Minimizing tax drag

Research consistently shows that taxes are one of the biggest drags on long-term wealth. Even small improvements in tax efficiency, when applied consistently over time, can meaningfully affect outcomes.

With the past few days you have seen how much clarity comes from looking at tax decisions before deadlines hit instead of after. You have worked through losses, risk, contributions, and withdrawals. None of these decisions are complicated on their own.

What makes them hard is timing.

Most people only think about tax planning in December. By then, options are limited, pressure is high, and mistakes are easy to make. The biggest wins usually come from decisions made earlier in the year, when there is still flexibility.

Today is about turning what you learned this week into a repeatable system instead of a once-a-year scramble.

A simple quarterly framework

Instead of one big year-end push, effective planning follows a light, repeatable system spread across the year.

This does not require constant attention. It requires checking the right things at the right times.

Here is a structure you can reuse every year:

Q1: Review and set direction

• Review last year’s tax outcome

• Identify 2025 tax loss carry forwards

• Set contribution targets

• Confirm your target allocation

Q2: Monitor and execute early

• Track contribution progress

• Rebalance if your portfolio drifts

• Adjust contributions if income changes

Q3: Course correct while there is still flexibility

• Look for tax-loss harvesting opportunities

• Project year-end income and taxes

• Make incremental adjustments

Q4: Finalize without scrambling

• Close any remaining contribution gaps

• Confirm rebalancing is complete

• Plan withdrawals or charitable giving

None of these steps are complex on their own.

The value comes from acting throughout the year instead of reacting at the end.

How Mezzi supports this system

Mezzi is built to support this kind of ongoing process:

• It tracks your accounts in one place

• It surfaces changes as they happen

• It helps you explore tradeoffs before deadlines

• It reduces reliance on memory, spreadsheets, or guesswork

Instead of asking, “What should I do right now?” once a year, you are asking, “Am I on track?” throughout the year.

What to do today in Mezzi

First: Personalize your Mezzi AI so the information and scenarios you see are accurate. Add:

1. Target allocations

2. Your quarterly checklist

3. Contribution targets

4. Tax loss carry forwards

Then, Ask Mezzi:

• “How should I rebalance to stay on target?”

• “How do I stand vs. my checklist?”

• “Have I maximized my tax saving opportunities this quarter?”

Day 5 Checklist

• Identify which steps from this week applied to you

• Decide which items are worth checking quarterly

• Set reminders or checkpoints

• Make sure Mezzi has the information it needs to track changes