Before December 31: 9 Retirement Money Moves Worth Reviewing Before 2027

The final weeks of 2026 could be an important opportunity to review your retirement finances, avoid preventable mistakes, and prepare for the new year.

By Brent Meyer | Founder, SafeMoney.com

November has a way of making the year feel like it’s almost over. The holidays are approaching. Families are making plans. And before long, everyone’s attention will turn to the new year.

But if you’re retired or approaching retirement, there’s something else worth putting on your November calendar. A year-end retirement financial review.

Some financial decisions can be made anytime. Others have deadlines that may affect your taxes, retirement accounts, charitable giving, or financial flexibility. And waiting until the last few days of December can make those decisions harder.

For example, you may need to take a required minimum distribution from a retirement account. You might want to evaluate a Roth conversion, review investment gains and losses, or determine whether your retirement withdrawals are creating unnecessary tax consequences.

None of these decisions should be made simply because the calendar is running out. But understanding your options while there’s still time can be valuable.

Here are nine retirement money moves worth reviewing before December 31, 2026.

1. Make Sure You’ve Addressed Any Required Minimum Distributions

If you’ve reached the age at which required minimum distributions (RMDs) apply, one of the most important year-end tasks is confirming whether you’ve taken the required amount.

RMDs generally apply to traditional IRAs and many employer-sponsored retirement accounts. Under current law, the starting age is generally 73 for people born from 1951 through 1959 and 75 for those born in 1960 or later, subject to applicable rules and exceptions.

For many people already taking RMDs, the annual deadline is December 31. However, the first RMD can generally be delayed until April 1 of the following year, which can result in two taxable distributions in that following year.

Why This Matters

Failing to take a required distribution can result in an excise tax on the shortfall. The applicable tax is generally 25% of the amount not withdrawn, potentially reduced to 10% if corrected within the permitted correction window.

Year-end question: Have I satisfied every applicable RMD requirement for 2026?

2. Evaluate Whether a Roth Conversion Makes Sense

A Roth conversion involves moving eligible pre-tax retirement funds into a Roth IRA and generally recognizing the taxable amount as income in the year of conversion.

Why might someone consider this before December 31? Because the amount converted in 2026 generally affects the 2026 tax year.

A Roth conversion may be useful in some circumstances, particularly if you expect your future tax situation to differ from your current one. But it can also create an immediate tax bill. And the additional taxable income may affect other financial considerations, including Medicare income-related premiums in a later year.

Year-end question: Would converting some retirement money this year support my long-term plan, or create more tax consequences than benefits?

3. Review Investment Gains and Losses Before Year-End

If you own investments in a taxable brokerage account, November and December can be useful months to review realized and unrealized gains and losses.

One strategy sometimes considered is tax-loss harvesting. This generally involves selling an investment at a loss to offset certain taxable capital gains, subject to applicable tax rules. Capital losses may also offset a limited amount of ordinary income, with unused eligible losses generally carried forward.

Be Careful About Wash-Sale Rules

If you sell securities at a loss and acquire substantially identical securities within the applicable 30-day period before or after the sale, wash-sale rules may disallow the current deduction.

Tax-loss harvesting also involves investment considerations. Selling an investment solely for a tax benefit may not be appropriate if the transaction conflicts with your overall strategy.

Year-end question: Do my taxable investment gains and losses deserve review before December 31?

4. Consider the Timing of Charitable Contributions

For retirees who support charitable organizations, year-end giving may involve tax-planning opportunities. But the tax benefits depend on the type of contribution, eligibility, and applicable rules.

One option for eligible IRA owners is a qualified charitable distribution, commonly called a QCD. A QCD allows qualifying distributions to be made directly from an IRA to an eligible charitable organization, subject to IRS requirements.

Individuals generally must be at least age 70½ when the distribution is made. Eligible QCDs may also count toward an IRA owner’s RMD.

Why the Process Matters

A QCD generally must be paid directly from the IRA to the eligible charity under applicable rules. Simply withdrawing money into your bank account and then making a donation may not qualify as a QCD.

There are also annual limits and other restrictions. For 2026, the annual QCD exclusion limit is $111,000 per eligible individual. Verify eligibility before arranging a transfer.

Beginning in 2026, eligible non-itemizers may deduct qualifying cash contributions up to $1,000, or $2,000 for married couples filing jointly. For itemizers, charitable deductions generally apply only to contributions exceeding 0.5% of adjusted gross income, subject to other applicable limits.

Year-end question: If I plan to give to charity, is there a tax-efficient way to make the contribution?

5. Look at How Your Retirement Withdrawals Affect Your Taxes

Retirement withdrawals don’t all receive the same tax treatment.

Money withdrawn from a traditional IRA is generally taxable to the extent it represents previously untaxed amounts. Qualified Roth IRA distributions may be tax-free.

Taxable investment accounts can involve capital gains or losses. And annuity withdrawals can have different tax treatment depending on the type of contract and funding source.

Why Withdrawal Order Matters

Suppose you need additional money for holiday travel, a major home repair, or another expense. You might have several accounts from which you could withdraw. But the tax consequences could be different.

Taking a large traditional IRA distribution near year-end could increase taxable income. Selling appreciated investments could trigger capital gains. Using accessible cash may avoid creating additional taxable income, although it reduces your cash reserves.

There is no universal best withdrawal order.

Year-end question: Am I withdrawing money from the most appropriate accounts for my circumstances?

6. Consider How 2026 Income Could Affect Future Medicare Premiums

Some retirees are surprised to learn that their Medicare premiums can be affected by income from prior tax years.

Medicare uses income-related monthly adjustment amounts, commonly called IRMAA, for certain Part B and Part D premiums. These adjustments generally use tax information from two years earlier. That means certain financial decisions affecting your 2026 income may influence Medicare premium calculations for 2028.

Examples of income-producing decisions can include:

• Roth conversions.
• Large traditional IRA withdrawals.
• Realized investment gains.
• Certain other taxable income events.

This doesn’t mean you should avoid every transaction that increases income. It means Medicare premium effects should be considered as part of the decision.

Year-end question: Could a financial transaction I make before December 31 affect my future Medicare costs?

7. Review Beneficiaries and Important Financial Documents

Not every valuable year-end financial task involves taxes. November can also be a good time to review the people and instructions associated with your financial accounts.

Consider checking beneficiary designations on:

• IRAs and 401(k)s.
• Annuity contracts.
• Life insurance policies.
• Other accounts with designated beneficiaries.

Marriage, divorce, deaths, births, and changing family relationships can all create reasons to revisit these designations.

Don’t Assume Your Will Controls Every Account

Many retirement accounts and insurance contracts transfer according to their beneficiary designations and applicable rules. A will may not override those designations.

It may also be helpful to review powers of attorney, healthcare directives, and other estate-planning documents with qualified professionals.

Year-end question: Do my beneficiary designations and important documents still reflect my wishes?

8. Rebuild Your Emergency and Short-Term Savings

If you’ve used some savings during 2026, year-end is a good time to evaluate what’s left. Perhaps you paid for home repairs, helped a family member, replaced a vehicle, or covered an unexpected medical bill. These expenses may have reduced your available cash.

Retirees often need accessible resources for costs that cannot be predicted precisely. A reserve may help reduce the need to sell investments during unfavorable market conditions or withdraw money from contracts with restrictions.

Review Your Liquidity

Consider how much you have in accessible savings, upcoming expenses, CDs approaching maturity, and other liquid resources. Also review whether your savings arrangements are appropriate for your needs and whether applicable deposit insurance limits are understood.

Year-end question: If an unexpected expense occurs in early 2027, where will the money come from?

9. Update Your Retirement Plan for 2027

The final year-end move is also one of the simplest. Take another look at your overall retirement picture.

Your income, expenses, health, family circumstances, and priorities may have changed during 2026.

Perhaps your living expenses increased. Maybe you retired earlier than expected. You may have started Social Security, received an inheritance, paid off debt, or experienced an unexpected expense. These changes can affect your plans for the coming year.

Your 2027 Retirement Review

A retirement plan doesn’t need to be complicated to be useful. But it should reflect your actual circumstances.

Year-end question: Am I entering 2027 with a financial plan that reflects my life today?

Which Retirement Decisions Have December 31 Deadlines?

Not every year-end task has the same deadline.

Financial institutions may impose processing cutoffs before December 31. Waiting until the final business days of the year can increase the risk of missing an intended transaction.

Frequently Asked Questions About Year-End Retirement Planning

What is the most important year-end financial task for retirees?

It depends on individual circumstances. For someone subject to required minimum distributions, confirming the correct amount has been withdrawn by the applicable deadline may be particularly important. Other retirees may benefit more from reviewing taxes, liquidity, beneficiaries, or income needs.

Do all retirees have to take required minimum distributions?

No. RMD requirements depend on age, account type, and other circumstances. Roth IRAs generally don’t require lifetime RMDs for their original owners, while traditional IRAs generally do once the applicable age is reached.

Can I complete a Roth conversion after December 31 and count it for 2026?

Generally, a Roth conversion completed in 2027 is a 2027 tax-year transaction. Unlike certain IRA contribution rules, conversions generally cannot be made after year-end and retroactively assigned to the prior tax year.

Can charitable giving reduce taxes in retirement?

Potentially. Tax effects depend on the type of contribution, the taxpayer’s circumstances, and applicable rules. Qualified charitable distributions may provide a particular benefit for eligible IRA owners, but they must meet IRS requirements.

Can Roth conversions increase Medicare premiums?

Yes. A taxable Roth conversion can increase modified adjusted gross income, which may affect income-related Medicare Part B and Part D premiums in a later year.

Should I withdraw more money from my IRA before December 31?

Not necessarily. Additional withdrawals can create tax consequences and reduce retirement assets. The decision should reflect your spending needs, RMD obligations, tax situation, and long-term plan.

Do I need to update beneficiaries every year?

There is generally no requirement to change beneficiaries annually. However, reviewing them periodically and after major life events can help ensure they remain consistent with your wishes.

Is November too early to start year-end retirement planning?

No. November can provide valuable time to gather statements, review your tax situation, contact financial institutions, and make decisions before year-end processing deadlines.

The Best Time to Review Your Retirement Finances Is Before a Deadline Becomes an Emergency

Retirement planning isn’t something you complete once and forget. It changes as your life changes. And the final weeks of the year provide an opportunity to review decisions that could affect your financial situation for years to come.

You may discover that everything is already in good order. Or you may identify a tax issue, missed distribution, outdated beneficiary designation, or upcoming expense that deserves attention.

The goal isn’t to make nine financial moves before December 31. It’s to know which of these nine decisions actually matter to you.

A thoughtful review today may help you enter 2027 with greater clarity and confidence.

Continue Planning With SafeMoney.com

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Important Consumer Disclosure

This article is provided for general educational and informational purposes only. It is not individualized investment, securities, insurance, financial, tax, legal, or estate-planning advice, and it is not a recommendation to buy, sell, exchange, surrender, or withdraw from any financial product.

Tax laws, retirement account rules, Medicare provisions, and deadlines can change. Specific eligibility requirements, exceptions, and state rules may apply.

All numerical examples are hypothetical and do not represent actual tax outcomes, investment results, or individualized recommendations.

Retirement account distributions, Roth conversions, charitable contributions, investment sales, and other transactions may create tax consequences or affect benefit eligibility. Consult qualified tax, legal, and appropriately licensed financial professionals as applicable.

Investment products involve risks, including possible loss of principal. Annuities and other insurance contracts are subject to their terms, limitations, costs, and the issuing insurer’s financial strength and claims-paying ability.

SafeMoney.com is an educational platform and provides an independent financial advisor directory. Directory inclusion is not an endorsement or independent verification of professional qualifications or suitability.

Official Educational References

• Internal Revenue Service — Required Minimum Distributions: https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-required-minimum-distributions-rmds
• Internal Revenue Service — Retirement Plans: https://www.irs.gov/retirement-plans
• Internal Revenue Service — Roth IRA Information: https://www.irs.gov/retirement-plans/roth-iras
• Internal Revenue Service — Charitable Donations: https://www.irs.gov/charities-non-profits/charitable-organizations/charitable-contribution-deductions
• Internal Revenue Service — Capital Gains and Losses: https://www.irs.gov/taxtopics/tc409
• Medicare — Official Website: https://www.medicare.gov/
• Social Security Administration — Medicare Premiums: https://www.ssa.gov/benefits/medicare/medicare-premiums.html
• SEC Investor.gov — Investor Education: https://www.investor.gov/

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