There's still time to reduce your 2016 tax bill

The year is nearly done, but there’s still time to chop your tax bill before 2017 rolls around.

The easiest savings often involve paying some of next year’s expenses early. If you have a mortgage, consider making your January payment -- or an extra payment -- by Dec. 31. You’ll have more to deduct for 2016, if you itemize your deductions (instead of taking the standard deduction). 

Consider moving up the schedule for any planned charitable donations. Anything you donate before Dec. 31 can apply to this year’s income, reducing your tax bill. Make sure the organization of your choice is a registered charity, and keep a written record of your gift. (You can check the IRS website to make sure the organization of your choice can receive tax-deductible contributions, and keep a written record of your gift.)  

And all taxpayers, even those taking the standard deduction, can take advantage of the Lifetime Learning Tax Credit. If you’re considering taking a class next year, sign up and pay for it now to use the credit on your 2016 taxes. You don’t need to be a student: Anyone taking a class at an accredited university is eligible provided he or she makes $65,000 a year or less. It’s a credit, not a deduction, so it reduces the tax you pay dollar-for-dollar.

Watch the video above to learn more.