Tag: financial-planning
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Thinking of Selling Your Startup? How QSBS Lets You Keep More of Your Profit.
Taxes are a crucial piece of selling a business. As a result, the more planning done ahead of time before selling could have massive swings in the amount owed after the sale. If done correctly, Qualified Small Business Stock (QSBS) may be one of the best planning ideas to reduce taxes. While there are requirements…
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How Can I Sell My Real Estate? How 1031 Exchanges Can Help With the Taxes.
Attempting to sell appreciated investment properties can include a significant tax decision. Many investors could have tens or hundreds of thousands of gains that could be taxable. To make matters worse, investors may have to recapture the depreciation they claimed in previous years. Highly appreciated real estate can be a struggle to move into another…
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Is Buying Rental Properties a Good Idea? Why Business Owners are Drawn to Real Estate.
Why do so many business owners buy real estate? Usually, when I am reviewing the total assets of a business owner, inevitably, they own real estate outside of their home. That could be residential or commercial real estate, and usually more than one. While real estate is one of many investments, some owners value the…
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Planning to Exit Your Business? How Owners Structure Their Deals for More Post-Tax Dollars.
Different types of business sales can have dramatically different outcomes. After valuing a company and a potential buyer wants to purchase the business, the next step is structuring the type of sale between the buyer and seller. One of the most important goals for sellers is to minimize the amount of taxes on the sale.…
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How Much is Your Business Worth? The Power of Knowing the Value of Your Business.
Do you know the value of your business? Most owners don’t, and it could cost them. Even though most businesses in the US are technically small businesses, understanding the true value of these companies has not been generally accepted. Every owner who wants to sell their company will eventually go through the valuation process. However,…
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Why Should You Sell Your Business? How Business Owners Know It’s Time to Move On.
Selling a business can be a major financial life event. Especially for those who have built their business from the ground up over decades, it can be a monumental undertaking. While at some point every business owner thinks about selling their business, recognizing the right time is often a much harder problem. There is no…
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Why is Your Tax Bill Higher Than You Expected? Understanding NIIT and Additional Medicare Tax.
If you’re a high-income earner or business owner, you may have looked at your tax return and wondered, “Why does this number feel bigger than it should be?”. After accounting for income tax and capital gains tax, there are two additional taxes that get added to those with high enough incomes: Net Investment Income Tax…
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What is Tax Loss Harvesting? A Smart Way to Cut Taxes Without Hurting Your Investments.
When markets get choppy, some clients ask for proactive ways to take advantage of everything going on. For business owners and professionals with money in brokerage accounts, they could have an opportunity to lower their taxes without altering their overall investment plan. Tax loss harvesting is a strategy that lets you use temporary losses to…
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When is the Best Time to Invest? How Dollar-Cost Averaging Could Make that Decision Easier.
If someone tells you when the perfect time to invest in the market is, they are likely lying. Market timing is always a popular topic, especially with the recent drops in the market. If you recently acquired excess money from a bonus, cashed out an investment, sold a business, etc., you may question how to…
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Maxing Out Your 401k? The Mega Backdoor Roth Might Let You Save Even More
For business owners and high-income professionals looking to maximize their retirement savings, traditional options like a 401k or a Roth IRA often come with frustrating contribution limits. But what if there was a way to contribute significantly more to a tax-advantaged account? The mega backdoor Roth strategy could allow you to do so. If your…
TC Falkner 