Many people recognize the value of real estate as a wealth producer, but few people appreciate its importance as a liability reducer. That’s right, income-producing real estate lessens the amount you pay in taxes three different ways. Learn what they are and how you can apply this information to significantly reduce your annual expenses.
Download our free investor’s report a CashFlowSavvy.com.
What You’ll Learn:
- The industry that has created more millionaires and billionaires than any other.
- What percentage of your lifetime income gets paid in taxes.
- The 3 ways that income-producing real estate reduces your tax burden.
- The most effective (and ineffective) ways to reduce your expenses.
Hey! This is Matt from Epic Real Estate and today, I’m going to show you how to virtually eliminate your tax liability- honestly, ethically, morally, legally, even with the government’s blessing.
Everybody knows or it’s fairly common knowledge that real estate produces more wealth than anything else. It has created more millionaires, billionaires than any other industry, any other investment vehicle and it’s a wealth creator. But what a lot of people don’t realize is how much of an expense reducer it can be as well.
And I’m speaking specifically to your biggest expense in life, our biggest expense in life that being, TAXES.
Now, most Americans don’t realize that over your lifetime, 40-50% maybe or more of your income is going to go right back to Uncle Sam. So here’s a way to keep some of it and that’s also a way to increase your wealth as well. It increases your income and it increases your equity and your wealth but also decreases that biggest expense in life, your taxes. And that’s income real estate.
It does it in three specific ways. One is the depreciation that you get and that Uncle Sam allows you to take on your real estate. That goes towards your tax liability. And if you take real estate investing on as a business (even if it is just one property) that can be claimed as a business, you get additional business expenses that you’re probably missing on right now and you get to deduct that from your taxes. And third is if you’ve got leverage on the property, you’ve got the interest deduction as well.
So as your building your wealth, go ahead and focus on the production but also focus on decreasing your expenses as well. You know like traditional wisdom and all the financial gurus out there will say, ‘Hey! Stop getting that Starbucks everyday’ or ‘Stop taking that weekend vacation with the spouse’ and note, that’s fine. I mean, you are definitely reducing expenses, but if you’re going to focus on reducing your expenses, doesn’t it make sense if you start with the biggest one first and then work your way down? And you’ll probably not even reach that Starbucks so keep enjoying that.
So if you would like to download our free investor’s report, go to CashFlowSavvy.com. You’ll see additional benefits of real estate including the top 10 cash flow markets in the country. I’m Matt Theriault with Epic Real Estate. I’ll see you next time.