Hi there, I’m Elisabeth Dawson, founder of Copia Wealth Management & Insurance Services, and I’ve spent over 24 years helping people just like you build wealth, prepare for retirement, and protect what matters most. One of the biggest frustrations I hear from new clients is this:
“I feel like I’m paying too much in taxes—but I don’t know what to do about it.”
Sound familiar?
You work hard. You save. You invest. And yet when tax season rolls around, it feels like the IRS is the biggest beneficiary of your success. And here’s the thing—many people are paying more than they need to. Not because they’re doing something wrong, but because they’re not doing enough of the right things.
That’s why I want to walk you through five completely legal, ethical, and smart ways to stop overpaying in taxes. If you’re ready to stop giving away your hard-earned money and start keeping more of it, you’re in the right place.Why So Many People Overpay in Taxes
Before we get into the strategies, let’s talk about why this happens in the first place.
For most people, taxes feel complicated. We assume our CPA or tax software is catching everything. But in reality, tax preparation is not the same as tax planning. Preparation is reactive—it looks at last year’s numbers. Planning is proactive—it looks forward and helps you strategically reduce taxes in the future.
Unfortunately, most people aren’t getting that kind of forward-looking advice.
I’ve seen countless families and business owners lose out on thousands—sometimes tens of thousands—every year because no one helped them look ahead. So let’s change that, starting now.
1. Max Out Your Tax-Advantaged AccountsIRAs, 401(k)s, HSAs and More
One of the easiest and most powerful ways to legally lower your tax bill is by contributing to tax-advantaged accounts.
- Traditional IRAs and 401(k)s let you deduct contributions from your taxable income today.
- Health Savings Accounts (HSAs) offer a triple-tax benefit—contributions are tax-deductible, the money grows tax-free, and withdrawals are tax-free when used for qualified medical expenses.
Here’s an example: if you contribute $6,500 to a traditional IRA (or $7,500 if you’re over 50), that’s income you’re not taxed on this year. If your tax rate is 24%, you just saved $1,560 in taxes.
And with 401(k)s, the contribution limits are even higher—up to $23,000 for those over 50 in 2025.
The trick is making sure you’re using the right combination of accounts for your situation. It’s not just about saving money—it’s about saving smart.
2. Know When to Use a Roth (and When Not To)Roth IRAs and Roth Conversions
Now let’s talk about Roth accounts. Unlike traditional retirement accounts, Roth contributions are made with after-tax dollars. That means you don’t get a tax break today—but you do get tax-free growth and tax-free withdrawals later.
So which one should you use?
It depends on where you are in your financial journey. If you’re younger or in a lower tax bracket now, a Roth can be an incredible tool. If you’re older or expect to be in a lower tax bracket in retirement, traditional accounts may make more sense.
But here’s where it gets even more powerful: Roth conversions.
Let’s say you have money in a traditional IRA. You can convert some of that to a Roth—yes, you’ll pay taxes on the converted amount now, but all future growth is tax-free. And if you do this strategically, especially in lower-income years, it can save you a fortune over time.
We walk our clients through this analysis regularly—because done right, Roth strategies can be a game changer.
3. Get Strategic With Charitable GivingGive More, Pay Less in Taxes
If giving back is important to you, here’s a way to do it that helps others—and reduces your taxes at the same time.
One powerful strategy is donor-advised funds (DAFs). These accounts let you contribute a large amount in a single year (and get the full deduction), then decide over time which charities you want to support. It’s like creating your own charitable foundation—without all the legal hassle.
Another smart tactic is qualified charitable distributions (QCDs). If you’re over 70½ and taking required minimum distributions (RMDs), you can direct up to $100,000 of your RMDs straight to a charity—and that amount won’t be counted as taxable income.
These are just a few examples. If you’re already donating to causes you care about, we can help you do it in a way that also benefits your financial plan.
4. Stop Ignoring Capital Gains TaxTax-Loss Harvesting and Long-Term Strategy
Capital gains taxes can sneak up on you—especially if you’ve been investing for a while.
If you sell an investment that’s grown in value, you’ll pay capital gains tax. If you’ve held it more than a year, you get the lower long-term rate (which is good). But there’s still a smarter way to handle this: tax-loss harvesting.
Here’s how it works: you sell an investment that’s gone down in value to offset gains from a winning investment. The loss can cancel out the gain—and reduce your tax bill.
Let’s say you made $10,000 on a stock sale this year, but you also have another stock that’s down $8,000. If you sell the losing stock before year-end, you’ll only be taxed on $2,000 of gains. That could save you hundreds (or thousands) in taxes.
We also encourage clients to think about holding periods, asset location (which accounts hold which types of investments), and gifting appreciated assets to charity. Each of these strategies can help reduce your capital gains exposure.
5. Work With a Fiduciary Financial AdvisorBecause Your Tax Strategy Should Be More Than a Line Item
The final—and possibly most important—way to stop overpaying in taxes is to work with someone who sees the whole picture.
At Copia Wealth Management, we don’t just look at taxes in isolation. We look at how your income, investments, retirement accounts, real estate, and legacy planning all work together.
Our role is to help you uncover what we call “phantom expenses”—those silent wealth leaks like overpaid taxes, duplicate insurance coverage, or underperforming accounts with hidden fees.
Our clients often find thousands of dollars per year they didn’t even know they were losing. And over a decade or more? That can mean millions in extra wealth for retirement.
You don’t have to be ultra-wealthy to benefit from this. You just have to be proactive—and willing to work with someone who puts your interests first.
Final Thoughts: You Deserve to Keep More of What You Make
Taxes are a reality—but overpaying doesn’t have to be.
If you’re feeling overwhelmed, please know that you’re not alone. And it’s never too late to start making smarter decisions.
Whether you’re just starting your financial journey or you’re a few years away from retirement, I’d love to help you uncover the “found money” you may be giving away without realizing it.
Let’s find those silent wealth leaks, redirect that money toward your future, and create the retirement you’ve always dreamed about.
Your next step? Book your complimentary consultation, and let’s create your personalized Retirement Income for Life Blueprint.
Let’s stop overpaying—and start planning for abundance.
Warmly,
Elisabeth Dawson
Founder & CEO, Copia Wealth Management & Insurance Services
Author of Retirement by Design and Wealth by Design
CA LIC #0C71264, #0G81294
Investment advice offered through Copia Wealth Management Advisors, Inc.
Copia Wealth Management Advisors, Inc. is a registered investment advisor.
