Your 2025 Financial Planning Outlook: Navigating Key Changes and Opportunities
By: Lisa Manzolillo, CFP®, CDFA® and Anthony Santoro, Esq.
As we step into 2025, it's the perfect time to dust off your financial plan, review what worked in 2024, and make necessary adjustments to stay on track with your goals. Financial planning isn’t just about setting and forgetting; it’s about actively managing, adapting, and taking advantage of emerging opportunities.
That’s why we put together a guide on what you should focus on for the year to stay financially fit. From understanding new contribution limits to preparing for estate tax changes, here’s your 2025 financial planning outlook.
Start with a Financial Health Checkup
Begin the year by reviewing last year’s financial plan and accomplishments:
- Goals Review. Assess where you stand in terms of your financial goals. Are you on track, or did your spending and savings differ from projections?
- Progress Check. Review any tasks you set for last year. Tasks left incomplete should be prioritized in the new year.
Updated Contribution Limits and Tax Brackets
Qualified Plan Limits
For 2025, several retirement plan contribution limits have increased:
New Catch-Up Contribution. Beginning in 2025, participants ages 60-63 will have the opportunity to make additional catch-up contributions to their defined contribution retirement plans, as part of the SECURE 2.0 Act.
Income Tax Brackets
The IRS has released tax inflation adjustments for the tax year 2025. Here's a simplified overview of the 2025 tax brackets:
*The only changes between 2024 and 2025 were inflationary adjustments.
Retirement Contributions
If you haven’t made your 2024 retirement contributions to your IRA or Roth IRA you can still do so before April 15th.
For those self-employed, you can establish a SEP IRA and still make a deduction for 2024 before you file your taxes. For those Solo 401(k) plans remember you have the option to make your employer contribution before your annual filing.
Important Changes to Inherited IRAs
Recent IRS regulations have reaffirmed new withdrawal periods for inherited IRAs. There are two sets of rules.
- Instead of spreading distributions over a lifetime, beneficiaries must now withdraw the entire balance within 10 years, depending on their circumstances.
- If you inherited from somebody who was already taking their RMDs at death the IRS now requires that you take an RMD each year in addition to ensuring the account is depleted in 10 years.
New Presidential Administration
It's important to stay informed about proposed financial regulations that may be coming. These potential changes could significantly impact your financial planning strategies for 2025 and beyond.
Estate and Income Tax Sunsetting
As the Trump administration settles into its second term, everyone is closely watching for potential changes to the estate and income tax exemption that’s set to expire on December 31st, 2025. While President Trump has historically favored maintaining or even increasing these limits, the exact policy direction remains unclear.
Keep your estate planning flexible and consult with a financial professional who can help you adapt to potential changes quickly. While we wait to see what the verdict is, consider strategies that can capitalize on the current high exemptions while remaining adaptable to future shifts.
Charting the Course for 2025
By staying proactive and informed, you'll be well-positioned to make the most of your finances in 2025. Consult with your Simon Quick financial advisor, tax professional, or estate attorney to tailor these strategies to your specific circumstances and to navigate complex financial landscapes more effectively.
For more information on how Simon Quick can support your planning, reach out to us by email or phone: info@simonquickadvisors.com | 973-525-1000.
About Lisa Manzolillo, CFP®, CDFA®
Director / Client Advisor / Principal
Ms. Manzolillo joined Simon Quick in 2018 and she has over 20 years of wealth management experience. Lisa is passionate about financial planning and working with individuals and families to create a plan that incorporates their goals and values. Lisa also specializes in working with women going through life transitions such as a divorce, widowhood, or retirement. Ms. Manzolillo serves as the chair of Women@SQ, which is dedicated to educating and enhancing the personal and professional lives of women in the Simon Quick network.
Prior to joining Simon Quick, Lisa worked as a financial advisor at Morgan Stanley and UBS where she provided financial planning and investment management services to high-net worth individuals and families. She began her career in a variety of roles on Wall Street including positions at Merrill Lynch and Deutsche Bank.
Ms. Manzolillo graduated summa cum laude from University of Rhode Island with a Bachelor of Science in Accounting and earned an MBA with a finance concentration from Fordham University. She became a CERTIFIED FINANCIAL PLANNER™ practitioner in January 2008 and in 2017, Lisa became a Certified Divorce Financial Analyst (CDFA). In 2021, Ms. Manzolillo was made a principal of the firm in recognition of her hard work and dedication.
Outside of work Lisa is the proud mother of two children and enjoys paddle tennis, pickle ball, downhill skiing, and water skiing.
About Anthony Santoro, Esq.
Director / Client Advisor
Mr. Santoro joined Simon Quick in 2022 and currently serves as a Client Advisor. His expertise includes tax, executive compensation, estate planning and wealth transfer. Prior to Simon Quick, Anthony worked as an attorney, where he concentrated his practice on trust and estate planning and administration, representing owners of closely held businesses and principals of private equity funds. At Simon Quick, Anthony provides clients with holistic oversight and counseling at the intersection of law and finance. Mr. Santoro also sits on the Financial Planning Committee which is responsible for identifying financial planning opportunities and disseminating guidance to advisors at the firm.
Mr. Santoro began his financial services career with Ayco, a Goldman Sachs financial planning focused firm. At Ayco, he supported the growing needs of high-net-worth individuals and their family offices. From there, he served as the Director of Financial Planning for an Upstate NY fee-based planning firm with more than $600M of assets under management. Most recently Anthony served as an Attorney in a Trust and Estates Law Firm and as a Partner and Family Office Director with their affiliated RIA.
Anthony graduated with a BS from SUNY Albany and his Juris Doctorate from Albany Law School. He is a member of the New York State Bar Association and Financial Planning Association of Northeastern New York. Anthony is a volunteer with the Flora E. Kippins Foundation and enjoys hiking and skiing with his wife and two daughters.
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