April 24th, 2018 Dominique Molina (Taxloopholes.com Tax Strategist)
Maneuvering the Tax Maze without Losing Your Wealth
Completing your tax returns is always a chore, and there is no upside when you have to pay a hefty bill. Fortunately, there are plenty of ways to ease your journey through the tax maze – and you can even look forward to lower tax liability when you come to the end. The secret to minimizing your taxes involves a comprehensive strategic plan. Enrolled Agent (EA) and Certified Tax Coach (CTC) Raymond Sawyer offers his favorite techniques for keeping more of your money and growing your wealth in in our new release, The Great Tax Escape.
Find the Right Guides
You wouldn’t start down an unfamiliar path without someone to guide you, and you shouldn’t go it alone when it comes to your taxes. Enlisting specialized financial professionals ensures you don’t miss a single step that could save you money. Your Certified Tax Coach knows exactly how to structure your assets to keep your tax liability low, and experts in investing, retirement planning, and estate planning will walk you through the best ways to build your wealth long-term.
Ask Critical Questions
Your guides can only create an accurate map through the tax maze if you give them complete and correct information regarding your financial strengths and weaknesses. Before your first meeting, take a long, hard look at where you stand and where you want to be. Compile relevant financial records and give some thought to your successes and failures in the financial world. Ask yourself questions like
Answer honestly and be prepared to share the results with your guides.
Keep an Eye on Capital Gains
Your successful investments don’t feel like much of a win when you lose a large percentage of your profits to taxes. With the help of your Certified Tax Coach, you can minimize this amount significantly. With proper planning, you can take steps to offset your taxable capital gains. Examples include investing in certain types of assets, choosing real estate wisely, and making the most of retirement programs. It’s a complicated topic, but experts like Raymond Sawyer will see you through to success.
Take Advantage of Retirement Savings
The government is committed to helping you save for retirement, and legislators have created tax-advantaged programs to reward you for setting money aside. However, it can be difficult to determine which program will save you the most in taxes, and whether you qualify to participate in more than one. As you can imagine, the laws have built-in safeguards like contribution limits and withdrawal guidelines to ensure no one abuses the system. Your guides can assist you in staying within contribution limits and avoiding the hefty penalties that come with early withdrawals.
Examine Estate Planning Options
No one lives forever, and when your time comes, you want your years of hard work to pay off for your loved ones – not the IRS. The problem is that without careful estate planning, your saving will be subject to high tax rates. Spend some time looking into options for your estate and find the right combination of asset types to protect your wealth. For example, you may wish to set money aside in one or more trusts for your beneficiaries.
These are just a few of the many elements to consider in a comprehensive strategic plan to keep your tax bill low. Our new release, The Great Tax Escape, offers a detailed information on minimizing your taxes and maximizing your wealth.