Tax Planning: Windshield or Rearview Mirror?

It’s 2025 tax time, which means many people are gathering documents and preparing their tax returns. But there’s an important distinction that often gets missed: getting your taxes filed is not the same thing as doing tax planning. Filing a tax return is looking in the rearview mirror, it tells you what already happened. Tax planning looks through the windshield. It focuses on the decisions you can make today that will shape not just next year’s tax bill, but your long-term financial picture.

At Rather and Kittrell, we focus on that forward-looking approach. Our role is to help demystify the tax code and turn tax questions into planning opportunities. Instead of simply reporting the numbers, we step back and ask: What could we do differently going forward? What decisions today could create meaningful tax savings over time?

Here are a few recent examples of the kinds of questions we’ve been helping clients work through:

1. Charitable Giving – “Can I give to charity in a way that will reduce my taxes?”**
2. Roth vs. Pre-Tax Decisions – “If I switch my contributions to Roth, how will that impact my taxes now and in the future?” “Should I consider a Roth conversion this year or wait?”
3. Business Owner Planning – “I own my own business. What type of retirement plan makes the most sense for me?”
4. Order of Withdrawals – “When pulling from accounts with different tax treatment, how do I determine which account to draw from and when?”

**Tax Note for 2026: New deduction for cash donations to charity—up to $2,000 for married couples filing jointly or $1,000 for single filers. To claim this deduction, you must take the standard deduction. In other words, even if you don’t itemize, certain charitable gifts may now provide a direct tax benefit.

Taxes may never be the most exciting topic.

But paying less over time? That tends to get people’s attention and that’s exactly where thoughtful, forward-looking tax planning can make a meaningful difference.

Sam Paganelli, CFA® CFP® is an Advisor with Rather & Kittrell. He is available at [email protected].

This article is for general educational purposes only and is not intended as individualized tax, legal, or investment advice. Rather & Kittrell does not provide tax or legal advice. Tax planning strategies should be reviewed with your qualified tax professional and may vary based on individual circumstances and changes in law.