An effective tax strategy is a year-long process. It requires planning, evaluation and review. While eliminating taxes is nearly impossible, tax deferral strategies allow you to delay payment and lower your overall tax obligation. If you have a high net worth, are in a high-income bracket or intend to sell highly appreciated assets, you could owe a hefty tax bill unless you take steps to offset or lower your taxes.
Real estate is a potentially lucrative investment. If you’re like many investors, you might not be fully aware of the options available for increasing financial gains over the term of property ownership. Owning real estate can shelter some of your money from income taxes unless you lease it out. However, your investment also becomes a tax deduction.
If you hold substantially appreciated assets, selling those assets can result in a hefty tax bill. Turning over a sizable proportion of the profits from the sale significantly reduces the benefits you gain from making a sound investment decision. However, you don’t necessarily need to take such a hit, at least not upfront.
Retirement planning is essential to secure your financial future and live a comfortable lifestyle. However, so many struggle with knowing how and what to plan for. What is the average monthly retirement income? At Reef Point, we get this question often as clients try to ascertain how to use a deferred sales trust to supplement retirement income from their 401Ks or pensions.
You invest significant resources into growing your assets, understanding that risk is always involved. However, no matter your risk tolerance level, developing wealth preservation strategies is essential in maintaining financial health now and into the future.