Stephen Merritt, CPA, PC  |  Certified Public Accountants  |  (757) 420-5778
233 Business Park Drive, Suite 104, Virginia Beach, VA 23462

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January 2026:

• Happy New Year…Consider These Tax Resolution Ideas
• It’s Tax Time! Ideas to Get Organized
• Five Great Money Tips
• Tech Breakthroughs You Should Know About

Happy New Year…Consider These Tax Resolution Ideas

Every January brings a familiar ritual. We promise to eat better, exercise more, and finally organize the garage. These are fine goals, but if you want a resolution that delivers real, measurable value, fewer taxes paid over your lifetime is about as concrete as it gets. Here are three possible resolutions to consider:

Resolution #1: Maximize use of your retirement accounts

One of the simplest ways to lower your current tax bill is by maximizing contributions to 401(k)s, IRAs and similar accounts. You can also defer taxes by maximizing contributions into 401(k)s and Traditional IRAs or reduce your taxes in the future by considering Roth accounts. Some other great tips:

• Ensure you are taking advantage of catch-up contributions.
• Always contribute to take advantage of any employer matching programs.
• Take full advantage of SEP IRAs as a small business owner.
• Look to create additional accounts when possible through spousal retirement accounts or youth accounts when children have earned income.

This resolution can be rich with tax saving ideas.

Resolution #2: I will keep my tax records organized.

If tax season feels like a scavenger hunt through old emails and crumpled receipts, organization should be high on your list. Remember, if you can’t support a deduction, you can’t take it. This is especially true if you run a small business, if you want to take advantage of things like the new $1,000 ($2,000 joint) charitable contribution deduction, or claim the teacher out-of-pocket expense deduction. The same is true with educational expenses.

Resolution #3: Commit to paying health costs tax efficiently

A health savings account (HSA) is one of the most powerful tax saving tools in the tax code. Contributions are often deductible, with earnings on funds in the account usually tax-free. Plus qualified medical withdrawals are also tax-free. So try to maximize your eligible donation into your HSA each year, including catch-up contributions. Then invest your unused funds to grow tax-free. Leaving the HSA untouched allows it to function like a stealth retirement account. Years down the road, those funds can be used for healthcare costs that almost everyone faces, often with significant tax advantages.

Making taxes a year-round conversation

Taxes are not a once-a-year event. Life changes like income shifts, business activity, investments, or family milestones can all affect your strategy. This year, choose a resolution that quietly compounds, rewards consistency, and pays you back every April.

It’s Tax Time! Ideas to Get Organized

With tax season officially underway, here are several ideas to make filing your return as stress-free as possible:

Gather your tax information for filing.
Items you’ll need include K-1s, W-2s, 1099s and other forms you receive from your business, employers, brokers, banks, and others. If you find any errors, contact the issuer immediately to request a corrected copy. And if you have tip or overtime income, be prepared to break this income out to take advantage of tax-free savings as this will not necessarily be broken out on your W-2.

Organize your records.
Once you’ve started gathering your information, find a place in your house and put all the documents there as you receive them, or consider scanning documents to store on your computer. You can also take pictures of the documents with your phone as backup. Missing information is one of the biggest reasons filing a tax return becomes delayed.

Create an April 15th reminder.
This is the deadline for filing your 2025 individual income tax return, completing gift tax returns, making contributions to a Roth or traditional IRA for 2025, and for paying the first installment of 2026 individual estimated taxes.

Know the deadlines for business returns.
If you are a member in a partnership or a shareholder in an S corporation, the deadline for filing business returns for these two entities is March 16th. Calendar-year C corporation tax returns are due by April 15th.

Review your child’s income.
Your child may be required to file a 2025 income tax return. A 2025 return is generally required if your child has earned more than $15,750, or has investment income such as dividends, interest, or capital gains that total more than $1,350.

Contribute to your IRA and HSA.
You can still make 2025 IRA and HSA contributions through either April 15th or when you file your tax return, whichever date is earlier. The maximum IRA contribution for 2025 is $7,000 ($8,000 if age 50 or older). The maximum HSA contribution is $4,300 for single taxpayers and $8,550 for families.

Calculate your estimated tax if you need to extend.
If you file an extension, you’ll want to do a quick calculation to estimate your 2025 tax liability. If you owe Uncle Sam any money, you’ll need to write a check by April 15th even if you do extend.

Tech Breakthroughs You Should Know About

A new wave of technology is quietly reshaping the world. Here are several tech breakthroughs you should know about that are real, rising fast, and ready to impact your life.

Spatial Computing: The Next Digital Frontier.

Imagine putting on a pair of glasses and seeing digital objects pop into your real world like a coworker sitting across from you, a 3D model floating in your living room, or step-by-step repair instructions hovering over a broken appliance. This is spatial computing. It’s a mix of augmented reality, virtual reality, and motion tracking that lets technology understand physical space like we do. Companies like Apple are already betting big on it, but it’s not just for gamers or techies.

What it means for you: You could soon try on clothes without stepping into a store, design your kitchen in 3D before you remodel, or learn new skills in fully interactive virtual spaces.

Availability: Still expensive and not yet mainstream, but real and in use.

Digital Twins: Virtual Copies That Think Like the Real Thing

A digital twin is a high-tech copy of something real like a building, a car engine, a factory, or even your body, recreated in virtual space and fed real-time data. These virtual versions let engineers, doctors, and city planners test ideas, spot problems, and predict outcomes without ever touching the real thing. Airlines use them to monitor jet engines mid-flight. Hospitals use them to plan surgeries. Entire cities are building digital twins to manage traffic, pollution, and energy use.

What it means for you: Behind the scenes, digital twins will help make your world run smoother – from shorter wait times at the doctor to fewer traffic jams on your commute.

Availability: You’re unlikely to use one directly, but cities, hospitals, and industries around you may already be using them.

Wearable Tech: Smart Devices That Stick With You

Wearable technology has come a long way from step counters and smartwatches. Today’s wearables can track your heart rate, stress levels, sleep cycles, hydration, even blood sugar, all from patches, rings, or tiny sensors you barely notice. Some are worn on the skin, others are woven into clothes, and a few are even exploring brainwave monitoring to boost focus or improve sleep. This new wave of wearables isn’t just about fitness, it’s about full-body awareness and personalized health.

What it means for you: Your next health checkup might start on your wrist or your skin, helping you catch problems early, manage stress, and optimize how you feel day to day.

Availability: More advanced devices like smart tattoos or neural wearables are in R&D or early trials.

Quantum Computing: The Next Leap in Brainpower

Quantum computers don’t think like normal computers. Instead of using bits that are either 0 or 1, they use qubits, which can be both 1s and 0s at once, thanks to the strange rules of quantum physics. This allows quantum machines to explore many possibilities at the same time, making them incredibly powerful for solving complex problems. Scientists are already using them to model new molecules, test climate scenarios, and explore next-gen encryption.

What it means for you: In the near future, quantum breakthroughs could speed up drug discovery, protect your data with ultra-secure encryption, and help tackle global challenges we can’t solve with today’s tech.

Availability: Most quantum computers still live in research labs, but tech giants are racing to bring them into the real world.

These technologies aren’t science fiction, they’re already taking shape. And as they evolve, they’ll continue changing how we live, work, and connect.

As always, should you have any questions or concerns regarding your tax situation please feel free to call.

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Tax Season Hours:

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