As the New Year begins, it’s the perfect time to reset, refocus, and make plans for the months ahead. Whether you're looking to get your finances in order, set new goals, or just start fresh, this simple HIBERNATE checklist can help you kick off the year on the right foot. Let’s dive in!

Health & Medical

  • Health Savings Account (HSA) Contributions
  • Review Insurance Coverage
  • Update Flexible Spending Account (FSA)

Investments

  • Update Your Investment Objectives & Risk Tolerance
  • Rebalance Your Portfolio
  • Review Investment Performance

Budgeting & Planning

  • Set Financial Goals (Short-term and long-term)
  • Review Your Budget
  • Emergency Fund Assessment

Estate Planning

  • Review Estate Documents
  • Plan Annual Gifting (Consider tax-advantaged gifts up to the exclusion amount)
  • Establish a Will, Trust, or Healthcare directive (If you haven't already)

Retirement Accounts

  • Increase Retirement Contributions (Adjust limits for 401(k), IRA, Roth IRA, etc.)
  • Check Retirement Plan Beneficiaries
  • Review Retirement Plan Investments

Net Worth Assessment

  • Determine Your Current Net Worth
  • Review Your Net Worth Progress
  • Update Your Goals

Asset Allocation

  • Evaluate Your Current Asset Allocation
  • Rebalance Portfolios
  • Diversify Investments
Tax Planning
  • Review Tax Withholdings (Use IRS calculators to avoid over- or under-withholding)
  • Start Organizing Tax Documents (Collect W-2s, 1099s, charitable contribution receipts, etc.)
  • Estimate Quarterly Taxes (For self-employed individuals, plan for estimated tax payments)

Education

  • Open 529 Plans for Children, Grandkids or Nieces, etc.
  • Review Tuition Payment Plans
  • Contribute to 529 Plans

Some Important Q&As

Q: How much can I contribute to an IRA in 2025?
A: You can contribute up to $7,000 to a traditional or Roth IRA, or up to 100% of your earned income if it’s less. If you’re 50 or older, you can add a $1,000 “catch-up” contribution. These limits are the same as 2024.

Q: What’s the max I can put into my 401(k)?
A: For 2025, you can contribute up to $23,500 to your 401(k) or 403(b)—a slight bump from $23,000 in 2024. If you’re 50 or older, you can add a $7,500 catch-up. Plus, there’s a new perk: If you’re between 60 and 63, you can make an enhanced catch-up contribution of up to $11,250 (including the regular catch-up).

Q: Is there a limit on the income I pay Social Security tax on?
A: Yep! In 2025, Social Security tax applies to the first $176,100 you earn (up from $168,600 in 2024). Anything above that is exempt from Social Security tax, though Medicare taxes still apply.

Q: How much can I give as a gift without triggering a gift tax return?
A: You can gift up to $19,000 per person in 2025 without needing to file a gift tax return. That’s up from $18,000 in 2024.

Need More Help?

At Timbuktu Capital Management, LLC, we’re here to guide you through your financial planning journey. As a boutique asset management company, we specialize in wealth management services, including financial planning, investment management, and consulting. Our mission is to craft personalized financial strategies tailored to your unique needs, helping you achieve both your immediate goals and long-term financial objectives.