If someone told you that you need an LLC before you can deduct business expenses, they got it wrong. I hear this myth from business owners all the time. They spend money forming an LLC expecting bigger write-offs, only to...
You formed an LLC, opened a business bank account, and transferred your rental property into it. Now your investment is protected from lawsuits, right? Not necessarily. What happens if you get sued personally? Maybe you're involved in a car accident,...
Owning multiple rental properties through separate LLCs creates an immediate operational challenge. Each additional business entity can mean another bank account to open, fund, reconcile, and maintain. Four properties can quickly become four bank accounts for LLCs. Add a holding...
If you own rental properties, you've probably thought about what would happen if a tenant sued you. But real estate asset protection goes beyond preparing for a lawsuit. Start by looking at how you own your properties, how much of...
If I owned five rental properties in my personal name, I wouldn't rush out and create five LLCs. I'd slow down and look at each property first. Where is it located? Does it have a mortgage? How much equity is...
Most homeowners, investors, and landlords treat their property tax bill like any other bill. The county sends it, you open it, get irritated, and pay it. But what if you're paying more than you have to? Depending on where the...
One of the biggest misconceptions I hear from real estate investors is that owning multiple LLCs automatically means filing multiple tax returns. So, do multiple LLCs mean multiple tax returns? Not necessarily. You can structure multiple rental LLCs to isolate...
Most business owners know about tax deductions. But there’s a tax credit hiding inside a retirement strategy that many business owners may be overlooking. It’s called the eligible automatic contribution arrangement, or EACA, tax credit. If you have an eligible...
An LLC can be perfectly formed, properly structured, and still fail you when a creditor comes knocking. The problem often isn't the LLC. It's the evidence you create after you form it. Every contract you sign. Every dollar you move....
Most small business owners know they have to pay income taxes. The taxes that cause the biggest problems, however, are often the ones they never planned for. I’ve seen successful business owners reinvest nearly every dollar back into their companies,...
You formed the LLC. You created the living trust. You may think you've finished your estate plan. But did you ever transfer your LLC interest into the trust? I see real estate investors make this mistake far too often. They...
You bought a rental property for $200,000. Today, it’s worth $600,000. On paper, that’s a great investment. But turning that appreciation into cash can come with a price. Once you factor in capital gains tax on rental property, depreciation recapture,...
Cost segregation is one of the most powerful tax strategies for real estate investors. But for some properties, it may not be the benefit you think it is. I’ve talked plenty about how cost segregation can save real estate investors...
