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Speaker 1: Welcome to How to Money. I'm Joel and I'm Matt,

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Speaker 1: and today we're discussing how to massively cut your tax bill. Joel,

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Speaker 1: what's not man? Hey, body, are you feeling healthy? It's

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Speaker 1: after the holidays now, when we're done being sick. Anybody

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Speaker 1: who's got young kids knows that sickness travels around constantly.

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Speaker 1: It feels like somebody in your family is always sick

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Speaker 1: and they're giving it to the next person. And you

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Speaker 1: have three young kids, and so you're bound to be

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Speaker 1: sick with three different things, probably at the same time. Really,

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Speaker 1: we just embrace it because there's no way that where

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Speaker 1: you're just not going to catch whatever is going around,

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Speaker 1: And so what's the point in trying to sterilize everything

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Speaker 1: and live and fear instead of just trying to be

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Speaker 1: like a good parent and loving on them. So that's

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Speaker 1: our approach. Now. I used to be a German phobe.

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Speaker 1: No longer. You can't be a German totally. Oh, Matt,

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Speaker 1: I wanted to mention that in our Facebook group. By

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Speaker 1: the way, we have a Facebook group. If you guys

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Speaker 1: don't know about that, it's how to Money. Just search

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Speaker 1: that on Facebook and you'll find our Facebook group, and

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Speaker 1: it's great because people can interact with each other that

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Speaker 1: listen to the podcast and there's all sorts of awesome

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Speaker 1: information that that everyone is throwing out at each other.

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Speaker 1: And Sharisa actually had a question about refinancing her car loan,

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Speaker 1: and I thought it was a great question. Ultimately, it

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Speaker 1: turned out that she needed to do a little more shopping,

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Speaker 1: I think, to try to find a lower rate. And

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Speaker 1: usually the best rates for a car loan refinance are

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Speaker 1: going to be at your local credit union. You know,

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Speaker 1: you and I we've talked about credit unions, how great

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Speaker 1: they are, and how sometimes their their loans, the loans

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Speaker 1: that they write are are written at at the best

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Speaker 1: interest rate possible, and the customer services usually pretty solid.

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Speaker 1: So we recommended that to her, and that led me

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Speaker 1: on a wild goose chase to kind of look at

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Speaker 1: what was going on with our credit union right now,

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Speaker 1: the credit union that you and I are both members

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Speaker 1: of locally, and they're running a promotional rate of a

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Speaker 1: fifteen year mortgage for three Yeah. That is pretty much

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Speaker 1: the best rate that I've seen in the past two

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Speaker 1: years or so. Yeah, So they have a normal rate

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Speaker 1: of four percent, and they said, you know, what for

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Speaker 1: the next month and a half, we're opening up this

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Speaker 1: promotional rate of a full point lower. That's insane, which

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Speaker 1: is incredible. So I believe I called you immediately. Yeah,

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Speaker 1: you called me and you said, dude, I've got big news.

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Speaker 1: And I didn't know what had happened. Maybe when the lottery,

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Speaker 1: because you play that every single day. I just, yeah,

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Speaker 1: that's where all your money goes. Uh, And you said,

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Speaker 1: our credit union is offering an awesome rate three percent

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Speaker 1: fifteen year fixed. I'm not gonna lie. I was a

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Speaker 1: little disappointed us. I thought something maybe a little bit

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Speaker 1: cooler hit happened, but for nerds enough to where that

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Speaker 1: did get us excited. We both have mortgages through that

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Speaker 1: credit union. They keep the costs low, and that's just

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Speaker 1: what's so awesome about a credit union. They're able to

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Speaker 1: keep the cost load. They're not spending all this money

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Speaker 1: on advertising. I doubt anybody knows about that rate unless

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Speaker 1: they've been to the website and just saw it on

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Speaker 1: their website, right, Like, they don't advertise, they're not blitzing

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Speaker 1: it on TV. Yeah, yeah, exactly. But in the end,

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Speaker 1: they're able to pass that savings onto us as owners

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Speaker 1: of the credit union, right like we are part owners

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Speaker 1: and yeah, you do you think you're gonna try to

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Speaker 1: take advantage of that? Oh yeah, oh yeah, I definitely.

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Speaker 1: I feel up the application today. I'm ready to make

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Speaker 1: it happen, so I know, so I love it. That's awesome.

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Speaker 1: Just definitely, word to the wise, check your local credit union.

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Speaker 1: You know, if I had just gone to bank Rate,

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Speaker 1: even which I think is a great site for rate shopping,

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Speaker 1: if you're looking to especially refinance a mortgage, this rate

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Speaker 1: wouldn't have shown up because it's a hyperlocal offering. And

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Speaker 1: so check out your local credit union, especially for mortgage

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Speaker 1: refinances and for car loans, car loan refinances, that's just

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Speaker 1: the best place to go. They have amazing rates, amazing

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Speaker 1: customer service. So yeah, just make sure you check out

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Speaker 1: a local credit union. All right, Joe, quick game for you,

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Speaker 1: the play some frugal or cheap You're ready? Why not? So,

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Speaker 1: it's been about five years since I've been to the

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Speaker 1: dentist Frugal or cheap that uh, that certainly borders cheap

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Speaker 1: right there, So I think you should get in there

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Speaker 1: and get it checked up. Five years a long time.

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Speaker 1: It is a long time, but here's the reason why

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Speaker 1: I feel like it's being frugal, and it's because I'd

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Speaker 1: never get cavities my entire life. I've gotten maybe I

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Speaker 1: don't know, like two cavities seriously my entire life, but

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Speaker 1: you probably have six right now and you just don't

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Speaker 1: know about it. No. No No, when I start to feel them,

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Speaker 1: I just brushed them out right. Yeah, did you know?

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Speaker 1: That's the thing? No. I mean, maybe it's not really,

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Speaker 1: but but no, it's the truth. I I really don't

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Speaker 1: get cavities. The last time I went to the dnist

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Speaker 1: was about five years ago, and before that it was

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Speaker 1: maybe seven years and five years ago when I went.

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Speaker 1: The whole time I was sitting there, I thought, man,

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Speaker 1: this is a huge waste of time and a waste

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Speaker 1: of money. I had sort of gotten guilted into going

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Speaker 1: by a dentist friend. They they were just explaining to me, how, no,

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Speaker 1: you you have to go to the dentist, and so

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Speaker 1: I thought, Okay, they know what they're talking about. But

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Speaker 1: in the end, it was good to know that I

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Speaker 1: didn't have any sort of mouth diseases, but I also

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Speaker 1: don't have any cavities, and so basically it was just

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Speaker 1: an expensive cleaning. Oh. I will say though, when I'm

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Speaker 1: sitting there and getting worked on in my mouth and

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Speaker 1: they're kind of scratching and doing different stuff, I like that.

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Speaker 1: What do you think about that? Nobody nobody likes. Nobody

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Speaker 1: likes going to the dentist, But for whatever reason, when

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Speaker 1: I'm sitting there, I'm just able to relax and it's

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Speaker 1: kind of like getting a massage, but not quite as nice.

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Speaker 1: How could you even say that? How could you equate

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Speaker 1: that too? Yeah? I don't know. Maybe I'd like enjoy

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Speaker 1: surgery as well if I was just laying there and

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Speaker 1: someone's got their scalpels inside of me. Volunteered to the

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Speaker 1: local medical college to be a cadaver so they can

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Speaker 1: they can like mess around with your insides. Yeah. Man,

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Speaker 1: So in the end, when you go to a dentist,

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Speaker 1: what do they tell you? They say, pressure teeth and

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Speaker 1: floss and that stuff that you can do at home.

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Speaker 1: And so I'm going to stick to my guns and

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Speaker 1: say that the fact that I haven't been to the

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Speaker 1: dentist in five years, I'm being frugal as long as

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Speaker 1: it doesn't end up costing me more money down the road.

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Speaker 1: And I'm not putting this burden on anybody else around me,

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Speaker 1: you know, all the things that we talked about in

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Speaker 1: our frugal Versus Cheap episode. All right, So, speaking of teeth,

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Speaker 1: Selma my daughter, my oldest in kindergarten, she just lost

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Speaker 1: her first tooth. She was super pumped about it, and

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Speaker 1: she's got another one that's like ready to come out too.

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Speaker 1: And so this is the first time that we had

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Speaker 1: to be the tooth fairy, right and to determine how

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Speaker 1: much money Selma gets for losing a tooth. And she

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Speaker 1: had specifically requested chocolate too, so just assuming that maybe

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Speaker 1: the tooth Fairy might bring that, So we gave her

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Speaker 1: a dollar four quarters in particular with her she's kissed,

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Speaker 1: And I think that's a pretty fair tooth fairy amount

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Speaker 1: to give for a kindergartener. What do you think a dollar?

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Speaker 1: I have a feeling that most folks these say they're

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Speaker 1: paying a little more than that. Probably I'm with you, though,

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Speaker 1: because it doesn't really matter to them at this age.

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Speaker 1: And what what someone likes in particular is having multiple

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Speaker 1: different pieces of money. So it's it's about more about ut.

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Speaker 1: If I gave her a twenty dollar bill, she wouldn't

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Speaker 1: have thought it was nearly as cool as four quarters.

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Speaker 1: So at the same time, I got her a new

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Speaker 1: piggy bank for Christinas And this is has like a

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Speaker 1: little digital reader on top, so every time you drop

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Speaker 1: the money and it counts and it tells you how

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Speaker 1: much you have in there. Nice and so I'm just

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Speaker 1: really excited too that I think that will help her

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Speaker 1: maybe understand saving money a little bit more. She's only five,

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Speaker 1: but I think this is a good way for her

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Speaker 1: to kind of understand all right, I'm putting it in here,

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Speaker 1: I'm watching it grow, and that's just kind of like

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Speaker 1: one of the tactics that I'm gonna use with teaching

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Speaker 1: her how to think about money, and by watching that

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Speaker 1: kind of amount grow over time and she stocks it

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Speaker 1: away for the future in this piggy bank. I'm excited

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Speaker 1: about that, and I think it was just like a

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Speaker 1: perfect present for for a five year old for Christmas. Dude,

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Speaker 1: that's awesome. Yeah, I'm with you. I'm really excited about

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Speaker 1: teaching our girls about money. I feel like we jumped

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Speaker 1: the gun a little bit last year, or even may

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Speaker 1: have been two years ago. We got our oldest who

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Speaker 1: was not five, She wasn't four, she may have been

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Speaker 1: three and a half. But we got her the financial

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Speaker 1: piece junior kit or set up that's like the Dave

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Speaker 1: Ramsey thing, right, and man, I think it totally went

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Speaker 1: over her head. She was interested for a little bit,

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Speaker 1: but for the most part just kind of something she

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Speaker 1: just didn't really get into yet. And so we are

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Speaker 1: getting closer to them being six years old this year,

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Speaker 1: and yeah, it's going to be an awesome year to

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Speaker 1: start cementing some of those principles saving, working hard for

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Speaker 1: your money, just all the things that we want to

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Speaker 1: be able to teach our children when it comes to finances. Yeah.

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Speaker 1: Well you got her a calculus book too at the

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Speaker 1: same time, and that was just overkill for sure. I Mean,

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Speaker 1: I don't know what you're expecting out of her, but

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Speaker 1: you you've you've high, lofty goals set up for your

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Speaker 1: for your kids. Yeah. Man, I'm half Asian, so of

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Speaker 1: course I do. She's gonna be a doctor, alright, Joel.

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Speaker 1: And every week on the show we enjoy a craft

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Speaker 1: beer because man, that is one of the things we

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Speaker 1: love to do is drink craft beer and lots of it. Alright,

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Speaker 1: not too much, but yeah, the amount just the right

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Speaker 1: amount um and I am so pumped that we have

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Speaker 1: some beer from Southern Swells Brewing Company. This is a

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Speaker 1: brewery that you and I discovered randomly while we were

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Speaker 1: down at the beach down in Jacksonville, Florida. I remember

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Speaker 1: the moment we were driving in the car. We were

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Speaker 1: hitting in the grocery store to pick some stuff up,

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Speaker 1: some provisions for the family, right, and we were just

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Speaker 1: googling to see what brewers were in the area, and

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Speaker 1: we found like three and then just showed up on

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Speaker 1: top though, well then we know, and then we looked

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Speaker 1: on on tap to kind of see to verify how

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Speaker 1: good are the beers these each of these brewers are making.

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Speaker 1: And it turned out Southern Swells beers, right, we're getting

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Speaker 1: great rating. Yeah, you're driving and I remember telling you,

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Speaker 1: oh dude, oh these are all great. We need to

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Speaker 1: go there right now. And we're supposed to get to

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Speaker 1: Publix to pick up some groceries for the beach, and

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Speaker 1: instead we did a little detour in Southern Wells were

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Speaker 1: drinking is a pleasure. Its swung into there and it

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Speaker 1: was really sweet of Kate the Coat, one of the

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Speaker 1: co owners of Southern Swells, to to send us a

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Speaker 1: little gift basket of Southern s Wells beers. Honestly, they're

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Speaker 1: making some of the best I pas in the Southeast.

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Speaker 1: They're so good. Yeah, they're so good, mind blowingly good.

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Speaker 1: And so we had one of those beers on our

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Speaker 1: show with our wives that we recorded at the beach.

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Speaker 1: We are excited to be drinking today karate in the garage. Alright, buddy,

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Speaker 1: take a seven. Give me a one word description of

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Speaker 1: your take on this beer. Oh man, dude, just as

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Speaker 1: good as I remember it last summer. I love how

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Speaker 1: a beer can kind of take you back to a

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Speaker 1: time in a place. Yeah, I love that. I love that. Okay,

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Speaker 1: my one word is going to be hazy. How about you, man,

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Speaker 1: you got a word for me? Yep? Alright, my one

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Speaker 1: word is going to be bomb. So yeah, we'll explain

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Speaker 1: the reason we chose those words at the end of

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Speaker 1: the show. But for now, Matt, let's get into the

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Speaker 1: subject in hand, because we've got a lot to cover.

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Speaker 1: The topic that we wanted to talk about today is

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Speaker 1: how to massively cut your tax bill. So yeah, this

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Speaker 1: whole episode is going to be about lowering your adjusted

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Speaker 1: gross income because that is the biggest lever you can

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Speaker 1: pull in lowering your tax bill, And specifically, with the

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Speaker 1: new tax law being in full effect, it changes a

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Speaker 1: few of the basic ways that we think about how

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Speaker 1: we optimize our taxes. Just the way an individual conceptualizes

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Speaker 1: how they file taxes has completely changed based on the

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Speaker 1: new way that the standard deduction is set, and estimates

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Speaker 1: now say that only ten percent of foakes are going

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Speaker 1: to itemize their deductions compared to under the previous way

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Speaker 1: that tax code was written. Hey, Jel, that's right. We

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Speaker 1: have a higher standard deduction and we're gonna actually get

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Speaker 1: into that more on our next episode next week, and

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Speaker 1: we're actually gonna dive more into the specifics of that

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Speaker 1: standard deduction versus itemized deductions. Wait, are you telling me

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Speaker 1: to tax episodes back to back? I mean, if you're lucky,

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Speaker 1: we can make it like six or seven episodes back

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Speaker 1: to back. I'd be really really amazing. Right, let's captive too,

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Speaker 1: I think we would see our listenership drop tremendously. But yeah, So,

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Speaker 1: regardless though of whether you take the standard deduction or

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Speaker 1: if you automize your deductions, there is another way to

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Speaker 1: reduce your tax bill, which is what you already said

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Speaker 1: by reducing your adjusted gross income, and this is by

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Speaker 1: taking advantage of above the line deductions. Technically they're not

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Speaker 1: actually deductions, but adjustments that you can make to arrive

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Speaker 1: at your adjusted gross income. And reducing your a g

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Speaker 1: I is important because the I r S you is

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Speaker 1: it as a threshold for assessing if you qualify to

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Speaker 1: take other tax credits and itemize deductions or you know,

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Speaker 1: the below the line deductions. So typically the lower your

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Speaker 1: a g I your adjusted gross income, the better, but

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Speaker 1: that's not always the case though, right, So yeah, of

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Speaker 1: course having a lower adjusted gross income is going to

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Speaker 1: be better for your taxes right now, Right, the lower

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Speaker 1: of an income that you're reporting to the I r

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Speaker 1: S means that you are going to pay less than taxes.

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Speaker 1: That's just common sense. Yeah. Plus you get the benefits

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Speaker 1: right to be able to qualify for college financial aid,

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Speaker 1: You get subsidies through the a c A to help

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Speaker 1: pay for healthcare. There's a lot of benefits. Yeah, yeah,

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Speaker 1: other benefits potentially of having a lower a g I

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Speaker 1: not just paying less in taxes, right, but the ones

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Speaker 1: you mentioned. But then in addition, there are tax credits

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Speaker 1: that exist that are only available to lower income individuals, right,

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Speaker 1: And I kind of put that in air quotes while

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Speaker 1: I said it. That's because it's all based on your

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Speaker 1: a g I, not your total income, but on your

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Speaker 1: adjusted gross income that you report for since, like the

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Speaker 1: Savers credit, if you make under a certain amount, the

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Speaker 1: government will in fact subsidize how much you contribute to

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Speaker 1: retirement accounts. I think that's amazing. Well, yeah, we'll talk

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Speaker 1: a lot more about that next week. Right, credit the

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Speaker 1: main focus of next week's episode. But I did want

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Speaker 1: to throw one caveat because this whole episode is about

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Speaker 1: lowering your a g I and there's a lot of

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Speaker 1: benefit in doing so, but you also have to factor

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Speaker 1: in your overall multi year tax plan. Right. For instance, Matt,

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Speaker 1: you and I we talked about investing in a roth

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Speaker 1: Ira over a traditional I array, and investing in a

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Speaker 1: traditional ira will lower your tax bill for this year, right,

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Speaker 1: But investing in a roth Ira will not. You're investing

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Speaker 1: post tax income when you invest in a wrath. So

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Speaker 1: I would say the one caveat. As you're thinking through

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Speaker 1: this and looking to potentially lower your a g I

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Speaker 1: lower your current tax bill, you want to think about

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Speaker 1: it holistically about how your tax bill might look in

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Speaker 1: years to come, and it might make more sense for

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Speaker 1: you to contribute to a roth ira as opposed to

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Speaker 1: a traditional ira. Even though your age I will look

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Speaker 1: higher this year, it's because you're looking long term. I'll

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Speaker 1: never pay taxes on that roth Ira money ever again,

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Speaker 1: which is pretty sweet. That's a sweet deal. Yeah, exactly.

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Speaker 1: I personally love the rath me too. I think La

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Speaker 1: roth has a lot of benefits. At some point, Matt,

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Speaker 1: we should do an entire episode on how amazing the

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Speaker 1: roth Ira is. Oh and Joel. Another example is if

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Speaker 1: you get your adjusted gross income down too much, it

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Speaker 1: can hurt you when it comes to getting alone. This

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Speaker 1: is something I want to share because this is what

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Speaker 1: Kate and I dealt with personally. We had recently started

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Speaker 1: our business. This is about ten years ago. The housing

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Speaker 1: market had just crashed and we didn't have much income

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Speaker 1: to show because we did our taxes and like most people,

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Speaker 1: we tried to get our taxes as low as possible.

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Speaker 1: And dude, I tell you what, it was so freaking

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Speaker 1: hard to get alone for anything, not like a high

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Speaker 1: fancy loan for for some expensive house. It just made

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Speaker 1: it incredibly difficult. And that was one instance, when I

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Speaker 1: thought it would be nice if adjusted gross income was higher,

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Speaker 1: if we were paying more in taxes. But man, the

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Speaker 1: fact is, most banks these days are willing to lend

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Speaker 1: you way more than you really should be taking on,

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Speaker 1: so it really shouldn't be a problem. However, keep that

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Speaker 1: in mind if you are looking to apply for a

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Speaker 1: big loan, if you're looking to buy a house sometime soon,

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Speaker 1: that they're gonna look at your adjusted gross income. And

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Speaker 1: that is the only sort of caveat we have to

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Speaker 1: share when it comes to getting that taxable income down. Yeah,

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Speaker 1: and I think it's important to Matt for us to

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Speaker 1: let people know we're not tax professionals. This is the

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Speaker 1: beginning of the year. We want you to start thinking

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Speaker 1: about taxes. And you know, Matt and I definitely have

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Speaker 1: some experience, me as a W two employee for my

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Speaker 1: whole life essentially, and you as small business owner. But

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Speaker 1: for most of us, taxes are one of our biggest

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Speaker 1: annual expenses, and it's probably legitimately your biggest, the biggest

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Speaker 1: line item of what you pay out every year. It

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Speaker 1: probably rivals your mortgage right for for how much outgoing

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Speaker 1: you have every year, um. And so while you're getting

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Speaker 1: ready to file taxes. We will also want you to

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Speaker 1: start thinking about your twenty nineteen tax bill, like right now.

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Speaker 1: We don't want you to wait, because there's only so

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Speaker 1: much you can do after you get past a certain

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Speaker 1: point in the year. Right, we want you to start

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Speaker 1: thinking about twenty nineteen taxes in January so you can

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Speaker 1: optimize them in the best way that's gonna fit your scenario.

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Speaker 1: And the other thing we're gonna mention as well is

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Speaker 1: to uh, don't lie or misrepresent right what you earn,

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Speaker 1: what you're spending, or what you're spending towards. You really

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Speaker 1: need to be honest because obviously, not only is that

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Speaker 1: the right thing that you need to do, but there's

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Speaker 1: a chance you'll get audited as well. And I mean

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Speaker 1: i rs IS really gonna stick it to you if

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Speaker 1: they find out that you've committed tax fraud. Have you

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Speaker 1: ever heard of Wesley Snipes? You don't wanna end up

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Speaker 1: like Wesley Snipes, That's all I'm saying. Let that be

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Speaker 1: a poster child for you kids, boys and girls. Yeah,

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Speaker 1: so we'll get into the specifics about the above line

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Speaker 1: deductions you need to be thinking about, you know, right now,

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Speaker 1: throughout the year to potentially reduce your taxable income lower

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Speaker 1: that a g I so that you're not paying more

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Speaker 1: in taxes than you need to be. We'll get to

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Speaker 1: that right after this break. All right, Joel, let's go

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Speaker 1: ahead and talk now about some of these above the

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Speaker 1: line deductions. I feel like I hear Johnny Cash singing

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Speaker 1: above the line, above the line. Yeah, I lost my

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Speaker 1: train of thought. We're doing this to reduce your taxable income. Right?

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Speaker 1: Did we talk about why it's called about the line deductions?

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Speaker 1: Give us a ske Did you know the reason for this? Yeah?

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Speaker 1: So on the old ten forties, right, the full one pager,

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Speaker 1: which is the tax form you fill out right exactly

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Speaker 1: every year in terms of the I R S so

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Speaker 1: that they can tell you that they need your money.

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Speaker 1: At the bottom of the page, right the bottom line

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Speaker 1: is your adjusted gross income and everything that the section

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Speaker 1: right above that are the adjustments, and these essentially are

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Speaker 1: the adjustments we're talking about today. These are the adjustments

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Speaker 1: that you can fill in to lower your adjusted gross income.

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Speaker 1: And these are not considered actual deductions, so you don't

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Speaker 1: have to itemize your deductions in order to get these adjustments.

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Speaker 1: Like we mentioned earlier. Uh, you can take the standard

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Speaker 1: deduction and still have these adjustments to lower your adjusted

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Speaker 1: gross income. But essentially they're all above the line. They're

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Speaker 1: above that adjusted gross income line, and that's why they

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Speaker 1: call them above the line deductions. Pretty cool, Huh, makes

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Speaker 1: complete sense, So, Matt, Yeah, the first way to reduce

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Speaker 1: that tax bile income is putting more money into your

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Speaker 1: retirement accounts, right, reducing your tax bill income by contributing

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Speaker 1: to your four O one K for this year. There's

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Speaker 1: a nineteen thousand dollar limit, and I realize that that's,

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Speaker 1: you know, a hard limit for most average Americans to reach, right,

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Speaker 1: most of us can't max out of our oh one k.

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Speaker 1: But that's a healthy goal. And it's just nice to

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Speaker 1: know too that that even if you bump up what

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Speaker 1: you're putting into your four O one K by a

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Speaker 1: few percentage points automatically, at the same time, not only

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Speaker 1: are you saving more for your future, you're also reducing

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Speaker 1: your income level for this next year's taxes and and

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Speaker 1: and so you're paying less in tax while you're saving

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Speaker 1: for the future. Man, Yeah, while you're building wealth for yourself.

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Speaker 1: It's amazing. Yeah, by far, saving towards retirement is the

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Speaker 1: best way that you can lower your justic gross income.

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Speaker 1: But you're also winning on the back side of it

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Speaker 1: because you're saving for yourself, Like it's not like you're

401
00:19:04,680 --> 00:19:07,320
Speaker 1: saving this for something else. You're winning on both ends

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Speaker 1: of it, which is yeah, just amazing. And if you're

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Speaker 1: like Matt, you don't have access to a four own k, well,

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Speaker 1: we're gonna talk about other options too, because the four

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Speaker 1: own case the traditional retirement vehicle available to most W

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Speaker 1: two workers like myself, but there are many, many other

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Speaker 1: similar retirement accounts that are available to self employed folks,

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Speaker 1: and Matt, what we're gonna talk about next is available

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Speaker 1: to everybody, no matter whether you are self employed or

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Speaker 1: employed by a giant mega company. Ye Man, And that's

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Speaker 1: the traditional IRA, Like you mentioned, it's available to those

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Speaker 1: who are employed and on a W two, but they're

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Speaker 1: also great for those who are self employed. And for

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Speaker 1: that there's that six thousand dollar limit, right, and that

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Speaker 1: reduces your adjusted gross income by the same amount that

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Speaker 1: you contribute. And so if you're trying to get your

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Speaker 1: adjusted gross income down again, Man, saving towards retirement is

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Speaker 1: a huge win. And something else to keep in mind

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Speaker 1: is that you can contribute to last year's contributions your

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Speaker 1: twenty eighteen retirement accounts up until April of this year,

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Speaker 1: up until April of nineteen. You just have to do

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Speaker 1: it before you file your taxes, exactly exactly. So if

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Speaker 1: you hadn't totally maxed that out yet and you want

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Speaker 1: to sneak a few more dollars in there, well you're

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Speaker 1: not really sneaking it. It's totally allowed. Well. And also,

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Speaker 1: I think it's important Matt to quickly mention that these

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00:20:17,720 --> 00:20:19,720
Speaker 1: are really big numbers that we're talking about, and I

428
00:20:19,760 --> 00:20:23,200
Speaker 1: just want people that are maybe feeling a bit overwhelmed

429
00:20:23,320 --> 00:20:25,720
Speaker 1: or thinking, who can actually contribute nineteen thousand dollars there

430
00:20:25,800 --> 00:20:27,879
Speaker 1: for one K and then in additional six thousand to

431
00:20:27,920 --> 00:20:30,720
Speaker 1: their I RA What magical fairyland are Matt and Joel

432
00:20:30,760 --> 00:20:32,680
Speaker 1: living in? Well? I want to say that there are

433
00:20:32,800 --> 00:20:36,520
Speaker 1: lots of folks who are incredibly intentional about lowering their

434
00:20:36,560 --> 00:20:39,560
Speaker 1: living costs and living a frugal life that are able

435
00:20:39,600 --> 00:20:42,560
Speaker 1: to maybe not maximount some can, but are able to

436
00:20:42,760 --> 00:20:45,720
Speaker 1: put a lot more money than the average American typically

437
00:20:45,760 --> 00:20:49,679
Speaker 1: does into their retirement accounts, and it has this benefit

438
00:20:49,760 --> 00:20:52,560
Speaker 1: right of lowering their their tax burden every year as well.

439
00:20:52,960 --> 00:20:55,080
Speaker 1: So if you're struggling listening to this and you're thinking, well,

440
00:20:55,119 --> 00:20:57,439
Speaker 1: I'm not even close to that, I would encourage you

441
00:20:57,480 --> 00:20:59,480
Speaker 1: to go back and listen to our episode called True

442
00:20:59,520 --> 00:21:03,119
Speaker 1: Gality gives you options, because living a frugal life is

443
00:21:03,160 --> 00:21:05,720
Speaker 1: what can allow you to lower your A G I,

444
00:21:06,040 --> 00:21:07,879
Speaker 1: to put more of your money to work for you

445
00:21:08,400 --> 00:21:11,800
Speaker 1: in investment accounts over the long term, lower your taxable

446
00:21:11,840 --> 00:21:14,280
Speaker 1: burden now at the same time. But really, if you're

447
00:21:14,280 --> 00:21:17,080
Speaker 1: living paycheck to paycheck, if you're living above your means

448
00:21:17,160 --> 00:21:19,480
Speaker 1: or at your means, it's gonna be really, really hard

449
00:21:19,520 --> 00:21:21,600
Speaker 1: for you to pull some of these levers and and

450
00:21:21,680 --> 00:21:24,080
Speaker 1: reduce your tax bill. So that's kind of where it starts,

451
00:21:24,119 --> 00:21:26,280
Speaker 1: and it's just yeah, important to kind of point that out.

452
00:21:26,520 --> 00:21:28,359
Speaker 1: So let's go ahead and Joel and talk next about

453
00:21:28,800 --> 00:21:32,919
Speaker 1: using healthcare tax advantage accounts like flexible spending accounts f

454
00:21:33,040 --> 00:21:37,280
Speaker 1: s A S or health savings accounts h s A S. Joel,

455
00:21:37,400 --> 00:21:39,679
Speaker 1: so you've got more experience with an f s A.

456
00:21:39,680 --> 00:21:41,520
Speaker 1: You want to kick it off. Yeah, So I contribute

457
00:21:41,520 --> 00:21:44,040
Speaker 1: to an f s A every year at my work,

458
00:21:44,480 --> 00:21:47,080
Speaker 1: and so I'll explain those real quick in f s A,

459
00:21:47,200 --> 00:21:49,560
Speaker 1: like Matt said, is a flexible spending account, and there

460
00:21:49,560 --> 00:21:51,320
Speaker 1: are two different kinds of f s A S. There's

461
00:21:51,320 --> 00:21:54,200
Speaker 1: an f s A for folks with regular health insurance

462
00:21:54,480 --> 00:21:57,240
Speaker 1: and you can put up to twenty seven dollars a

463
00:21:57,320 --> 00:22:01,760
Speaker 1: year into this uh f s A and it's tax free. Right,

464
00:22:01,800 --> 00:22:04,919
Speaker 1: So if I puts into my f s A, I

465
00:22:04,920 --> 00:22:06,840
Speaker 1: don't get taxed on that income. But I have to

466
00:22:06,920 --> 00:22:11,080
Speaker 1: then spend that money on healthcare related expenses throughout the year.

467
00:22:11,240 --> 00:22:13,440
Speaker 1: And if I don't spend all that money by the

468
00:22:13,560 --> 00:22:15,879
Speaker 1: end of the year, I'm gonna lose it. Yeah, And

469
00:22:15,920 --> 00:22:17,399
Speaker 1: that's the one thing I don't like about it, right,

470
00:22:17,440 --> 00:22:19,840
Speaker 1: It's like the use it or lose it mindset. Yeah,

471
00:22:19,880 --> 00:22:21,840
Speaker 1: I think f s A s have a lot of benefit,

472
00:22:21,920 --> 00:22:24,680
Speaker 1: and I'm able to take advantage of my f s

473
00:22:24,760 --> 00:22:27,640
Speaker 1: A to a great degree. But I agree it's it's

474
00:22:27,640 --> 00:22:30,080
Speaker 1: certainly not the best system. But here's what I would

475
00:22:30,080 --> 00:22:31,719
Speaker 1: recommend to people if they're trying to figure out how

476
00:22:31,760 --> 00:22:33,399
Speaker 1: much money they should put into an f s A,

477
00:22:33,560 --> 00:22:35,640
Speaker 1: you should look at your previous year spending on health

478
00:22:35,640 --> 00:22:39,000
Speaker 1: related expenses. That will kind of help you to make

479
00:22:39,000 --> 00:22:40,760
Speaker 1: a decision about how much you should put into your

480
00:22:40,840 --> 00:22:43,160
Speaker 1: f s A for the following year. And also if

481
00:22:43,200 --> 00:22:45,600
Speaker 1: you begin to let's say, get towards the end of

482
00:22:45,600 --> 00:22:48,000
Speaker 1: the year and you've got a lot of money still

483
00:22:48,040 --> 00:22:49,879
Speaker 1: sitting there in your f s A, you can schedule

484
00:22:49,920 --> 00:22:52,199
Speaker 1: some doctor's appointments and maybe go to the dentist who

485
00:22:52,280 --> 00:22:55,840
Speaker 1: knows exactly right every decade, like Matt does. But yeah,

486
00:22:55,840 --> 00:22:57,959
Speaker 1: there are all sorts of ways to to kind of

487
00:22:58,080 --> 00:23:00,560
Speaker 1: game the system with your f s A and and

488
00:23:00,600 --> 00:23:03,080
Speaker 1: make sure you get that spending in before the end

489
00:23:03,119 --> 00:23:05,359
Speaker 1: of the year ocurs. It's not my favorite, but for

490
00:23:05,400 --> 00:23:07,480
Speaker 1: me it does help in a massive way to to

491
00:23:07,560 --> 00:23:10,280
Speaker 1: lower my tax bill and to to help me really

492
00:23:10,320 --> 00:23:13,040
Speaker 1: do my health spending tax free. It really just takes

493
00:23:13,040 --> 00:23:15,080
Speaker 1: some planning. I guess, honestly, maybe the reason I don't

494
00:23:15,119 --> 00:23:17,520
Speaker 1: like it is because I don't have one. It's like,

495
00:23:17,560 --> 00:23:19,119
Speaker 1: what's key about an f s A is that this

496
00:23:19,160 --> 00:23:22,120
Speaker 1: is something that's offered through an employer, and so being

497
00:23:22,119 --> 00:23:24,639
Speaker 1: self employed, I don't all have that. So, Matt, since

498
00:23:24,880 --> 00:23:26,600
Speaker 1: you don't have an hs A yourself, but since you're

499
00:23:26,600 --> 00:23:28,720
Speaker 1: self employed, why don't you kind of run it through

500
00:23:28,800 --> 00:23:30,440
Speaker 1: kind of what an h say looks like and who

501
00:23:30,520 --> 00:23:34,000
Speaker 1: can actually start saving in an hs A. And h

502
00:23:34,119 --> 00:23:37,000
Speaker 1: s A is for folks with high deductible insurance, so

503
00:23:37,040 --> 00:23:38,879
Speaker 1: that's the only catch with that is that you have

504
00:23:38,960 --> 00:23:41,760
Speaker 1: to have a high deductible healthcare plan. One of the

505
00:23:41,800 --> 00:23:43,480
Speaker 1: best ways that you can use an h s A

506
00:23:43,680 --> 00:23:46,959
Speaker 1: is to, you know, contribute to that account and not

507
00:23:47,119 --> 00:23:49,960
Speaker 1: use until retirement even because what you're able to do

508
00:23:50,080 --> 00:23:52,000
Speaker 1: is you're able to use like, don't think of it

509
00:23:52,040 --> 00:23:53,879
Speaker 1: as a savings account, think of it as like a

510
00:23:53,920 --> 00:23:57,399
Speaker 1: health investing account, because that's exactly how you can treat

511
00:23:57,480 --> 00:23:59,119
Speaker 1: the money that you put into that h s A.

512
00:23:59,359 --> 00:24:02,000
Speaker 1: You can take that invest it and man, this is

513
00:24:02,000 --> 00:24:03,840
Speaker 1: what's so awesome about an h A gets me excited.

514
00:24:04,119 --> 00:24:06,520
Speaker 1: You put the money into an h s A pre tax,

515
00:24:07,000 --> 00:24:09,720
Speaker 1: it grows tax free, and then when the time comes

516
00:24:09,720 --> 00:24:12,760
Speaker 1: to actually use that money to go towards medical expenses,

517
00:24:13,160 --> 00:24:15,600
Speaker 1: you get to use that money completely tax free as

518
00:24:15,640 --> 00:24:19,720
Speaker 1: well forever. And that's what's amazing about it. It's like

519
00:24:19,720 --> 00:24:22,879
Speaker 1: truly the only vehicle where you you never pay taxes

520
00:24:22,920 --> 00:24:24,399
Speaker 1: on it. You never pay taxes and it's a long

521
00:24:24,480 --> 00:24:27,120
Speaker 1: term investment. It's really incredible. And one more thing, once

522
00:24:27,200 --> 00:24:30,639
Speaker 1: you hit sixty five, you can also withdraw from your

523
00:24:30,720 --> 00:24:33,800
Speaker 1: h s A for non medical expenses and you just

524
00:24:33,880 --> 00:24:35,919
Speaker 1: pay your standard tax just like you would on a

525
00:24:35,920 --> 00:24:39,399
Speaker 1: traditional ira A, which is kind of amazing because at

526
00:24:39,400 --> 00:24:41,880
Speaker 1: age sixty five, it's sort of converts into this alternative

527
00:24:42,240 --> 00:24:45,080
Speaker 1: traditional ira A that you can have, say, if you

528
00:24:45,080 --> 00:24:47,239
Speaker 1: don't have a ton of medical expenses. Man, the h

529
00:24:47,280 --> 00:24:49,600
Speaker 1: s A is like this beautiful sort of vehicle for

530
00:24:49,920 --> 00:24:51,960
Speaker 1: saving for medical expenses, but at the same time you're

531
00:24:51,960 --> 00:24:54,760
Speaker 1: saving for the future, you're saving for retirement. It's super flexible,

532
00:24:54,840 --> 00:24:57,960
Speaker 1: super cool. So I love that too, Matt and I

533
00:24:57,960 --> 00:24:59,880
Speaker 1: feel like we could do a whole episode on hs

534
00:24:59,880 --> 00:25:02,080
Speaker 1: A and maybe will one day. But let's talk about

535
00:25:02,320 --> 00:25:04,760
Speaker 1: the second type of f s A that you people

536
00:25:04,760 --> 00:25:07,480
Speaker 1: have available to them, typically in a W two job,

537
00:25:07,800 --> 00:25:10,320
Speaker 1: and that is dependent care f s A. And so

538
00:25:10,400 --> 00:25:13,080
Speaker 1: the I r S allows up the five thousand dollars

539
00:25:13,119 --> 00:25:16,159
Speaker 1: tax free every year if you elect to put that

540
00:25:16,200 --> 00:25:19,399
Speaker 1: money into a dependent care flexible savings account. So I

541
00:25:19,440 --> 00:25:22,520
Speaker 1: do this every year because our daughter, youngest daughter, goes

542
00:25:22,560 --> 00:25:25,119
Speaker 1: to a little school down the road and and typically

543
00:25:25,119 --> 00:25:27,240
Speaker 1: we spent about four to five thousand dollars on childcare

544
00:25:27,280 --> 00:25:30,160
Speaker 1: costs and the great thing is that money we don't

545
00:25:30,160 --> 00:25:32,240
Speaker 1: pay tax on because we funnel it through the f

546
00:25:32,320 --> 00:25:33,960
Speaker 1: s A through work. Dude, that is awesome. I didn't

547
00:25:34,000 --> 00:25:36,119
Speaker 1: know you guys did that. Yeah, So we love the FSA,

548
00:25:36,240 --> 00:25:38,440
Speaker 1: both of them, the healthcare and the dependent care. Probably

549
00:25:38,440 --> 00:25:40,439
Speaker 1: close to ft of the people that are listening to

550
00:25:40,480 --> 00:25:42,760
Speaker 1: the show have access to something like that through their work,

551
00:25:42,960 --> 00:25:45,000
Speaker 1: and maybe either they don't know that it exists, or

552
00:25:45,000 --> 00:25:46,840
Speaker 1: they've seen it, they're not really sure what it is.

553
00:25:46,960 --> 00:25:49,240
Speaker 1: I just want to make sure that you're aware and

554
00:25:49,240 --> 00:25:50,760
Speaker 1: and that we've explained to you what they are so

555
00:25:50,800 --> 00:25:52,960
Speaker 1: that you can take advantage of them in the years

556
00:25:52,960 --> 00:25:55,840
Speaker 1: to come, because they're just a great way to to

557
00:25:56,040 --> 00:25:57,880
Speaker 1: lower your A g I and lower your tax bill

558
00:25:57,960 --> 00:25:59,960
Speaker 1: for for the current year. And a couple of other

559
00:26:00,040 --> 00:26:02,080
Speaker 1: things that you can put an f s A towards

560
00:26:02,280 --> 00:26:05,080
Speaker 1: are like you mentioned daycare, but even after school care

561
00:26:05,160 --> 00:26:07,720
Speaker 1: or you know, before school care, and like summer camps

562
00:26:07,720 --> 00:26:11,280
Speaker 1: as well, just all sorts of things that are childcare related. Yeah,

563
00:26:11,320 --> 00:26:12,960
Speaker 1: you can put that towards that. Oh, and the way

564
00:26:13,000 --> 00:26:16,119
Speaker 1: it works is that it doesn't pay it directly, and

565
00:26:16,119 --> 00:26:18,159
Speaker 1: so you have to actually pay the bill yourself. You

566
00:26:18,160 --> 00:26:21,160
Speaker 1: pay out of pocket. But then you essentially apply for

567
00:26:21,200 --> 00:26:23,440
Speaker 1: a reimbursement, right like, you've got the receipt, you send

568
00:26:23,480 --> 00:26:25,320
Speaker 1: it in and they basically write your check and you're

569
00:26:25,320 --> 00:26:27,320
Speaker 1: and you're gonna go. Yeah, they made me faccy in

570
00:26:27,359 --> 00:26:30,639
Speaker 1: the forum every year. Really, Yeah, so I have to

571
00:26:30,760 --> 00:26:33,000
Speaker 1: like hunt down a fax machine in order to to

572
00:26:33,000 --> 00:26:37,320
Speaker 1: get reimbursed. Oh man, get with the times, guys. So

573
00:26:37,359 --> 00:26:39,920
Speaker 1: again we're discussing some of these above the line deductions.

574
00:26:39,920 --> 00:26:42,560
Speaker 1: We talked about the retirement accounts. We just discussed the

575
00:26:42,600 --> 00:26:48,040
Speaker 1: healthcare advantaged accounts, and now let's cover penalties, specifically penalties

576
00:26:48,080 --> 00:26:51,920
Speaker 1: on early savings withdrawals. And so if you were unfortunate

577
00:26:52,040 --> 00:26:55,119
Speaker 1: enough to make an early withdrawal on something, for instance,

578
00:26:55,119 --> 00:26:57,080
Speaker 1: like a C D or four O one K that

579
00:26:57,080 --> 00:26:59,920
Speaker 1: you weren't supposed to yet, you can subtract the penalty

580
00:27:00,160 --> 00:27:02,399
Speaker 1: that you had to pay to the banks or the

581
00:27:02,440 --> 00:27:07,160
Speaker 1: financial institutions that penalized you. You can deduct that amount

582
00:27:07,280 --> 00:27:09,680
Speaker 1: from your adjusted gross income. So you still have to

583
00:27:09,720 --> 00:27:11,600
Speaker 1: pay the penalty, but at least you don't get taxed

584
00:27:11,600 --> 00:27:13,320
Speaker 1: on it. Well that's nice to know. Yeah, at least

585
00:27:13,359 --> 00:27:16,160
Speaker 1: you got that going for you are And another thing alimony.

586
00:27:16,240 --> 00:27:18,920
Speaker 1: You can subtract the amounts you paid in alimony, which

587
00:27:18,960 --> 00:27:21,600
Speaker 1: is court ordered payments to an X off your a

588
00:27:21,640 --> 00:27:24,480
Speaker 1: g I. You can't include child support in that number,

589
00:27:24,560 --> 00:27:26,320
Speaker 1: but it is nice to know if you are paying

590
00:27:26,320 --> 00:27:28,639
Speaker 1: alimony that you can take that off your a g I.

591
00:27:28,960 --> 00:27:31,240
Speaker 1: And it's worth noting see that we were saying subtracts,

592
00:27:31,320 --> 00:27:33,439
Speaker 1: or trying to say subtract as much as possible, because

593
00:27:34,040 --> 00:27:36,919
Speaker 1: most oftentimes people say deductions like you can deduct or

594
00:27:36,960 --> 00:27:39,879
Speaker 1: you can write off. But we're trying to emphasize the

595
00:27:39,880 --> 00:27:42,720
Speaker 1: fact that we're subtracting because we're reducing, and we're subtracting

596
00:27:42,800 --> 00:27:46,760
Speaker 1: from our gross income. These aren't itemized deductions, and so

597
00:27:46,800 --> 00:27:49,680
Speaker 1: you can still take your standard deduction and have all

598
00:27:49,720 --> 00:27:52,800
Speaker 1: of these subtractions if you will to lower your your

599
00:27:52,840 --> 00:27:55,199
Speaker 1: gross income. Yeah, So just to try to clarify it

600
00:27:55,320 --> 00:27:57,480
Speaker 1: as much as possible with a quick example, let's say

601
00:27:57,520 --> 00:28:00,720
Speaker 1: you you have an earned income of seventy thousand dollars

602
00:28:00,760 --> 00:28:04,399
Speaker 1: this year, and you are an overachiever, and you contribute

603
00:28:04,400 --> 00:28:06,800
Speaker 1: the max to a four one K nineteen thou and

604
00:28:06,880 --> 00:28:09,080
Speaker 1: the max to a traditional I array of six thousand,

605
00:28:09,119 --> 00:28:14,399
Speaker 1: that's twenty five dollars. So seventy minus twenty five equals dollars.

606
00:28:14,560 --> 00:28:16,200
Speaker 1: That is your new A g I. And that is

607
00:28:16,240 --> 00:28:18,399
Speaker 1: the number of your taxed on. And for instance, in

608
00:28:18,400 --> 00:28:21,280
Speaker 1: a scenario like that, with the new standard deduction, your

609
00:28:21,280 --> 00:28:24,440
Speaker 1: tax bill is going to be minuscule, if if not nonexistent. Man.

610
00:28:24,480 --> 00:28:26,760
Speaker 1: That's what I love about these about the line deductions, right,

611
00:28:26,840 --> 00:28:29,800
Speaker 1: is that anybody can deduct these from their income and

612
00:28:29,840 --> 00:28:31,800
Speaker 1: reduce how much they're having to send to the government.

613
00:28:31,920 --> 00:28:33,680
Speaker 1: All right, Matt, So after the break, we're gonna get

614
00:28:33,680 --> 00:28:37,000
Speaker 1: to your bread and butter. How self employed people can

615
00:28:37,000 --> 00:28:40,200
Speaker 1: specifically lower their A g I to lower their tax bill.

616
00:28:49,960 --> 00:28:53,080
Speaker 1: All right, man, let's talk about some self employed action.

617
00:28:53,120 --> 00:28:55,800
Speaker 1: It's time to talk about how someone like me can

618
00:28:55,840 --> 00:28:58,960
Speaker 1: say it a retirement. Well, weirdos or self deployed weirdos

619
00:28:59,040 --> 00:29:01,160
Speaker 1: and those who are self employed. You know, you said,

620
00:29:01,200 --> 00:29:04,560
Speaker 1: I'm an expert, but I don't contribute nearly as much

621
00:29:04,600 --> 00:29:07,720
Speaker 1: as what I am able to th dollars. Dude, come on,

622
00:29:07,960 --> 00:29:09,880
Speaker 1: that's a lot of money. Well you're no Daddy war Books, right,

623
00:29:09,880 --> 00:29:11,280
Speaker 1: but at least you understand how it works so you

624
00:29:11,320 --> 00:29:13,200
Speaker 1: can spill those means for people. It's good to have

625
00:29:13,240 --> 00:29:16,280
Speaker 1: the knowledge, but I am, yeah, not there yet. Before

626
00:29:16,320 --> 00:29:18,560
Speaker 1: we get into retire accounts, I wanted to mention self

627
00:29:18,560 --> 00:29:21,880
Speaker 1: employment tax, so that is Social Security and Medicare. Typically,

628
00:29:21,880 --> 00:29:24,520
Speaker 1: when you have an employer, they cover half of the

629
00:29:25,080 --> 00:29:27,160
Speaker 1: cent of what you have to pay towards Social Security

630
00:29:27,280 --> 00:29:30,440
Speaker 1: and Medicare. But when you're self employed, you are fronted

631
00:29:30,440 --> 00:29:32,520
Speaker 1: with that entire bill yourself. And so one of the

632
00:29:32,560 --> 00:29:35,240
Speaker 1: deductions that you can take is you can reduce that

633
00:29:35,280 --> 00:29:38,080
Speaker 1: by half as if you were actually employed, to make

634
00:29:38,120 --> 00:29:40,840
Speaker 1: sure you're not leaving that on the table. But retirement accounts,

635
00:29:40,840 --> 00:29:44,400
Speaker 1: that's where the big money is. Specifically sept IRA s,

636
00:29:44,560 --> 00:29:48,440
Speaker 1: which are it stands for a Simplified employee pension. You

637
00:29:48,440 --> 00:29:52,760
Speaker 1: can contribute up to fifty five thousand dollars annually. That

638
00:29:53,000 --> 00:29:56,080
Speaker 1: is huge money and again I'm nowhere near that. And

639
00:29:56,160 --> 00:29:59,040
Speaker 1: keep in mind that's a dollar for dollar adjustment on

640
00:29:59,240 --> 00:30:01,720
Speaker 1: your a g I, like on your adjusted gross income.

641
00:30:01,840 --> 00:30:04,600
Speaker 1: So yeah, massive reduction. If you're able to set aside

642
00:30:04,640 --> 00:30:07,080
Speaker 1: that much money, man, kudos and good for you. But

643
00:30:07,120 --> 00:30:09,239
Speaker 1: then also solo for one case, you can set up

644
00:30:09,280 --> 00:30:11,040
Speaker 1: through your own business. You can set up a solo

645
00:30:11,120 --> 00:30:15,840
Speaker 1: four one K for yourself at dollars. Again, these are

646
00:30:15,880 --> 00:30:18,880
Speaker 1: massive numbers, and if you're self employed and you're just

647
00:30:18,920 --> 00:30:21,080
Speaker 1: crushing it, this is something you want to take advantage of.

648
00:30:21,520 --> 00:30:24,120
Speaker 1: And then in regards to health insurance, if you're self employed,

649
00:30:24,160 --> 00:30:27,959
Speaker 1: you can subtract your health insurance premiums, but only up

650
00:30:28,000 --> 00:30:30,560
Speaker 1: to the amount of the profit from the business, which

651
00:30:30,640 --> 00:30:33,800
Speaker 1: is man, that's actually pretty sweet, you know if you're saying, yeah,

652
00:30:33,800 --> 00:30:37,000
Speaker 1: I only made fifteen thousand dollars this year from that business.

653
00:30:37,080 --> 00:30:40,200
Speaker 1: But if your health insurance premiums were that much as well, well,

654
00:30:40,240 --> 00:30:42,920
Speaker 1: technically you can deduct that amount. I'm not going to

655
00:30:43,000 --> 00:30:45,360
Speaker 1: advise you as to whether you should or not, but

656
00:30:45,520 --> 00:30:48,400
Speaker 1: you can, right Enjeel, this is one area that I

657
00:30:48,480 --> 00:30:52,360
Speaker 1: actually haven't been able to take advantage of recently. Health insurance. Yeah,

658
00:30:52,360 --> 00:30:55,200
Speaker 1: that's because you don't have traditional health insurance. I have

659
00:30:55,320 --> 00:30:57,720
Speaker 1: a health sharing plan and we learned this the hard

660
00:30:57,720 --> 00:31:00,880
Speaker 1: way from our twenty seventeen taxes after we had our

661
00:31:00,920 --> 00:31:03,960
Speaker 1: health sharing plan for a full year. But technically it

662
00:31:04,080 --> 00:31:07,480
Speaker 1: is not insurance. It's incredibly affordable, it's much much cheaper

663
00:31:07,520 --> 00:31:10,000
Speaker 1: than traditional insurance, but you don't get the tax right

664
00:31:10,040 --> 00:31:12,120
Speaker 1: off exactly. You don't get the tax right off. You

665
00:31:12,200 --> 00:31:14,320
Speaker 1: kind of feel that around tax season because you think, man,

666
00:31:14,360 --> 00:31:16,479
Speaker 1: I would have loved to written off ten thousand dollars

667
00:31:16,480 --> 00:31:19,560
Speaker 1: and health insurance premiums, which is accurate, by the way,

668
00:31:19,600 --> 00:31:21,880
Speaker 1: like that's how much we'd be spending. Uh, But at

669
00:31:21,880 --> 00:31:23,720
Speaker 1: the same time we're we're saving way more than that

670
00:31:23,760 --> 00:31:26,760
Speaker 1: by going with this different sort of model. And so

671
00:31:26,960 --> 00:31:29,960
Speaker 1: again we've talked before about not letting the tail wag

672
00:31:30,000 --> 00:31:34,200
Speaker 1: the dog. If you let the tax motivation drive your decisions,

673
00:31:34,200 --> 00:31:36,520
Speaker 1: well you could end up paying way more than you

674
00:31:36,600 --> 00:31:38,720
Speaker 1: need to be paying for a service that works just

675
00:31:38,840 --> 00:31:41,000
Speaker 1: fine for you. Yeah, and if people want to find

676
00:31:41,000 --> 00:31:44,000
Speaker 1: out more about the health sharing plans, it's completely different topic.

677
00:31:44,080 --> 00:31:45,960
Speaker 1: But we have an article on how to money dot

678
00:31:46,000 --> 00:31:48,040
Speaker 1: com mat that you wrote about the health sharing plan

679
00:31:48,080 --> 00:31:49,400
Speaker 1: that you're a member of, and people can check that

680
00:31:49,440 --> 00:31:52,560
Speaker 1: out on our site. But moving on, another line. Item

681
00:31:52,680 --> 00:31:55,480
Speaker 1: that you can use to lower your a g I

682
00:31:55,520 --> 00:31:58,520
Speaker 1: every year is student loan interest payments. So you can

683
00:31:58,560 --> 00:32:02,200
Speaker 1: subtract up to dollars of student loan interest from your

684
00:32:02,200 --> 00:32:05,720
Speaker 1: gross income if your gross income falls below the level

685
00:32:05,800 --> 00:32:08,400
Speaker 1: of eighty thousand dollars for an individual or a hundred

686
00:32:08,440 --> 00:32:10,720
Speaker 1: and sixty five thousand dollars for a couple, So don't

687
00:32:10,760 --> 00:32:14,360
Speaker 1: forget to let your tax prepare know about that or

688
00:32:14,640 --> 00:32:16,840
Speaker 1: your tax filing software. Just make sure that that gets

689
00:32:16,840 --> 00:32:19,680
Speaker 1: added in chedual. And these adjustments that you can make

690
00:32:19,960 --> 00:32:21,920
Speaker 1: to lower your adjusted gross income. I wanted to mention

691
00:32:22,120 --> 00:32:25,720
Speaker 1: they're on Schedule one of the new tax form. We

692
00:32:25,760 --> 00:32:27,640
Speaker 1: didn't really talk about this, but this year is the

693
00:32:27,680 --> 00:32:30,760
Speaker 1: first year that they're rolling out that new like postcard

694
00:32:30,800 --> 00:32:33,360
Speaker 1: sized TIN forty. I like the fact that it's geared

695
00:32:33,360 --> 00:32:35,520
Speaker 1: to make things easier for people, right it's it's meant

696
00:32:35,560 --> 00:32:38,600
Speaker 1: to just make life easier, speed things up, make it

697
00:32:38,640 --> 00:32:41,640
Speaker 1: to where you don't have to necessarily hire a tax professional.

698
00:32:42,080 --> 00:32:45,120
Speaker 1: But one downside is that these above the line deductions

699
00:32:45,240 --> 00:32:47,480
Speaker 1: used to be on that page, on the single ten

700
00:32:47,600 --> 00:32:51,680
Speaker 1: forty page, but now with the simplified new TIN forty,

701
00:32:52,040 --> 00:32:54,600
Speaker 1: you have to file an additional schedule, and so all

702
00:32:54,600 --> 00:32:57,720
Speaker 1: these deductions that we're discussing are on Schedule one. So

703
00:32:57,800 --> 00:32:59,600
Speaker 1: be sure to look there to find these above the

704
00:32:59,680 --> 00:33:02,560
Speaker 1: line deductions and then quickly to man like some of

705
00:33:02,640 --> 00:33:04,080
Speaker 1: there's a bunch of other ones too that we're gonna

706
00:33:04,120 --> 00:33:07,640
Speaker 1: lightly cover, but you can deduct moving expenses, but that's

707
00:33:07,680 --> 00:33:09,480
Speaker 1: only if you're in the military. It used to be

708
00:33:09,600 --> 00:33:12,480
Speaker 1: to where you could deduct moving expenses if it was

709
00:33:12,520 --> 00:33:15,360
Speaker 1: work related in general, but but they've changed that. It's

710
00:33:15,400 --> 00:33:17,440
Speaker 1: only now if you're in the military. You know, there's

711
00:33:17,560 --> 00:33:20,520
Speaker 1: educator expenses, which I think is totally silly. They have

712
00:33:20,600 --> 00:33:24,160
Speaker 1: an entire line dedicated towards educator expenses. But you know

713
00:33:24,160 --> 00:33:26,720
Speaker 1: what the max is on that. It's a crazy small

714
00:33:26,840 --> 00:33:28,840
Speaker 1: dollar amount, not as much as a set bi ra

715
00:33:29,000 --> 00:33:32,880
Speaker 1: I imagine, Nope, two and fifty dollars, which seems silly

716
00:33:32,880 --> 00:33:34,960
Speaker 1: to me that they have an entire line dedicated to

717
00:33:35,600 --> 00:33:38,000
Speaker 1: educator expenses. Yeah, we want to be there for the teachers.

718
00:33:38,320 --> 00:33:41,920
Speaker 1: And speaking of silly tax benefits, there's an employer commuter benefit,

719
00:33:42,000 --> 00:33:45,080
Speaker 1: and in particularly there's a bicycle commuter expense benefit in

720
00:33:45,120 --> 00:33:47,520
Speaker 1: the I R. S tax Code, to the tune of

721
00:33:47,640 --> 00:33:51,920
Speaker 1: twenty dollars a month that your employer can choose to

722
00:33:52,400 --> 00:33:54,520
Speaker 1: or to not offer you, which is which I think

723
00:33:54,560 --> 00:33:57,040
Speaker 1: is fascinating too, that the employer can choose to reimburse

724
00:33:57,040 --> 00:33:59,320
Speaker 1: you twenty dollars a month under the tax code tax free,

725
00:33:59,760 --> 00:34:01,320
Speaker 1: but they don't have to. So I reached out to

726
00:34:01,320 --> 00:34:03,080
Speaker 1: my employer to ask if this was something that they

727
00:34:03,120 --> 00:34:05,600
Speaker 1: were willing to provide, and they currently do not do that,

728
00:34:05,960 --> 00:34:08,319
Speaker 1: so yeah, I don't get it. Sorry. There's all sorts

729
00:34:08,320 --> 00:34:10,040
Speaker 1: of silly stuff, man, And then there's a line to

730
00:34:10,160 --> 00:34:14,279
Speaker 1: that says certain business expenses of reservists, performing artists, and

731
00:34:14,440 --> 00:34:17,600
Speaker 1: fee basis government officials. I think it's just funny that

732
00:34:17,640 --> 00:34:19,319
Speaker 1: they have all three of those things on the same line,

733
00:34:19,400 --> 00:34:21,399
Speaker 1: Like how a performing artists the same as like someone

734
00:34:21,400 --> 00:34:24,799
Speaker 1: that's in the National reserve, right, like the National Guard.

735
00:34:25,080 --> 00:34:26,360
Speaker 1: I don't know. I used to be a mime and

736
00:34:26,400 --> 00:34:28,600
Speaker 1: I took advantage of this, so yeah, that was really

737
00:34:28,600 --> 00:34:31,879
Speaker 1: important tax benefit for me. But yeah, check out Schedule one.

738
00:34:32,239 --> 00:34:34,640
Speaker 1: That's where all these adjustments are listed, and if you

739
00:34:34,640 --> 00:34:36,239
Speaker 1: want to take advantage of those, you're gonna have to

740
00:34:36,280 --> 00:34:38,120
Speaker 1: fill that out. But I know it might get confusing

741
00:34:38,160 --> 00:34:40,160
Speaker 1: as you're looking over all those lines and it starts

742
00:34:40,200 --> 00:34:42,640
Speaker 1: to feel like you're not totally sure what you're gonna do,

743
00:34:42,760 --> 00:34:45,160
Speaker 1: And so we wanted to share that. Unlike our you know,

744
00:34:45,160 --> 00:34:49,560
Speaker 1: bias towards not recommending financial advisors, finding an accountant or

745
00:34:49,560 --> 00:34:53,520
Speaker 1: a tax professional might be just crazy helpful, especially if

746
00:34:53,840 --> 00:34:56,879
Speaker 1: you know taxes and numbers just may not be your thing. Yeah.

747
00:34:56,920 --> 00:34:58,640
Speaker 1: I think it's interesting that when you look at the

748
00:34:58,680 --> 00:35:01,640
Speaker 1: actual schedule one form, I mean it's almost we kind

749
00:35:01,640 --> 00:35:04,600
Speaker 1: of ran through pretty much everything on the forum. So

750
00:35:04,600 --> 00:35:06,880
Speaker 1: it's good to know that if you are used to

751
00:35:06,960 --> 00:35:09,319
Speaker 1: hiring a tax professional and it's gotten too expensive and

752
00:35:09,440 --> 00:35:11,120
Speaker 1: you want to go it alone, and you have a

753
00:35:11,160 --> 00:35:13,480
Speaker 1: fairly simple tax set up, it's not that big of

754
00:35:13,520 --> 00:35:15,560
Speaker 1: a deal. It's not that big. It really isn't. It

755
00:35:15,560 --> 00:35:18,400
Speaker 1: really isn't. Yeah, So if your tax situation is a

756
00:35:18,400 --> 00:35:21,680
Speaker 1: little more complicated and it's not super basic and straightforward,

757
00:35:21,920 --> 00:35:24,400
Speaker 1: then yeah, I think at tax professional can be super helpful,

758
00:35:24,560 --> 00:35:27,640
Speaker 1: and especially for instance, if you are a real estate investor.

759
00:35:27,960 --> 00:35:29,840
Speaker 1: When I became a real estate investor, that's when I

760
00:35:29,880 --> 00:35:32,160
Speaker 1: made the transition to having someone else helped me with

761
00:35:32,200 --> 00:35:34,520
Speaker 1: my tax return because it's get a lot more complicated

762
00:35:34,520 --> 00:35:38,040
Speaker 1: when you have multiple pages and forms and schedules to

763
00:35:38,040 --> 00:35:40,320
Speaker 1: fill out. Yeah, it can get a lot more complicated,

764
00:35:40,480 --> 00:35:42,520
Speaker 1: and if you're trying to fill those out without knowing

765
00:35:42,760 --> 00:35:44,759
Speaker 1: what you're doing, it can cost you way more in

766
00:35:44,840 --> 00:35:46,640
Speaker 1: tax than it would cost. Yeah, well you're paying the

767
00:35:46,760 --> 00:35:49,040
Speaker 1: tax professional to help you. Yeah, I love that, Joel.

768
00:35:49,080 --> 00:35:52,000
Speaker 1: Like in the end, like having a tax professional might

769
00:35:52,040 --> 00:35:53,920
Speaker 1: be one of the best ways that you could actually

770
00:35:54,000 --> 00:35:56,920
Speaker 1: cut your tax bill is by hiring a professional who's

771
00:35:56,920 --> 00:35:59,400
Speaker 1: familiar with the law, which is constantly changing. And not

772
00:35:59,440 --> 00:36:02,200
Speaker 1: only that in but like they're familiar not only what

773
00:36:02,400 --> 00:36:05,520
Speaker 1: is technically allowed, but they know that, hey, you may

774
00:36:05,560 --> 00:36:07,960
Speaker 1: not want to sell the line this much because like,

775
00:36:08,080 --> 00:36:11,960
Speaker 1: certainly yes on paper it says that this is allowed. However,

776
00:36:12,480 --> 00:36:14,320
Speaker 1: you get that close and that that's a red flag

777
00:36:14,360 --> 00:36:16,680
Speaker 1: to the I R S. And man, getting audited is

778
00:36:16,719 --> 00:36:18,680
Speaker 1: the very last thing that you want to have happened

779
00:36:18,680 --> 00:36:20,279
Speaker 1: to you, because it just costs a lot of money,

780
00:36:20,320 --> 00:36:23,200
Speaker 1: It takes a lot of time, huge headache. Us personally,

781
00:36:23,239 --> 00:36:25,879
Speaker 1: we steer your pretty far from the line to where

782
00:36:25,880 --> 00:36:27,520
Speaker 1: it would, you know, raise those red flags to the

783
00:36:27,520 --> 00:36:30,960
Speaker 1: I R S. I don't want to ever get audited. Yeah,

784
00:36:31,040 --> 00:36:32,920
Speaker 1: And even if you are using a tax professional, I

785
00:36:32,920 --> 00:36:35,400
Speaker 1: think this episode is helpful for you to have some

786
00:36:35,520 --> 00:36:38,239
Speaker 1: questions to bounce off of them to make sure that

787
00:36:38,280 --> 00:36:40,919
Speaker 1: you are, you know, going in the right direction. And

788
00:36:40,960 --> 00:36:44,440
Speaker 1: also the tax professional that you're using isn't going to

789
00:36:44,520 --> 00:36:46,840
Speaker 1: automatically open up a step. I ra for you or

790
00:36:46,920 --> 00:36:49,879
Speaker 1: increase your contribution limit on your four own ko work.

791
00:36:50,000 --> 00:36:52,759
Speaker 1: That is up to you exactly. So even if you

792
00:36:52,800 --> 00:36:54,920
Speaker 1: do end up going in that direction, a lot of

793
00:36:54,960 --> 00:36:57,479
Speaker 1: the things we mentioned here in this episode are things

794
00:36:57,480 --> 00:36:59,439
Speaker 1: that you still need to do on your own, even

795
00:36:59,440 --> 00:37:02,000
Speaker 1: if someone is helping you file your taxes. Cheduel, I

796
00:37:02,040 --> 00:37:04,880
Speaker 1: love that man. Hope that's some good encouragement to you listeners.

797
00:37:05,440 --> 00:37:08,560
Speaker 1: Let's talk about this delicious beer. Yeah, man, Today we

798
00:37:08,640 --> 00:37:12,720
Speaker 1: drank Southern Swells Brewing Company Karate in the Garage, India

799
00:37:12,760 --> 00:37:15,279
Speaker 1: Pale Ale and Matt. The one word that you used

800
00:37:15,280 --> 00:37:17,200
Speaker 1: at the beginning of the show to describe this beer

801
00:37:17,480 --> 00:37:21,160
Speaker 1: was hazy. Fill us in Yeah, so I said hazy

802
00:37:21,200 --> 00:37:23,680
Speaker 1: a little tongue in cheat because obviously hazy it's not

803
00:37:23,719 --> 00:37:25,799
Speaker 1: like a tasting note. But when it comes to this

804
00:37:25,880 --> 00:37:29,080
Speaker 1: specific style of beer, uh, and this is a New

805
00:37:29,080 --> 00:37:31,279
Speaker 1: England style I P A And you pour it in

806
00:37:31,280 --> 00:37:32,560
Speaker 1: the glass and you can hold it up to the

807
00:37:32,680 --> 00:37:35,839
Speaker 1: light and you cannot see through it. It's hazy like

808
00:37:35,880 --> 00:37:38,480
Speaker 1: that's the best description. And for me, this I p

809
00:37:38,640 --> 00:37:41,920
Speaker 1: A Karate in the Garage is almost the quintessential New

810
00:37:41,920 --> 00:37:44,879
Speaker 1: England style hazy I P A It's got everything I'm

811
00:37:44,880 --> 00:37:46,920
Speaker 1: looking for in that style. It's got the mouth feel,

812
00:37:47,160 --> 00:37:49,840
Speaker 1: it's got the hops, it's got that sharp bite. My

813
00:37:49,880 --> 00:37:51,400
Speaker 1: favorite thing about it is I just like to drink it.

814
00:37:51,520 --> 00:37:54,080
Speaker 1: So I feel like it's one of those beers for

815
00:37:54,160 --> 00:37:56,800
Speaker 1: sure that you could really not get tired of drinking.

816
00:37:57,000 --> 00:37:59,279
Speaker 1: It's so well balanced, it's so well done. And so

817
00:37:59,480 --> 00:38:02,200
Speaker 1: the word I used was bomb. Yeah, he said bomb.

818
00:38:02,320 --> 00:38:04,560
Speaker 1: It's not all about because it felt like a hot bomb. Honestly,

819
00:38:05,080 --> 00:38:07,800
Speaker 1: after taking a ship the way that it completely coated

820
00:38:07,840 --> 00:38:09,600
Speaker 1: my tongue, I felt like a bomb went off and

821
00:38:09,600 --> 00:38:11,600
Speaker 1: just like splattered and it was like karate and the

822
00:38:11,600 --> 00:38:14,120
Speaker 1: garage just couldn't leave even once I even once I

823
00:38:14,160 --> 00:38:17,160
Speaker 1: went down my throat, you know. So man, Yeah, this

824
00:38:17,239 --> 00:38:18,680
Speaker 1: was like a hot bomb went off of my mouth.

825
00:38:18,719 --> 00:38:20,719
Speaker 1: I love that. But I mean think, just like you, man,

826
00:38:20,760 --> 00:38:22,440
Speaker 1: I'm a huge fan of this beer. I'm a huge

827
00:38:22,440 --> 00:38:23,719
Speaker 1: fan of the I p as that they make down

828
00:38:23,719 --> 00:38:25,600
Speaker 1: their southern as wells. And if I had a never

829
00:38:25,680 --> 00:38:28,880
Speaker 1: ending supply this, I'd be okay with it. So I

830
00:38:28,880 --> 00:38:32,120
Speaker 1: don't think they're gonna send as more beer anytime, so man,

831
00:38:32,120 --> 00:38:34,040
Speaker 1: But on that note, we've had a lot of beers

832
00:38:34,080 --> 00:38:35,680
Speaker 1: donated to us recently, and I just want to say

833
00:38:35,680 --> 00:38:37,839
Speaker 1: generally like thank you to all of our listeners out there,

834
00:38:37,840 --> 00:38:40,120
Speaker 1: to the different breweries, to the individuals who listen who

835
00:38:40,360 --> 00:38:42,720
Speaker 1: just want to help us out and contribute to the show.

836
00:38:42,960 --> 00:38:45,160
Speaker 1: That is freaking awesome. We we love that folks are

837
00:38:45,200 --> 00:38:47,719
Speaker 1: able to uh donate beers to the show, and and

838
00:38:47,960 --> 00:38:50,480
Speaker 1: I don't know, it's an awesome way to tangibly connect

839
00:38:50,719 --> 00:38:53,680
Speaker 1: with our listeners, something that they felt we would enjoy.

840
00:38:53,800 --> 00:38:55,279
Speaker 1: We get to talk about on the show while we're

841
00:38:55,280 --> 00:38:57,560
Speaker 1: talking about money and personal finances. Is just this way

842
00:38:57,600 --> 00:38:59,600
Speaker 1: to kind of bring it all together. Even if you're

843
00:38:59,600 --> 00:39:01,440
Speaker 1: not really into craft beer. We I hope that you

844
00:39:01,440 --> 00:39:04,319
Speaker 1: can appreciate the sort of community that craft beer can

845
00:39:04,360 --> 00:39:06,839
Speaker 1: kind of foster. And that's what we're all about, all right, Matt,

846
00:39:06,840 --> 00:39:08,960
Speaker 1: real quick, let's give our final thoughts, all right, Joe.

847
00:39:09,000 --> 00:39:11,879
Speaker 1: What we've talked about today are above the line deductions,

848
00:39:11,880 --> 00:39:13,680
Speaker 1: and these are all things that you can do to

849
00:39:13,880 --> 00:39:17,080
Speaker 1: reduce your adjusted gross income. And what's so key about

850
00:39:17,120 --> 00:39:19,440
Speaker 1: this is that it doesn't matter if you're taking the

851
00:39:19,480 --> 00:39:23,160
Speaker 1: standard deduction or if you're idemizing your deductions. You can

852
00:39:23,200 --> 00:39:26,840
Speaker 1: take advantage of these adjustments to lower your taxable income.

853
00:39:27,200 --> 00:39:29,800
Speaker 1: That's right, buddy. And the number one way to reduce

854
00:39:29,840 --> 00:39:32,680
Speaker 1: your a g I is to contribute more to your

855
00:39:32,680 --> 00:39:35,440
Speaker 1: retirement accounts, specifically a four oh one K if you

856
00:39:35,480 --> 00:39:38,560
Speaker 1: are a traditional employee or a traditional ira A is

857
00:39:38,600 --> 00:39:41,680
Speaker 1: open to anybody, and if you're self employed, look into

858
00:39:41,680 --> 00:39:43,840
Speaker 1: a set ira A in particular, that's gonna be one

859
00:39:43,880 --> 00:39:45,840
Speaker 1: of the best ways for you to lower your a

860
00:39:45,880 --> 00:39:47,680
Speaker 1: g I and say for the future at the same time.

861
00:39:47,920 --> 00:39:50,399
Speaker 1: And then another above the line deduction you can take

862
00:39:50,640 --> 00:39:54,360
Speaker 1: are the healthcare tax advantage accounts. These are the flexible

863
00:39:54,400 --> 00:39:58,080
Speaker 1: spending accounts and the health Savings account Just keep in

864
00:39:58,120 --> 00:40:01,000
Speaker 1: mind that f s a s are only offered through

865
00:40:01,000 --> 00:40:04,160
Speaker 1: your employer and h s a s are available only

866
00:40:04,280 --> 00:40:07,040
Speaker 1: if you have a high deductible insurance plan. But it

867
00:40:07,080 --> 00:40:11,640
Speaker 1: could potentially last forever. And also, Matt, it's important for

868
00:40:11,719 --> 00:40:15,160
Speaker 1: us to state again that unlike our hesitancy to recommend

869
00:40:15,160 --> 00:40:17,839
Speaker 1: financial advisors to people, we don't feel the same way

870
00:40:17,880 --> 00:40:21,560
Speaker 1: about accountants. And particularly if you have a more complicated

871
00:40:21,640 --> 00:40:25,200
Speaker 1: tax return tax scenario, finding a qualified accountant to do

872
00:40:25,239 --> 00:40:28,040
Speaker 1: your taxes could be well worth it. It It could provide

873
00:40:28,080 --> 00:40:30,800
Speaker 1: you actually more savings in tax than you would actually

874
00:40:30,880 --> 00:40:33,240
Speaker 1: pay that accountant to help you out with your taxes.

875
00:40:33,440 --> 00:40:35,320
Speaker 1: In particular, we would suggest that you ask around to

876
00:40:35,360 --> 00:40:37,440
Speaker 1: friends who have been using the same accountant for years

877
00:40:37,480 --> 00:40:40,040
Speaker 1: and have had a great track record. Yeah, Or another

878
00:40:40,080 --> 00:40:42,480
Speaker 1: option is just to look around to peers, like folks

879
00:40:42,480 --> 00:40:45,280
Speaker 1: who have similar businesses as you do being self employed,

880
00:40:45,480 --> 00:40:48,640
Speaker 1: and chances are that accountant or tax professional will be

881
00:40:48,760 --> 00:40:50,680
Speaker 1: familiar with the business set up and the type of

882
00:40:50,680 --> 00:40:53,640
Speaker 1: deductions that you'll want to see. Alright, buddy, Tax Episode

883
00:40:53,719 --> 00:40:56,160
Speaker 1: number two coming up next week. Yeah, that's right. We

884
00:40:56,200 --> 00:40:58,040
Speaker 1: think it's gonna be a big help as well. So everyone,

885
00:40:58,040 --> 00:41:00,560
Speaker 1: I hope you enjoyed the information on this episoded. We'll

886
00:41:00,560 --> 00:41:03,040
Speaker 1: have shown notes stuff on our website, how to money

887
00:41:03,120 --> 00:41:06,200
Speaker 1: dot com. Yeah, man, that's our website. And if you

888
00:41:06,360 --> 00:41:09,000
Speaker 1: have enjoyed this episode and enjoyed this podcast in general,

889
00:41:09,239 --> 00:41:11,959
Speaker 1: you know what, don't leave a review. You can maybe

890
00:41:12,000 --> 00:41:14,319
Speaker 1: instead tell a friend, just like we talked about just now,

891
00:41:14,360 --> 00:41:17,279
Speaker 1: with an accountant. Sometimes it can just be so much

892
00:41:17,320 --> 00:41:19,920
Speaker 1: more helpful and just more impactful if you tell somebody

893
00:41:19,920 --> 00:41:22,799
Speaker 1: in person. And so, yeah, spread the word, spread the love.

894
00:41:23,000 --> 00:41:25,200
Speaker 1: We really appreciate you listening though. We love the community

895
00:41:25,239 --> 00:41:28,080
Speaker 1: here and Matt Until next time. Best friends out, Best

896
00:41:28,080 --> 00:41:28,600
Speaker 1: Friends Out,