Reactive vs. Proactive Tax Planning
- Rick Ruberg
- Oct 17
- 2 min read
How did your latest tax filing feel?
Maybe you filed in April and it went smoothly. Everything was organized, your bookkeeping was current, and you knew exactly where you stood.
Or maybe you’re filing in October. The final tax deadline. No extensions left. No take-backs.
If you’re scrambling to pull everything together, paying more than you expected, and telling yourself, next year will be different.
Dare I even ask... What have you done for the current year?
Tax Season Exposes 2 Types of People.
Proactive Tax Planning: A Quarterly Rhythm
The business owners who pay the least in taxes don’t work harder, they plan smarter. They set a tax timer and follow a simple quarterly rhythm:
Quarter | Focus | Key Activities |
|---|---|---|
Q1 (Jan–Mar) | Strategy Setting | Review last year's results, set tax goals, and establish key structures like entities, accounting systems, and retirement plans |
Q2 (Apr–Jun) | Mid-Year Assessment | Complete prior-year filings, review Q1 performance, and adjust strategy |
Q3 (Jul–Sep) | Scenario Planning | Project full-year results, model potential outcomes, and identify tax-saving opportunities |
Q4 (Oct–Dec) | Execution | Take action, fund retirement plans, purchase equipment for bonus depreciation, defer income, and finalize year-end moves |
The Result: Business owners who follow this rhythm don't obsess over taxes... they simply stay ahead of them.
What This Looks Like in Practice
Picture two business owners earning the same income.
One treats taxes like an annual chore - scrambling through paperwork, writing a big check, and trying to forget about it until next April.
The other checks in quarterly - makes small adjustments, and executes strategic moves throughout the year.
Same income. Different mindset. Different outcome.
The gap? Often $20,000 to $60,000 in tax savings.
That’s the power of proactive planning.
Your Next Move
Whether filing felt effortless or exhausting this year, you’ve got a limited window before next tax season.
Start planning now.
Don’t wait for next year's stress to remind you why you should have.
A little proactive tax planning now, could mean bonus savings.
If this hit home, comment below. I want to hear from the procrastinators! I'll give you some support.
Happy to also chat through social, send me a message on X.
✌️ Take care -Rick
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