Lesser-known ways to reduce your 2022 tax bill or boost your refund

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1. If your income is higher in 2022, defer your bonus into 2023

If you’ve had a strong year and expect lower earnings in 2023, you may try to defer a holiday bonus until the new year, experts say.

“It’s always exciting to reap the rewards of hard work by getting a year-end bonus,” said Lisa Greene-Lewis, a CPA and tax expert with TurboTax. “But sometimes that may bump you up into another tax brackets.”

However, by receiving the money in January, you may reduce 2022 income without waiting too long for the funds, assuming your company allows it, she said.

2. Prepay future medical expenses for a deduction

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For example, with multiple children in orthodontic braces, you may ask to prepay the remaining balance before year-end if you can afford it, she suggested. “The provider may also provide a discount for paying off everything sooner,” said Cheng, who’s also a member of CNBC’s Financial Advisor Council.

Of course, you’ll need to project your adjusted gross income, total itemized deductions and tally your previous 2022 medical expenses first.

3. ‘Maximize your bracket’ with a partial Roth conversion

“The bottom line is if you are in retirement or near retirement and your income is down, then you want to consider filling up enough to maximize your bracket,” said Thomas Scanlon, a CFP and CPA at Raymond James in Manchester, Connecticut.

For example, if you’re already in the 24% bracket, it’s possible there’s still room for more income before triggering 32% on the excess amount, he said.

Scanlon said partial Roth conversions work well for retirees who are “income light and asset heavy,” like someone who left the workforce with several years before they had to start taking the required minimum distributions.

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