We're past the halfway point of the year. The fireworks are fading, the kids are out of school, and if you're anything like most of the families and business owners I work with, your financial goals from January are probably collecting a little dust.
That's not a criticism;it's just how life goes. But here in the middle of the year, we have a real opportunity: enough time has passed to see how we're actually doing, and enough time remains to make meaningful adjustments before December 31st.
At Aliciene Tax & Financial Solutions, we call this kind of holistic check-in part of the "three-legged stool" approach: tax planning, financial planning, and insurance working together. Most people focus on one leg and forget the others. A mid-year review is the perfect time to look at all three.
Here are the five metrics I'd encourage you to assess right now.
1. Your Savings Rate
The rule of thumb: Save at least 15–20% of your gross income each year (including any employer match). If you're starting later in life, that number should be higher.
Your savings rate is the most fundamental indicator of financial health — more telling, in many ways, than your investment returns. A 10% return means nothing if you're not saving consistently in the first place.
Take a moment to add up what you'veactually set aside since January: retirement contributions, savings accounts, taxable investment accounts, everything. Divide it by your gross income for the same period. Where do you land?
If you're below 15%, ask yourself why and whether there's a recurring expense that could be redirected. Many people are surprised to discover they're paying for subscriptions, coverage, or interest on debt that's silently eroding their savings capacity.
Tax tip: Dollars saved in the right accounts can reduce your taxable income, not just build your future. That's what we mean by tax-intelligent planning.
2. Retirement Contributions for Your Age and Income
The rule of thumb: For most people in their 40s and 50s, the goal is to have saved 3–6x your annual salary by now, withtheaim ofreaching 10x by retirement age.
For 2026, you can contribute up to $24,500 to a 401(k), and if you're 50 or older, you can add a catch-up contribution of $8,000, for a total of $32,500. And if you're between 60 and 63, the catch-up is even higher — $11,250, bringing your total to $35,750.Are you on track to max out what makes sense for your situation?
I talk to a lot of shift workers and plant employees who have solid pensions coming their way — but even a pension doesn't mean you should ignore your other savings. The real question is: have you thought about what happens to your company stock when you retire? How is it taxed when you sell it? How does it fit into your overall picture?
Those questions don't have generic answers. They have your answers — and that's what we're here to work through.
3. Debt Reduction Progress
The rule of thumb: High-interest consumer debt (credit cards, personal loans) should be your first priority. Mortgage debt is generally lower priority unless you're close to retirement. Your total debt payments ideally shouldn't exceed 36% of your gross income.
Mid-year is a good time to check: has your debt gone up, stayed flat, or come down since January?
For small business owners especially, debt is often more complicated—there's personal debt, business debt, equipment loans, lines of credit. The question isn't just "how much do I owe," but "is this debt working for me or against me?" That calculus changes depending on interest rates, the tax deductibility of the interest, and your broader cash flow picture.
If you've been chipping away at debt but feel like you're not making progress, that's worth a conversation. Sometimes restructuring or refinancing (with an eye toward tax implications) can significantly change the trajectory.
4. Portfolio Allocation
The rule of thumb: A common starting point is to subtract your age from 110 to get your approximate stock allocation (e.g., if you're 50, roughly 60% stocks / 40% bonds and other assets). But this is a starting point, not a prescription.
Six months of market movement can shift your allocation meaningfully without you doing anything at all. If stocks have performed well, you may now be carrying more equity risk than you intended. If they've pulled back, you may be more conservative than your timeline warrants.
Mid-year is a natural time to rebalanceand to do it in a tax-aware way. Selling in a taxable account to rebalance can trigger capital gains taxes, but there are strategies (such as tax-loss harvesting or rebalancing inside tax-deferred accounts first) that can accomplish the same goal without an unnecessary tax bill.
This is where the "tax-intelligent" piece of what we do really earns its name.
5. Insurance Coverage for Your Life Stage
This one gets overlooked the most, and it's the one that can undo everything else.
Ask yourself:
Has anything changed since you last reviewed your life insurance? New child, marriage, divorce, a business that's grown in value?
Does your disability coverage reflect what you actually earn today?
If you own a business, do you have key person coverage? A buy-sell agreement in place?
Are your beneficiary designations still accurate?
A rough guideline: life insurance coverage of 10–12x your annual income is a reasonable starting point for people with dependents, though your specific needs depend on debts, income replacement needs, and the legacy you want to leave.
Insurance isn'tjust about protecting against worst-case scenarios. For many clients, the right life insurance or annuity product is also a planning tool—one that, when structured correctly, can have meaningful tax advantages.
Bringing It All Together
What I've just walked through are five separate dials, but in a well-designed financial plan, they all turn together. A change to your savings rate affects your tax bill. Your portfolio allocation should inform your insurance needs. Your business decisions ripple into your personal retirement picture.
That's why we don't just do taxes. And it's why we've been doing this as a family here in this community since 1969. If you'd like to sit down for a mid-year check-in, I'd love to hear where you are and help you finish the year stronger. Reach out to either of our offices in Pittston or Wyalusing to schedule a time.