Financial planning and estate planning came up in the new year. What do you do for tax planning? Do you engage someone specific to help with this? Do you guys have strategies to do this? Short, medium, and long term?
I’ve done very little tax planning, and have just focused on the top line most of the time. TIA.
Plan on paying more taxes to Uncle Joe and Nancy’s nephew
Depending on your net worth, income stream and investments.
For net worth 1-10M, just search google for personal finance or reddit personal finance blogs and you can also see some books in amazon.
Search google and Amazon with “tax planning for high income individuals”, you will get plenty of references/books, choose one suitable for you.
Above that level, there are tax planners (CPA) approach them.
Don’t sell and you don’t pay taxes At least until there’s a wealth tax…
We already have a wealth tax. Property tax is a wealth tax
True but renters pay it indirectly. Plus, most states limit the increase in property tax each year.
In theory property tax pays for services provided - fire, police, schools, roads, etc.
In much of America this is still the case. States like CA and NY are outliers.
My only tax planning consists of tax loss harvesting. If I have a losing position I want to keep I double it in November and the sell half of the total in December. Other than - it’s just estimating quarterly payments.
Turbo tax is beyond bugged right now. They’ve done a crap job this year. It defaults to standard deduction even when itemized deductions are much higher. They also lack summarized views. It’s amazing how much worse their product is than prior years.
Interesting, I had an issue where it did not include depreciation on my rentals in Schedule E and then had to go back through a bunch of old returns to figure it out manually. In prior years it has been auto-populated and spot on.
You got gifts from an uncle who has a startup?