2019 Last-Minute Section 199A Strategies That Reduce Taxes Remember to consider your Section 199A deduction in your year-end tax planning. If you don’t, you could end up with a big fat $0 for your deduction amount. We’ll review four year-end moves that (a) reduce your income taxes and (b) boost your Section 199A deduction at the same time. First Things First If your taxable income is above $160,700 (or $321,400 on a joint return), then your type of business, wages … Continue reading

                 Tax-Saving Tips October 2019   Roth IRA vs Traditional IRA: Which Is Better for You? Roth IRAs tend to get a lot of hype, and for good reason: because you pay the taxes upfront, your eventual withdrawals (assuming you meet the age and holding-period requirements—more on these below) are completely tax-free. While we like “tax-free” as much as the next person, there are times when a traditional IRA will put more money … Continue reading

C-corp business tax rates had a huge drop with the new tax laws (from a 35% top rate at $50,000 in profits down to a flat 21% rate). BUT… If you operate your business as a pass-through entity, such as a proprietorship, partnership, or S corporation, the profits of that business can generate the Section 199A tax deduction for 2019 (and maybe for 2018?). There are 2 types of business in the eyes of the IRS (regarding this tax rule). … Continue reading

I’ve been preaching for many years how income taxes are going to increase for everyone at some point. How can they not? We’re $22 TRILLION in debt (adding to that debt every year despite a booming economy), Socia Security, Medicare and Medicaid are a mess, etc. But… even if taxes do NOT go up for the nation as a whole, your taxes will likely go up when the inevitable happens! If there is a possibility that you or your spouse … Continue reading

My newest book is available now on sale at Amazon.com. The title is “Get Me to ZERO” with the subtitle:  “Use the 2019 I.R.S. Tax Code to Pay as Little as ZERO Income Taxes During Retirement and Have a Better Life”   As I’ve mentioned before, this book is written primarily for folks that are about 7-10 years or more from retiring since they’ll have the time to position themselves to owe as few dollars to the IRS as possible in retirement. The book describes 7 synergistic tax strategies that proactive Americans can implement today … Continue reading