Robert J. Smith discusses how business owners prepare for wealth-building and retirement by reducing taxes.
Eddie Money, Rock and Roll Hall of Famer said: “I want to thank you for the publicity you are bringing to the Pediatric AIDS Foundation and the Intrepid Fallen Heroes Fund. You have a prominent career in this business and a lot of respect. I appreciate the fact that we had the opportunity.”
Listen to the interview on the Business Innovators Radio Network
To effectively reduce tax liability and prepare for wealth-building and retirement, business owners should consider the following tips:
- Take advantage of all available tax deductions: Tax deductions are great ways to reduce taxable income. Review all eligible expenses to ensure to take full advantage of the available deductions. This could include common expenses such as rent, advertising costs, travel, depreciation, computer hardware and software, salaries, etc. Smith saved one of his clients $65,000.00 per year by finding a business tax deduction that their CPA missed for 40 consecutive years.
- Set up a retirement plan: Establishing a retirement plan can help save money on taxes today while ensuring enough saved up comes time to retire. Choose a plan that works best, such as an IRA (Individual Retirement Account), 401K, SEP (Simplified Employee Pension), or SIMPLE (Savings Incentive Match Plan for Employees).
- Consider incorporating and/or setting up a business structure: Incorporating a business can help to save on taxes in the long run. This could include setting up an LLC (Limited Liability Company) or S-Corp to reduce taxable income and potentially decrease self-employment tax. Make sure to review all of the pros and cons before deciding which path is best.
- Utilize tax credits: Tax credits differ from deductions because they provide more direct benefits to taxpayers by reducing their overall tax bill amount due instead of just reducing the taxable income. Tax credits provide a dollar-for-dollar reduction in taxes owed. Research applicable federal and state tax credits a business may qualify for, such as the Work Opportunity Tax Credit, Low-Income Housing Tax Credit, etc.
- Stay organized: Properly documenting the expenses will help to stay organized and avoid any issues with the IRS when filing taxes. Ensure to keep all relevant records, including receipts, invoices, bank statements, and other financial documents in case of an audit.
- Carefully review all tax returns: It is essential to review all tax returns before filing to identify any potential issues or errors so that penalties are never incurred. Have a qualified accountant or tax professional review the return and ensure everything is in order. Additionally, paying attention to changes in tax laws can help keep up-to-date on the best strategies for reducing overall tax liability.
- Utilize multi-year planning strategies: With proper planning and careful consideration, business owners can utilize long-term strategies such as capitalizing expenses, deferring income, and setting up installment agreements with creditors to reduce their overall taxable income and save money on taxes now and in the future. Multi-year planning strategies should be discussed with a qualified accountant or financial advisor to ensure that they are implemented correctly and in the best interest of the business.
By implementing these strategies, business owners can reduce their short-term tax liability and save money in the long run to benefit their future wealth-building and retirement plans. Remember to consult a qualified accountant or financial advisor before making any changes to ensure that the strategy is in accordance with the latest laws and regulations. With careful consideration, maximize tax savings and get the most out of money that is possible, year after year.
Robert explained: “By following these tips, business owners can reduce their overall tax liability while preparing for wealth building and retirement. With proper planning and careful consideration, businesses can save money on taxes while focusing on their goals.” it is essential to discuss any potential strategies with a qualified accountant or financial advisor before implementation so that you understand all of the possible implications.
About Robert J. Smith:
Robert J. Smith is a Leading Financial Advisor and Founder of Smith Profits.
To begin his career, Robert became the fastest agent in the history of the John Hancock Companies to complete The American College’s four-year Certified Life Underwriter (CLU) and Chartered Financial Consultant (ChFC) designation programs. Both were successfully completed in only 13 months.
The reason for the urgency was for a 25-year-old to gain immediate access to an advanced planning market that was dominated by gray-haired senior financial advisors. This commitment to education and a healthy commitment to prospecting and gaining referrals provided Smith with the opportunity to gain Ford, General Motors, and Chrysler as clients.
Robert completed his Accredited Asset Management Specialist (AAMS) designation with the College for Financial Planning while with New York Life. As a perennial Million Dollar Round Table MDRT qualifier, Smith was part of the New York Life team which led the MDRT for the fiftieth consecutive year. Robert’s name is enshrined in a plaque on the wall of the New York Life Building located on Madison Avenue.
Smith taught the Certified Financial Planner CFP curriculum to financial advisors, bankers, accountants, attorneys, and others at Oglethorpe University. Robert also served as a Princeton Review Instructor.
After becoming the #1 producing branch manager nationwide for BankAtlantic/BB&T, Robert became the #1 producing agent for Mutual of New York (MONY)/AXA worldwide.
Over his five-decades-long financial services career, Smith has consistently ranked in the Top 1% worldwide in insurance and financial services production. He shares his proven storytelling methods, persuasive writing techniques, and sales closing style with professionals through public speaking and private consulting to ensure their success.
In addition to being licensed as a Series 7 and Series 63 General Securities Representative, Robert was also licensed as a Registered Investment Advisor (RIA). Smith is also licensed as a Life, Health, and Variable Annuities Agent and was a Licensed Insurance Counselor (LIC) which qualified him to testify in Michigan Courts as an Expert Witness. Smith was also a licensed Mortgage Broker and currently holds a Real Estate agent’s license.
Smith consulted with a Tampa firm that never had a single mortgage broker earn over $100,000.00 per year. Within six months of working with Robert, every broker had earned in excess of $150,000.00 in commissions.
In a career that spans five decades, Smith is the only financial advisor in the United States who has earned the CLU, ChFC, LIC, CCCC, RIA, AAMS, CMP, and CMPS professional designations while leading both a financial services giant and a banking giant in sales production.
After setting numerous production and achievement records at several Fortune 500 Companies, Robert sustained severe spinal cord injuries which resulted in his closing his private practice offices in Atlanta, Sarasota, and Tampa.
While undergoing fourteen surgeries and years of physical rehabilitation, Smith began training for a second career by concurrently earning his Master of Fine Arts (MFA) degree in Creative Writing as Valedictorian at Full Sail University and his Feature Film Writing degree With Distinction at UCLA. Smith has won Director’s Awards for The Art of Visual Storytelling as well as Editing for Film, Games, and Animation and is a sought-after public speaker.
Robert became an International Best-Selling Author with his contribution to SALES GENIUS #1 which was the #1 Amazon Best-Seller in Sales Techniques both in the USA and in the UK while The Wolf of Wall Street, Jordan Belfort’s book on sales was # 2 in both rankings. Smith has also written THE ADVENTURES OF INSURANCE MAN, THE LOAN ARRANGER, REAL ESTATE WOMAN, and SHORT ATTENTION SPAN DAN.
THE ADVENTURES OF INSURANCE MAN provided Robert with his single largest commission to date when he earned $110,000.00 with The Equitable on an estate planning case that was closed due to this story.
THE ADVENTURES OF INSURANCEMAN is available on Amazon for single use and may be licensed and customized for use by licensed insurance agents to increase sales production and persistency.
Smith has been featured on ABC, CBS, The CW Network, FOX, The Golf Channel, and NBC.
Smith consistently ranks in the Top 1% in the Internet Movie Database (IMDb). Robert is also a Forbes Business Council Member and writes for the media giant on a regular basis and contributes to Forbes Expert Panels.
Robert has raised millions of dollars for charity through his financial advisory practice and personal efforts.
Robert J. Smith, MFA may be reached at Robert@RobertJSmith.com and at (407) 508-0200 for a fifteen-minute consultation at No Charge to show how to increase a company’s sales production, revenues, and profits.
Learn more: https://smithprofits.com/