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Hello High Earners and Future High Earners, When I was in DC, one of the things they said was that they are educating their staff on the 2017 tax laws. These are the tax laws prior to the Tax Cuts and Jobs Act of 2017 (TCJA). Some of the changes that were implemented with TCJA are: INDIVIDUALS: 1) Lower individual tax rates 2) Increased standard deduction 3) Elimination of personal exemptions 4) Increased child tax credit 5) State and Local Tax (SALT) deduction cap 6) Medical expense deduction threshold BUSINESSES: 1) Section 179 expensing 2) Bonus depreciation 3) Business interest deduction limitation 4) 20% Qualified business income deduction OTHER: 1) Estate and gift tax exemption As I mentioned before, the expiration of these laws will result in higher taxes for individuals and businesses. Over the next few weeks I will explain what each of these are. You may be impacted by more than one. By the time 2025 rolls around, and the new administration is in place, you will know what to look out for that could significantly impact your taxes. Understanding how the tax laws apply to your situation is key in keeping your tax liability low. If you are a high earner with a high tax bill ($25,000 or higher) enter here to see if you qualify for a Free Tax Advisory Discovery Call:
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Tax filing is a one time event, but successful tax planning happens year 'round. |
Welcome to the KNK Tax & Accounting Blog
Hello Wealth Builders! We are heading into the final stretch of the year. As we approach 4th quarter, it's important to take the necessary steps to minimize or eliminate your tax bill BEFORE the end of the year. Here are 7 things you can do to ensure you finish the year strong: Review your financial reports. Your taxable income is partly determined by your net income (revenue minus expenses). Increase expenses (if needed). If your business needs new equipment, now may be the time to consider...
Hello Wealth Builders! Last week I shared 10 things you need to know before reducing taxes. This week we'll explore the next level. Here are 10 things you can do to start reducing taxes: Tax-Advantaged Accounts: Maximizing contributions to retirement accounts (401(k), IRA), Health Savings Accounts (HSA), and Flexible Spending Accounts (FSA). Tax Loss Harvesting: Strategies for offsetting capital gains with capital losses to reduce taxable income from investments. Charitable Contributions: How...
Hello Wealth Builders! I always say there are levels to building a business and saving on taxes. Too many times I've been approached by people who just want the secret sauce to paying little to no taxes, or don't take the time to understand how income works. I wanted to share 10 things that my most successful clients did and are doing to ensure they are handling their business correctly and paying the least amount in taxes: Understanding Tax Brackets: How progressive tax systems work and the...