Back Mid-Year Tax Tip - Evaluate What You are Saving and How06.21.13 Look for ways to participate in tax-free savings opportunities. Many companies offer a 401(k) program, which is a helpful way to save and reduce your taxable income. The maximum contribution amount is $17,500. A simple tax tip is to become involved with a 401(k) plan and to try to contribute the maximum amount. If you’ve been unable to participate thus far this year, see if contributing or even increasing your contribution for the remainder of the year might work. If you turn 50 this year, or are already 50 or older, you can increase your contribution by an additional $5,500.