Tax Optimization Strategy Advisor

Current Tax Analysis: MFJ $195K — effective rate ~17%, marginal 24%. No state tax (Texas) is already a significant advantage. Account Strategy: At 24% bracket, traditional 401k contributions (already maxing) are correct — defer at 24%, potentially withdraw at lower rate in retirement. Roth IRA: over $240K MFJ limit — use Backdoor Roth IRA strategy ($7,000 each = $14,000/yr tax-free growth). HSA: If enrolled in HDHP, max HSA ($8,300 family) — triple tax advantage. Invest in index funds; don't spend it. Tax-Loss Harvesting: $8K in unrealized losses available. Harvest now — offset $8K of gains or up to $3K of ordinary income this year. Asset Location: Hold bonds and REITs in 401k (tax-inefficient). Hold equities in taxable account (lower long-term capital gains rates).