621.7K
Downloads
342
Episodes
Real Estate Investors, Stock Traders, and Business Owners guide to preserve their wealth, protect their assets, and prosper in the future.
Episodes
Saturday Jul 20, 2019
Saturday Jul 20, 2019
What if you don’t make it home from work? Where does that leave your significant other? What if something happens to your financial or business partner? What about their spouse? Engineers usually don’t take time to think about such things. Today, Toby Mathis of Anderson Business Advisors talks to Dwain Blake of Canyon Ridge Group, a wealth management firm. Dwain is a buy-sell agreements and key man policies expert. Also, he specializes in partnerships for small business owners as a senior consultant at Anderson Financial Services.
Highlights/Topics:
- Like Father, Like Son: Dwain was a petroleum geologist and then an environmental scientist; his son took over the engineering side of the family business
- Progression of Business and Owner: Dwain sold his company in 1997 and signed a non-compete clause
- Opportunity Knocks: Dwain could do something different for a few years, or be sidelined and count the few dollars received from selling his business
- Financial Services World: Dwain invested the money from his business into Pittsburg markets with a Fortune 100 group
- Buy-sell Agreement: If something happens to a partner, it details how assets are distributed, bought, and sold to successors/spouses; one agrees to buy out the other
- Buyout: Set amount can be reviewed and revised, depending on company growth and profitability; partner(s) is contractually obligated to purchase stock at a set value
- Insufficient Funds: Partner(s) needs cash to buy out and continue to operate; if they don't have enough cash available, funding usually comes from life insurance
- Protect Partner and Investment: How am I going to keep the company going, if I'm only the investor? How am I going to make sure that I protect my investment? How can I make sure the company is transitioned?
- Key Man Policies: Specific internal/external people/managers in place to handle different divisions and extra life insurance to go to surviving partner(s) for buyout and hiring talent
- One Policy, Two Types of Coverage: What if your partner gets hit by a truck and becomes disabled or dies? Life and disability insurance can be combined
- Corporate Succession Planning: Traditional and obvious obligations depend on deeper partnerships, solid investors, hard money lenders, and others
- New Policies, Never Ends: Insurance doesn’t stop with the sale of the first policy; as business grows and moves, partners succeed their shares, sell their shares, etc.
- How much is recommended? $50,000 is minimum life insurance value with any company
- Document and discuss your desires before death or disability: it's easy when you're alive and healthy; don’t do this type of planning from the hospital bed when it's too late
- Retirement Planning: Prepare for the retirement you definitely deserve; but if something happens, make sure your family gets a big chunk of cash and your business survives
Resources
Dwain Blake’s Mobile: 912-856-5007
Wednesday Jul 17, 2019
Wednesday Jul 17, 2019
Toby Mathis and Jeff Webb of Anderson Advisors don’t get paid to answer your questions on Tax Tuesdays. They just want to give back by making sure you don’t overpay on your taxes. Do you have a tax question? Submit it to taxtuesday@andersonadvisors.
Highlights/Topics:
- What’s the best way to transfer a title in real estate without increasing property taxes after joint tenant dies? This shouldn’t trigger an increase in property values; publish certified death certificate to warranty deed it into your own name
- My S Corp will only make about $20,000 this year. Do I still have to pay myself a salary? It depends; you didn’t make a profit, but did you make any distributions
- Where do I put real estate professional on my return? Real estate professional is an election you make every year; it’s not a form, it’s a statement included with your 1040
- When can I legally take money from a 403(b) and transfer to a QRP? Most plans won’t let you withdraw/take money out, if you’re still employed, except in hardship cases; roll to QRP anytime plan documents allow it
- What is different about filing taxes for option traders as opposed to stock traders? Not much difference; short selling works differently for stocks and options
- Can a husband and wife filing jointly take two separate Roth IRAs and contribute to each IRA annually? You can’t share an IRA; you must have separate IRA accounts
- How does real estate profession benefit me? Real estate profession allows you to deduct all real estate losses against your personal taxes
- Can an individual place Bitcoin in a Roth IRA account? Yes, if plan documents allow it
- Can I pay my life insurance or family dental insurance from my LLC? Can LLC fund my HSA? LLC is not a tax treatment, so determine what it is and if it’s taxable to you
- I learned that a property I bought and rehabbed is in an opportunity zone. Can I retroactively qualify for tax advantages from an opportunity zone? No, the fund must be set up before the purchase
- Is there still a mileage deduction, if I drive my personal vehicle for my business? Yes, your personal vehicle for your business gets $0.58 a mile
- Is the mileage and unreimbursed employee expense no longer deductible? Correct, miscellaneous itemized deductions under the Tax Cut and Jobs Act were removed
- How do we navigate the standard deduction in the business sector? There’s no standard deduction on any business return
For all questions/answers discussed, sign up to be a Platinum member to view the replay!
Go to iTunes to leave a review of the Tax Tuesday podcast.
Resources:
Franchise Tax Board of California v. Hyatt - SCOTUS
Family Owned Non-Corporate Entity (FONCE)
501(c)(3) Nonprofit/Charitable Organizations
Tax Cuts and Jobs Act, Provision 11011 Section 199A - Qualified Business Income Deduction FAQs
Uniform Gift to Minors Act (UGMA)
Anderson Advisors Tax and Asset Protection Event
Saturday Jul 13, 2019
Saturday Jul 13, 2019
If you’re a real investor, then you probably know what it’s like to go months without rental income coming in through no fault of your own. It gets a little scary. Today, Michael Bowman of Bowman’s Business Brief and Anderson Business Advisors talks to Aaron DiCaprio, CEO of Rent Rescue, about how the stop of rental income, even for just a couple months, can be detrimental.
Highlights/Topics:
- Does this strike a chord? Tenant loses everything, and you lose rental income
- Accidental Landlord: People who rely on rental income and cash flow
- Mailbox Money: Rent Rescue protects clients’ cash flow investment and provides peace of mind
- Risk Management: Insurance mitigates your risk of loss
- Perfect Tenant a.k.a. Bigfoot: You hear about him, but you never find him because he’s a figment of your imagination
- It’s not personal, it’s just business: You can vet your tenants (i.e., background checks, screenings), but life happens and sometimes they just can’t pay the rent
- Rent Rescue’s rent default insurance provides up to six months of loss when tenant defaults on long-term lease and $1,000 for legal expenses
- Rent Rescue doesn’t cover situations when landlord does something to create reason why tenant isn’t paying rent
- How much is Rent Rescue? About $300 annually for premium, and it’s tax deductible
- How does Rent Rescue work? User-friendly online platform offers quick and easy application and access process for insurance; file a claim, and get paid/reimbursed
- Insurance policy includes subrogation clause, where insurance company steps into landlord’s role when claim is filed and has rights to pursue collection against tenant
- Multiple Investment Properties: Rent Rescue is applicable for:
- Smaller, do-it-yourself, accidental landlords who have a few investments
- Larger career investors with big portfolios
- Pay it forward and give back: Autism Speaks and Multiple Sclerosis Society
Resources
Wednesday Jul 10, 2019
Wednesday Jul 10, 2019
To be young and free and ski in Crested Butte, Colorado. It’s a dream come true for many before they settle down and find a real job in the real world. Today, Toby Mathis of Anderson Business Advisors talks to Heather Connor about how she lives and does what she loves by investing in and managing vacation/short-term rentals.
Highlights/Topics:
- Service Industry not Sustainable: Cost of living in a resort community is high, but paychecks are low
- Get a Real Job: Bartending to make ends meet, Heather secured a future by investing in vacation/short-term real estate and purchasing two rental units to manage
- Landlord-Tenant Law: What to be aware of and rules to follow
- Vacation Rental Market in Crested Butte: Affordable to luxury properties for all demographics and incomes
- Then and Now: Low-maintenance renters interested in hiking, biking, and skiing vs. high-maintenance renters more concerned about accommodations than activities
- Watchdog Property Management: Heather’s first “real” business involved steep learning curves and changes due to growing popularity of Crested Butte
- Vacation/Short-term Real Estate and Rental Management: Find experienced realtors with proper data to find properties that fit income, investment, and lifestyle goals
- Cash flow or appreciation? Current trend is up due to Vail’s purchase of Crested Butte Mountain Resort; condos have increased 40% in valuation
- Typical Length of Stay: 3 days to 3 months during summer, and 3–7 days in winter
- Maximize ROI: Stage property, use professional photographs, understand renters’ needs, keep current with local news, select property manager, and focus on lifestyle
Resources
Dan Sullivan (Strategic Coach)
Wednesday Jul 03, 2019
Wednesday Jul 03, 2019
The more you know and learn about taxes, the less likely you are to be audited. According to the recently published 2018 Internal Revenue Service (IRS) Data Book, only 0.5 percent of all returns filed in the 2017 calendar year were audited. Toby Mathis and Toni Covey of Anderson Advisors often answer your tax questions with “it depends.” Why? Facts and circumstances. Do you have a tax question? Submit it to taxtuesday@andersonadvisors.
Highlights/Topics:
- How do you know if you're overpaying taxes for your LLC? Refer to tax designation of LLC and compare it to other choices (i.e., corporation, partnership, sole proprietorship)
- What are the most beneficial types of qualified retirement plans (QRPs) and LLCs for tax shelters? It depends, but try things that defer taxes (401k, real estate, C or S Corp)
- How can we protect a Special Needs Trust from probate? Avoid probate through a living trust by adding special needs provisions for when it becomes irrevocable
- I have several personal IRA accounts and want to convert them to a QRP in our real estate investment company. Can I use that money to purchase more properties? Yes
- I have owned a property located in a qualified opportunity zone for a number of years. Is there any special tax benefit, if I install a new roof? No
- Do I always need to take salary out of my C Corp? No, salary is a part of compensation and still requires withholding and paying taxes
- How do owners receive a yearly salary from their businesses? You pay it; there's no federal rule for pay periods, but some states require pay periods for certain employees
- Do I have to designate myself as a dealer, if I do fix and flips? IRS designates you as a dealer based on facts and circumstances; doesn't matter how long you hold a property
- Can I write off a vehicle that’s 6,000 pounds or more? Yes, you can write off entire cost, but limited to $18,000 a year, and more than 50% must be for business use
- What is a 1031 exchange? Selling real estate and buying more of equal or greater value to not pay taxes and use an intermediary
- Does S Corp need to pay payroll taxes? You pay some payroll taxes, as opposed to sole proprietorship - where you pay 100% of payroll taxes
For all questions/answers discussed, sign up to be a Platinum member to view the replay!
Go to iTunes to leave a review of the Tax Tuesday podcast.
Resources:
501(c)(3) Nonprofit/Charitable Organizations
Modified Accelerated Cost Recovery System (MACRS)
Using Cost Segregation in Residential Real Estate
Explaining the Trump Tax Reform Plan
Tax Cuts and Jobs Act, Provision 11011 Section 199A - Qualified Business Income Deduction FAQs
Anderson Advisors Tax and Asset Protection Event
Saturday Jun 29, 2019
Saturday Jun 29, 2019
Economies go up and down. Things are really good, right now. But we all know the bottom will drop out at some point. It always does. Are you prepared to make it through the next recession?
Do you have a “rainy day fund” to deal with the downturn? Risk mitigation is an absolute must for small-to-middle market business owners. Today, Toby Mathis of Anderson Business Advisors talks to Van Carlson of Strategic Risk Alternatives about protecting your business in a downturn economy with captive insurance.
Highlights/Topics:
- What happens to businesses when the economy takes a turn? Thrive or don’t survive
- Concept of Captive Insurance: Incentive and tax advantage to own your own insurance company; self-insuring risk is not a deduction
- What are the limitations? Insurance company not defined by Congress; different views from taxpayers and departments, lead to lawsuits and court cases
- Four-part Test: Owning your own insurance company requires risk of transfer, distribution, fortuitous, and acting in principles of insurance
- Recommended Liability Policy Coverage: Brands, supply chain risk, dispute resolution
- Unknown future of dividend capital gains; defer taxes today, mitigate risk, and clients win
- Estimated cost to form own insurance company is $5,000, plus $5,000 to maintain it
- Three Simple Rules: If you have risk, calculate it; if you have tax liability, calculate it; and determine benefits
Resources
Tax Reform Act 1986 (TRA) with 831(b) Tax Code
Wednesday Jun 26, 2019
Wednesday Jun 26, 2019
How do you identify real estate markets to invest in? If you’re a real estate investor who doesn't know where or what to look for, you won’t make much money. Instead, you’ll lose money by making bad investment decisions. Do the math and run numbers to make the right investment. Or, don’t get into the marketplace because everything is priced for perfection. Today, Clint Coons of Anderson Business Advisors talks to Neal Bawa, founder and CEO of Grocapitus, a commercial real estate investment company. Also, Neal is the CEO of MultifamilyU, an apartment investing education company. He’s known as the Mad Scientist of Multifamily and uses the power of numbers to acquire properties and create profit for investors.
Highlights/Topics:
- 10 months of trial by fire and two hours of sleep: How to build a 27,000-square-foot campus from scratch to learn about real estate
- Two years later, larger campus, more money: Neal discovered how to raise capital by asking investors for help
- Becoming addicted and buying real estate: 10 years ago, Neal bought 10 single-family homes and now charges twice as much rent
- Learn a lesson: What truly is the secret sauce of real estate? Teach it to others
- Top things to consider when buying property:
- Population growth (about 1.25% increase per year)
- Income growth (minimum of 1.5% per year for inflation and to raise rents)
- Home price growth (greater than 2% home value increase per year)
- Crime rates
- Data, analytics, and logic: System for buying the best, avoiding the worst real estate
- One city, one neighborhood: Services to select to be successful in real estate markets
- Corridors of Opportunity: Arizona, Florida, Idaho, and Utah
- Future of real estate, interest rates, and economy: Presidents and Congress members come and go, but federal reserves stay to cut interest rates and do quantitative easing
- Outsourcing is the new economy: Hire high-quality, full-time virtual assistants overseas for $6 an hour
Resources
Saturday Jun 22, 2019
Saturday Jun 22, 2019
As you get older, instead of doing nothing, keep going. Your life begins when you get involved in an ongoing charitable organization. The concept of not being productive is anathema.Today, Toby Mathis of Anderson Business Advisors talks to Frank Cottle, who believes the concept of not being productive is anathema. Following in his father’s footsteps, Frank found a way to give back to the community by starting All Good Work and All Good Coffee. Frank is also the owner of Alliance, one of the largest office suite providers in the world.
Highlights/Topics:
- Service Office/Coworking Industries: Market value depends on company size based on revenues and square footage for customer service capacity
- Land Banking: Build buildings using smallest amount of bricks and mortar to generate the greatest amount of revenue to hold onto land with excess entitlement
- Business Model Changes: Alliance started as property company doing land banking to leasing spaces to selling spaces to network and software model
- Giving Back via Vacancy Factor: Put unused space to good use by creating All Good Workspace Foundation; space is second highest cost, after efforts to raise capital
- Old-fashioned Church Charity Mentality: Feed, house, and cure through education
- Recruitment and Referrals: Non-profit world is very helpful to one another
- Workspace is workstation with desk, chair, bandwidth, and coffee; everything needed to get the job done
- All Good Coffee: Company created to sell coffee to host facilities giving space
Resources
https://allgoodwork.space/
https://allgoodcoffee.org/
https://alliancevirtualoffices.grsm.io/AndersonPodcast
https://www.wework.com/
https://www.regus.com/
https://www.hq.com/
https://www.blackstone.com/
Real Estate Investment Trust (REIT)
https://www.reit.com/what-reit
Unrelated Business Income Tax (UBIT)
https://www.irs.gov/charities-non-profits/unrelated-business-income-tax
https://en.wikipedia.org/wiki/The_Gospel_of_Wealth
From Traumatic Brain Injury To Nonprofit VICTORY!
https://andersonadvisors.com/podcast/starting-your-own-nonprofit/
http://tobymathis.com/
https://andersonadvisors.com/
Anderson Advisors Tax and Asset Protection Event
https://andersonadvisors.com/asset-protection/
https://www.youtube.com/channel/UCX5nh607M8hSBLiMB9MgbIQ
Wednesday Jun 19, 2019
Wednesday Jun 19, 2019
Are you and your friends getting the runaround from accountants, attorneys, and others charging for tax advice? Toby Mathis and Jeff Webb of Anderson Advisors set you straight and answer your tax questions. Do you have a tax question? Submit it to taxtuesday@andersonadvisors.
Highlights/Topics:
- If somebody inherits property through a probate, how can you avoid capital gains? When someone dies, capital assets step up to fair market value and costs $0 in capital gains
- What are typical percentages of improvement value for the cost segregation of personal property for 5, 7, and 15 years? About 20%, if property is less than 20 years
- If someone sells inherited real estate for less than appraised value, can they take a tax loss? Depends, but usually not on personal use property
- What constitutes being a real estate professional? 750 hours of professional time in real estate and material participation in real estate activities
- If I move to a different state, does my LLC need to be registered in new home state? Depends, if LLC is separate entity/location, it doesn’t need to be registered in new state
- Does a home-based business help with lowering taxes and need to be incorporated? Does allow some deductions, if business is profitable; doesn’t need to be incorporated
- Can I change my LLC taxes from one year to the next? Yes, but some limitations exist
- Can an LLC be recategorized from a sole proprietorship to C or S Corp in mid-year? Yes, but there are rules to follow and tax forms to complete
- If you’re doing an online business, such as an app, does LLC need to be in your own home state? No, if only doing interstate commerce
- Is equity stripping a necessity in real estate asset protection? Yes, stops lender and others from getting entire equity from your property
- What is the 199A deduction? 20% deduction on qualified business income
- If I start private lending to individual investors, is it possible to take the 199A deduction? Yes, maybe; if designated as specified service
- What’s the definition of dealer? What are the ramifications? Depends on your intent when purchasing the property; dealer buys something to sell it, investor buys and holds it
For all questions/answers discussed, sign up to be a Platinum member to view the replay!
Go to iTunes to leave a review of the Tax Tuesday podcast.
Resources
Using Cost Segregation in Residential Real Estate
Modified Accelerated Cost Recovery System (MACRS)
How to become a Real Estate Professional for Tax Purposes
1031 Exchanges: 10 Things to Know
Anderson Advisors Tax and Asset Protection Event
Infinity Investing Workshop (use code: freetax)
Saturday Jun 15, 2019
Saturday Jun 15, 2019
Every day, about 4,000 people become 85 years old. Every year, thousands of them need help. Many people are turning to residential assisted living (RAL). Not only entrepreneurs and business professionals who see it as an opportunity to make money, but for those needing help as they get older. Today, Toby Mathis of Anderson Business Advisors talks to Gene Guarino of Residential Assisted Living (RAL) Academy. Gene’s interest in RAL became real when his mom needed help. It was no longer all about a business opportunity to invest in and make money, but creating a perfect place for mom and making a community and worldwide impact.
Highlights/Topics:
- Entrepreneurial path that led Gene down the real estate road to RAL
- First property purchase as a real estate professional: No money down, no credit, no clue
- Keeping-it-all-for-myself mentality vs. willingness to share, teach, and answer questions
- What is RAL? Converted single-family homes that provide aging population with basic or advanced care, depending on their needs
- Moving in with your adult children, or going into a nursing home aren’t the only options
- Perception vs. Reality: Nursing home is 24x7 medical care; most don’t need such care
- Taking care of aging parents isn’t practical for most families; caregivers can suffer significant health consequences due to added pressure and stress
- Nursing home provides 24/7 medical care via doctors, nurses, and gurneys; RAL offers 24/7 assistance from qualified caregivers for basic, non-medical help
- Average cost for RAL is $4,000 per month, per room; what matters most is the quality of care, location, and price
- Three most common mistakes made when looking for RAL property: Wrong location, wrong type of real estate, and trying to do it all - instead of hiring others
- RAL Academy: Educates and connects investors, operators, and owners interested in senior housing projects
Resources
Residential Assisted Living Academy
Insiders Guide to Investing in Senior Housing (Amazon)