Your Mid-Year Financial Planning Checklist for 2025
Take a few moments to check in now, so you can head into December confident you’re still on track.
Scroll to the bottom for a downloadable checklist!
It’s always surprising how quickly the year goes by. Hard to believe we’re already past the halfway point of 2025!
I find that the middle of the year (and end of summer) is the perfect time to pause, take stock (no pun intended), and make sure the year will finish how you want it to, financially speaking.
By reviewing these eight key areas now, you’ll avoid last-minute surprises in December and set yourself up for a smoother finish to the year.
Here’s a simple mid-year financial planning checklist to help guide your review!
1. Review Your 2025 Savings Progress
Start by checking whether you’re on pace to hit your 2025 annual savings goals.
Are your 401(k), IRA, or taxable account contributions on track?
If you’ve received a raise or bonus, consider increasing contributions for the rest of the year.
Not sure how to identify the right annual savings number for you?
I recently covered this in detail in “How Much Should You Save for Retirement This Year?”
2. Maximize Your Tax-Advantaged Accounts
Once you’ve determined “how much” to save, you then need to decide on “where” to save it.
Retirement accounts are a great place to start, given their preferential tax treatment.
Retirement account contribution limits for 2025 are as follows:
401(k), 403(b), 457 plans:
Under age 50: $23,500
Age 50–59: up to $31,000 (includes $7,500 catch-up)
Age 60–63: up to $34,750 (includes the enhanced $11,250 super catch-up under SECURE 2.0, if plan allows)
Mega Backdoor 401(k):
If your 401(k) plan permits after-tax contributions and in-plan Roth conversions, you can contribute beyond the above limits, up to the total annual additions limit (including employer contributions) of:
Under Age 50: $70,000
Age 50–59: $77,500
Age 60–63: $81,250
IRAs:
Under Age 50: $7,000
Over Age 50: $8,000
HSAs (must participate in a high-deductible health plan):
Individual: $4,300, plus $1,000 catch-up if aged 55+.
Family: $8,550
Just to remind you, you may contribute to both a 401(k) and an IRA, assuming you have earned income.
You may not necessarily receive a tax deduction for both, given your household income.
Maxing out these accounts, especially in higher-income years, can give you a meaningful boost toward retirement while lowering today’s tax bill, as you’re subject to higher rates.
Don’t forget to make the right decision on pre-tax vs. Roth contributions!
Choosing between pre-tax contributions (which lower taxable income today) and Roth contributions (which allow for tax-free withdrawals later) depends on your current income level, expected tax bracket in retirement, and long-term planning goals.
A mid-year review is a great time to revisit which mix makes the most sense for you. You can ask your financial planner which they might prefer for you.
3. How’s Our Spending?
You don’t have to track every dollar to be financially responsible..
If you already have a solid grasp on your spending, are saving consistently each month, and feel comfortable living within your means, then detailed tracking likely isn’t necessary.
For many people, a quick review once a year is enough to confirm things are looking good.
On the other hand, if money feels a little tighter month-to-month, or if you’re unsure where your cash flow is going, it may make sense to track spending more closely for a period of time.
Using a budgeting tool like Monarch Money, which has an intuitive, easy-to-use interface, can give you greater visibility and help you identify areas to adjust.
The goal isn’t to be perfect; every month will be an exception to the rule. Just make sure that you’re getting the basics right. Being purposeful with your spending, living below your means, and setting aside the rest.
*If you’re retired, I will encourage you to spend your income. We don’t need to be saving anymore!
4. Adjusting Your Tax Planning
Review your 2025 income and deductions to see if you’re in line with your expected tax bracket. Mid-year is a great time to consider strategies like Roth conversions, charitable giving, or harvesting investment gains or losses (depending on your current vs. future income).
This year’s new tax bill, the “One Big Beautiful Bill Act”, has introduced numerous important changes that could affect planning for many households:
High-income earners may benefit from the increased $40,000 cap on state and local tax (SALT) deductions.
Retirees can now take advantage of a new $6,000 per person senior tax deduction, which can significantly reduce taxable income.
These are two of many changes introduced by the bill. It’s important to review with your financial planner and CPA to understand what new planning opportunities should be considered.
I covered these updates in more detail in my recent article: “U.S. Tax Laws Just Changed—Here’s How You’re Impacted”.
5. Rebalance Your Investments
Summer is a great time to rebalance your investment accounts.
After all, your investments don’t all move in a straight line.
Some of your investments will have done better than others, and by now, your portfolio may look very different from where you started in January.
For example, stocks have had a great run so far in 2025. Thus, the stock portion of your portfolio may be overweight, pushing your risk above the level you’re truly comfortable with.”
Rebalancing helps you:
Bring your portfolio back in line with your target allocation.
Reduce the risk of being overexposed to one sector or asset class.
Lock in gains by trimming outperformers and reinvesting into undervalued areas.
This doesn’t mean that you constantly have to make adjustments.
Set a day on your calendar every year to consider rebalancing your accounts.
Note: Rebalancing your retirement accounts (selling certain investments and buying others) comes at no tax consequence to you, given that they have tax-sheltered treatment.
However, doing so in a “non-retirement” investment account may cause you to incur capital gains tax by selling investments at a gain. This may still be worth it for you to do, but be aware of the tax implications. Measure twice and cut once here!
6. Review Your Insurance Coverage
Insurance is one of those things people forget about until they need it.
It’s boring, it’s not fun, and your premiums probably feel like they’re rising faster than the summer sun.
That said, mid-year is a great time to ensure your coverage is still appropriate and to potentially consider shopping your rates if it’s been a while. Loyalty no longer saves you much money.
Consider:
Life Insurance: Do your policies still match your family’s needs, especially after a marriage, new child, or debt payoff?
Disability Insurance: Is your income adequately protected if you can’t work? For many professionals, this is as important as life coverage.
Property & Liability: Have home values, car values, or your net worth changed? Do you own a business? Do you have teen drivers? You’ll want to revisit your homeowner’s, auto, and umbrella liability coverages.
The goal isn’t to carry unnecessary insurance, but to make sure the right protections are in place for your current stage of life.
7. Revisit Estate Planning
Estate planning might be the one thing that people turn a blind eye to more than insurance.
Likely because it’s not required by law, unlike certain kinds of insurance.
Estate planning isn’t just about checking off the box that you have a valid will and/ or trust. It’s about ensuring your wishes are carried out smoothly and your loved ones are taken care of.
Mid-year is a great time to:
Confirm your beneficiary designations on retirement accounts and insurance policies are still correct.
Review your will and/or trust documents to reflect any life changes.
Consider whether powers of attorney and healthcare directives are up-to-date.
Even if nothing has seemingly changed, simply reviewing these documents annually can provide you peace of mind.
For families with complex assets or business interests, this review is essential to avoid future conflicts or costly mistakes.
8. Check Your Progress Toward Financial Goals
Finally, ask yourself:
Am I still on track for the retirement I envision?
Often, the best way to do this is by revisiting and re-running your financial plan. It can highlight what adjustments are needed across your finances to keep you aligned with the future you want.
By reviewing these eight areas, you’ll finish 2025 on a high note!
✅ Next Steps Checklist
Check your 2025 retirement contributions and adjust if needed.
Review your tax situation with the new tax bill in mind.
Rebalance your portfolio back to target allocations.
Update beneficiaries, wills, or trusts, if life has changed.
Check or market your insurance policies.
Schedule a mid-year financial plan review with your financial planner and CPA.
Here’s a downloadable version of the checklist for you to use!
Have any questions about what you’ve read? Let’s talk about them!
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