(GCC: People read everything I’ve written about Real Estate and automatically assume that I believe owning real estate in any form is a terrible idea. That is understandable, but is only mostly true :) When consciously entered as a real business and with a compatible personality, rental real estate can be a capital friendly, cash flow friendly, and tax friendly path to Financial Independence. In fact, this is the approach I recommended to my own brother. Today, Coach Carson enhances our Never Pay Taxes Again series, paying no taxes with rental properties.)
Jeremy set the bar high for early retirees. While most of us aim to minimize or optimize our taxes, he wrote an article that took it to another level entirely. His crazy idea was to Never Pay Taxes Again!
After reading Jeremy’s article, I began to look more closely at my own tax returns. I realized that most years I also paid little or no income taxes. And it turns out I used the same core principles Jeremy explained, except I did it with real estate investing.
So, this is my turn to show how to never pay taxes again (or at least keep them to a minimum). I’ll build on the core principles you’ve learned from Jeremy. Then I’ll explain the nuances that make real estate both beneficial and challenging.
This week I’m going into the GCC Inbox to answer a question I’ve received several times over the years.
GCC
Thanks to your blog my wife and I will be retiring early next year. We are Americans and want to move abroad for a few years, in part for the adventure but also to minimize our taxes in the early years. This should help with sequence of return risk. Most of our retirement income will come from qualified dividends and long term capital gains, same as you.
We like the idea of being in one place most of the time. Are there any countries you think would be good to use as a base?
(This post is the 1st in a series. Subsequent posts forthcoming… soon.)
The stock market has had a pretty good run over the last 10 years or so.
If you’ve been following financial best practices by contributing to Traditional 401ks and IRAs, the odds are good that those retirement accounts are reaching lofty heights.
Is it possible that those accounts have grown too large? Is your 401k TOO BIG?
A great number of world travelers utilize the Foreign Earned Income Exclusion to keep up to $102,100 in income out of the paws of the IRS (2017 tax year.)
For those who aren’t bonafide residents of another (non-US) country, this requires passing the Physical Presence Test (PPT) by being in a foreign country or countries for at least 330 days.
2017 is the first year we tried to pass the PPT, and getting it wrong by even one day could cost $20k or more in tax. Needless to say I wanted to get it right.
Many of we early retirees and aspiring early retirees are on the never ending quest to Never Pay Taxes Again.
With the Tax Cut and Jobs Act of 2017 about to be signed into law (aka the Largest Tax Cut in HistoryTM, perhaps a better name than The Mother of All Tax Cuts) it is worth assessing what impact this round of tax reform may have on the common tax minimization strategies.
Overall, I prefer a little more reform in my tax reform, but most individuals should see…
Greetings, friends. For the past 4 years I’ve shared the Go Curry Cracker tax returns to showcase how the Four Principles of Tax Free Living are applied in the real world.
I violate Principle #1 myself, which means I get to file additional tax forms, namely the Schedule C, Profit or Loss From Business (Sole Proprietorship). This is of course good fun.
It would be a shame to keep all of these good times to myself, so this year let’s explore the GCC business taxes. In doing so, I will reveal all of the juicy details on how I make (and spend) money blogging.
