Businesses are bought and sold each day and some make better investments than others. Before you buy a business, here are a few things to make sure you make the right move: Why is the seller selling? There can be many reasons why a business is for sale, and some reasons are better than others. […]
Taxes
The Hidden Retirement Asset
Financial advisors frequently mention the three main pillars of retirement, which are social security, pension plans, and personal savings. Yet, you rarely hear them speak about an asset that may prove to be an individual’s largest asset – their business. Many business owners invest their money back into their business over the years, especially during […]
The Envelope Method Revisited
A while back I wrote about using the envelope method to help manage expenses and cash flow. Because I believe in simplicity, there may be a simpler way to use this powerful method. First, a background on the envelope method: I started using this method when I was a teenager through the guidance of my […]
Never Pay Taxes on Your Real Estate Investment
Real estate can be a great investment, especially with all of the tax benefits. You can generally deduct interest, property taxes, repairs, and depreciation. Sometimes, a rental property may even generate a tax loss, while being cash-flow positive. But what happens when you sell your property? If you sell your property as a loss, then […]
Frivolous Tax Arguments
I don’t know anyone who likes to pay taxes. But, you won’t win with these arguments: Filing tax returns are voluntary: Filing tax returns are not voluntary. The IRS uses the word voluntary to mean that you determine your own initial tax liability by filing your own tax returns, and not have the government determine […]
Correct Your Mistakes Before It’s Too Late!
The end of the year is approaching, and now is the time for some last minute tax planning before it is too late. Almost every time a financial transaction is made it has an impact on your taxes. Here are some things to look out for and consider: Don’t hesitate to ask questions. If you […]
Strange Tax Benefits
The tax laws are written with a purpose in mind, but at times, it may be used (loopholes) to receive unintended benefits. You may be able to rent out your home or vacation home tax-free if rented for less than two weeks during the year If you have a home office, you may be able […]
Pay Less Tax on Your Investments
It’s great to accumulate wealth by investing and saving you money, but did you know that taxes can take a large bite from your investments? Every investor, including those with 401(k)’s, IRA’s, and traditional brokerage accounts need to be aware of the impact of taxes. Here are a few tips and items to watch out […]
Bad Tax Planning
Tax planning can prevent you from overpaying taxes, but it has to be done before the year is over. Good tax planning takes a proactive approach, and bad tax planning includes either not planning, breaking the law, or taking it upon yourself without using a competent tax professional. Without planning you may not be able […]
Tax-Free Income from Your Home!
Did you know that you can receive rental income without paying income taxes on it? Generally, if you rent your home or vacation home for less than 15 days then you do not have to include the rent as income.