Last-Minute Tax Deductions for Lawyers: How to Maximize Savings Before You File
If you’re a law firm partner or self-employed attorney, tax season isn’t just about filing on time—it’s about keeping more of your hard-earned money. But what if you’ve procrastinated on tax planning? Good news: You still have time to make strategic moves that can lower your tax bill before you file.
Let’s break down last-minute tax-saving opportunities for lawyers and how to take advantage of them before the clock runs out.
Max Out Your Retirement Contributions (It’s Not Too Late!)
One of the best last-minute tax-saving moves? Boosting your retirement contributions before the filing deadline.
Solo 401(k). If you’re self-employed and have no employees, you can contribute up to $69,000 in 2024 (or $76,500 if you’re 50+) depending on your firm’s profits. You can still make contributions until the tax deadline (April 15 or October 15 with an extension).
SEP IRA. Another great option for self-employed lawyers, allowing contributions up to 25% of net earnings, capped at $69,000. The deadline to contribute? Tax Day + extension deadline. Although you need to be careful if you have any employees as you would need to contribute for them as well.
Traditional IRA. You can contribute up to $7,000 ($8,000 if you’re 50+) for 2023, with contributions deductible based on income limits. Deadline? April 15, 2024.
Pro Tip: Even if you haven’t opened a Solo 401(k) or SEP IRA yet, you still can! Setting one up before you file lets you claim deductions now while building your long-term financial security. \
Write Off Business Expenses You May Have Overlooked
Lawyers often miss deductible expenses simply because they forget to track or categorize them properly. Here’s a last-minute checklist to ensure you’re not leaving money on the table:
💼 Work-Related Expenses:
Legal research tools (Westlaw, LexisNexis, AI-based legal assistants)
CLE (Continuing Legal Education) courses
Bar association & professional membership fees
Office supplies, tech, software subscriptions
🏠 Home Office Deduction (If You Qualify)
If you work from home exclusively for your business, you can deduct a portion of rent, utilities, and internet
Formula: Square footage of home office ÷ total home square footage = deductible percentage
🚗 Business Vehicle Deductions
Mileage deduction (if tracking it properly) – 67 cents per mile in 2024
Leased or purchased vehicle deductions if used for business
✈️ Business Travel & Meals
Flights, hotels, and transportation for work-related travel
Client dinners or networking meals (50% deductible)
📱 Tech & Communications
Business-related phone plan & internet costs
Laptop, monitors, and accessories used for work
Pro Tip: Didn’t keep perfect records? Go through your bank & credit card statements now to catch deductible expenses before filing. (Also, take this as a sign that you should start keeping records through ongoing bookkeeping)
Deduct Your Health Insurance Premiums
If you’re self-employed, you may be eligible to deduct 100% of your health insurance premiums—including coverage for your spouse and dependents.
Key Benefit: This reduces your taxable income, making it one of the best overlooked deductions for lawyers who aren’t covered by an employer plan.
HSA Contributions: If you have a Health Savings Account (HSA), you can contribute up to $3,850 for individuals or $7,750 for families for 2023 until April 15, 2024—and it’s fully tax-deductible.
Charitable Contributions—Make Them Count
If you’ve donated to qualified charities, you can deduct cash or non-cash contributions if you itemize deductions.
Cash Donations: Up to 60% of your AGI is deductible.
Stock Donations: Avoid capital gains taxes by donating appreciated stocks instead of cash.
Pro Bono Legal Work? While your time isn’t deductible, any expenses related to pro bono work (travel, filing fees, etc.) could be.
Pro Tip: If you’re just shy of the standard deduction limit, "bunching" charitable donations into one year instead of spreading them out may help push you into itemizing territory.
Don’t Forget Your Student Loan Interest Deduction
Many lawyers still have law school debt, and the student loan interest deduction allows you to deduct up to $2,500 in interest paid—even if you don’t itemize deductions.
Income limits apply: If you make more than $90,000 (single) or $180,000 (married), this deduction phases out.
It’s Not Too Late to Save on Taxes
Even if tax season snuck up on you, there are still ways to maximize deductions, lower your taxable income, and keep more of what you earn.
📌 Key last-minute moves for lawyers:
Max out retirement contributions (Solo 401(k), SEP IRA, Traditional IRA)
Catch overlooked business deductions (CLE, research tools, bar dues, home office, travel)
Deduct health insurance & HSA contributions
Leverage charitable donations for tax savings
If you want to optimize your tax strategy let’s talk. At Hark Financial Planning, we specialize in helping law partners and self-employed attorneys proactively plan tax and wealth-building strategies.
Schedule a consultation today—let’s get your tax game plan in place before the deadline.
