Quote:
|
Originally Posted by Cleo
How are you paying so little? Income tax is 30% right off the top.
|
I spend an hour every quarter, and a few hours in October on the phone with my accountant to make sure that I do things in the most tax advantaged way possible.
I do have 2 corporations and one LLC (soon to add another LLC) that things get assigned to based on the 'work'. Its not too bad since everything is handled in a few quickbooks files from a paperwork standpoint. This year, in November he told me what I was going to owe in April, I accellerated some purchases that I hadn't intended to make until Feb and wiped out a considerable amount of tax. Not that I still have the money, it was used to buy equipment, but, better to buy the equipment than to send it to Uncle Sam.
Most of what I do is done based on tax consequences. I figure the more that I can keep and use to grow my business, the quicker I can grow. Sometimes my accountant gets mad because I'll do things because they need to be done, and if I had structured it a little differently it would have made his life easier.
One day, maybe I'll have enough money that I won't care as much about each dime.