Max out your traditional IRA
This is the most obvious and most-referenced way to lower your tax bill after the end of a calendar year, but it’s still worth mentioning.
If you have a traditional IRA, you can make your contributions for the 2018 tax year until the April tax deadline. If you don’t yet have an IRA, you can even open one now and contribute retroactively for 2018, as long as your contributions are made before April 15.
For the 2018 tax year, you can contribute as much as $5,500 to a traditional IRA, and if you’re 50 or older, this jumps to $6,500. If you qualify for the traditional IRA tax deduction, every penny you contribute up to these limits can be deductible on your 2018 tax return, which could translate to major tax savings.
