw that withholding off without you realizing it.

Too little withheld means a surprise tax bill in April. Too much means you've been giving the IRS an interest-free loan all year.

Pull up your last pay stub and check what's been withheld so far. If something feels off, now is the time to adjust your W-4 with your employer! Do not wait until December.

2. Review Your Business Income and Expenses

If you're self-employed or running a small business, July is the perfect time to pull a mid-year profit and loss statement.

Ask yourself:

• Is my income on track with last year?

• Are my expenses categorized correctly?

• Am I missing any deductions I should be tracking?

Clean books mid-year mean no scrambling at tax time. If your records are behind, catching up now is significantly easier than trying to reconstruct six months of transactions in January.

3. Confirm Your Estimated Tax Payments Are on Track

If you're self-employed, a 1099 worker, or a small business owner, you're responsible for paying taxes on your income throughout the year.

The IRS requires quarterly estimated tax payments. The remaining deadlines for 2026 are:

• Q3: September 15, 2026

• Q4: January 15, 2027

Missing these payments can result in penalties, even if you pay everything you owe when you file. If you're not sure whether you're on track, a mid-year consultation can help you calculate what you owe and avoid surprises.

4. Review Any Major Life Changes

Did anything change in your life this year? Any of the following can significantly affect your tax situation:

• Getting married or divorced

• Having or adopting a child

• Buying or selling a home

• Starting a business or side income

• Retiring or changing jobs

• Inheriting money or assets

Each of these carries tax implications (some positive, some not). Reviewing them now gives you time to plan instead of react.

5. Check In on Your Retirement Contributions

Contributing to a retirement account is one of the most effective ways to reduce your taxable income legally. If you have an IRA, 401(k), or SEP-IRA, check where your contributions stand for the year.

2026 contribution limits:

• 401(k): $23,500 ($31,000 if you're 50 or older)

• IRA: $7,000 ($8,000 if you're 50 or older)

• SEP-IRA: up to 25% of net self-employment income

If you're not on track to hit your target, adjusting now gives you six months to make it happen.

The Bottom Line

Tax season is not an event. It's the result of decisions you make all year long. A mid-year checkup takes less than an hour and can save you hundreds or even thousands of dollars when April arrives.

Not sure where to start? Our team at T.S. Simmons Financial Group offers consultations for individuals and small business owners who want to get ahead of their taxes and not just survive them.

Ready to get your mid-year finances in order?

Schedule your consultation today at tssfg.com.