How Much Tax Will I Pay On My Side Business

How much tax will you pay on your side business? Well, that depends on your structure. So we're going to get to it. And if you want to be in single digit taxes, I know how to help you. Our teams are phenomenal. So if you really want to know how to pay less and have it set right, get a pen and paper. I'm going to talk about three things specifically. So number one, I'm going to talk about the importance of the system and the structure. There's two engines that drive your business. I don't care if it's a side hustle, because if you're really going to get out of bed and go make more money, why don't you make a lot of money? Number two, how do you maximize the deductions? How do you organize those structures? Because most of you, you keep commingling in the beginning and then you get frustrated because it doesn't feel successful because you're still using your personal bank account. All gets tangled up. Totally wrong. And then number three, the amount of tax you might have to owe and how much do you have to put away? Because there's some old fashioned stuff that some of you do, like put away for quarterly taxes. So all that can be changed if you do exactly what we're saying. So just to start off, I want to invite you to have a strategy session with our team and really talk to them. Before you do that, I want you to have to take a financial personality quiz because they need to really know who you are. Those of you who want a side hustle, but you're sitting on a bunch of lazy assets. I wouldn't say that's really where you need to be first. You need to get those lazy assets moving. So what I'm known for is the sequencing of what I know you need versus what you think you need, because you think you need a very different tunnel vision of what you have. So yes, I'm always wanting you to get extra money and always have an extra side hustle or side business, or really that's just a hustle. But if you already overpay tax and you already have lazy assets and you already have other problems, let's fix those first. So you have a good financial infrastructure. So I want you to do those two things. Not in the second minute, finish the video and then go do the quiz, get a session with my team. And let's talk about number one. What is the corporate structure? The is exactly what I do. If I want to start a new venture, I do two things. So I get incorporated the exact way that I'm telling you to do it. And I get a database. You say, well, how many databases you have? Several, right? I clearly have one for integrated wealth, which is the machine, but I have one for my marijuana business. I have one for my financial fitness business. I have one for real estate businesses. So I do the same thing. It doesn't matter what I'm doing. Those two engines drive it. So those of you who don't think you need a database, you're out of your mind. Well, you're just wasting a lot of time. So I want you to go to ask RMS for 297 bucks a month. We'll help you get your marketing going in your database going. And you'll talk to our team during that strategy session about what kind of company. Now, why I teach this thing called living corporate life. I made up that term because all of us were trained to be employees. So when you live corporate life, you activate the greatest tech code in the world, 81,000 pages of taxes, deductions that you can activate. Most people, most CPAs use maybe 30 or 40. And if you're a sole proprietor, you get a schedule C. So you're using 13 to about 30 maximum deductions, not enough. If you really want to play and get structure and systems to become a millionaire. So if you are in another country, then sometimes when you live in a different country and it's a virtual, you may end up with the United States company is the way we strategize you because we have a bigger tax code. Just to give you some perspective, the United States, when you talk to our teams, you'll probably be an LLC and S-corp or C-corp. If you're more advanced and you have a whole family office, you might be a family limited partnership. So those are some variables and distinctions of what might happen to you. If you're in Canada, you're going to be a numbered company, a corporation, a partnership. It's different. And by the way, just to give you a distinction between the United States and Canada, 81,000 pages of codes in the United States, 3,400 in Canada, which is why still we have the best tax structure. So now let's go to number two. How do you maximize deductions and understand the organization? Because the biggest problem for starters, starter entrepreneurs is that you co-mingle, right? You have a personal bank account. Now you get this corporate bank account and this company's not making money yet. So you keep putting all your bills that could be deductions out of your personal account. A phone is not deductible to you. It is deductible to the company. A vehicle is not deductible to you. It is to the company. Your children can't work for you. They can work legally for the company. So their company activates so many more benefits in what you can do to do your deductions. So if you don't understand taxes at all, I think Kiyosaki said it cleanest in the Rich Dad Poor Dad book. There's two ways to make money and two ways to be taxed. You can make it as employed, be taxed immediately. It's coming out of your paycheck and you get to live on what's left. Or you're going to make money as an entrepreneur inside of a company. Your company makes money. You activate all these deductions, then you pay tax. So you choose. Do you want to pay it right away out of your paycheck or do you want to pay it afterwards? To me, that's not even a decision. It's like, duh, you only go one way. Now, if you have an employment job, you don't want to quit it today. Now I do have a video. So you can go search that one moment on how to quit your job in 90 days or less. That means though, you've got to get this business up, which means go through the quiz and talk to our team. And I want you to give you two tickets to our Millionaire Intensive. That's where you're going to learn to really get this business up. We do a marketplace every three weeks for three hours. You can go sell to other people in this community. Are you kidding? We're giving you your first database. And then from there, you take that database, you move it to RMS and you keep going. So the biggest challenges is that no one really tells you behaviorally how to pay bills. And that's where a lot of you go wrong. You keep paying bills out of your personal account. When you get to the end of the year, you wonder why you stopped to pay so much taxes because you didn't pay the right bills out of the right account. Personal accounts don't have deductions like a business account. So that's where it's got to get clean. And it's what we are experts at, massive experts at getting this right. If you already have some companies, my question to you would be, are they compliant? Are you actually using every part of the tax code? If you're paying seven to 10 things more out of your personal bank account, like if you're paying any more than that, you're overusing your personal bank account. Once you have a company, your company takes a lot of those deductions. So before I go to the last piece and why it's so critical to get this up and running and talk about taxes on that side hustle, I want you to subscribe to the channel, click the notification button. I want you to hear five days a week, share this with other people. If you would like to binge watch, because you're going to become a client of mine, watch this channel for 25 hours. And we're going to give you $750 of Laurel bucks to credit towards your next tuition. And we're going to keep moving. To understand about taxes, there are so many people who are old school, and there are a lot of misinformation about how to save for taxes and how you're going to prepare for taxes. Now, if you're not doing any of this right, you should probably do your quarterlies and overpay. But most of you who have companies, you don't pay quarterlies. You pay at the end of the year. You don't even pay at the end of the year. So companies file taxes in September, and then the owner of the company pays in October. So I haven't filed a tax return in April for probably over 20 years. I don't even know when, because that's just not how it works. So those of you who file in April, you're not even doing the strategy right. Like the whole game is wrong for you. And if your CPA isn't shifting that for you, then you've got the wrong one, which is pretty normal for a lot of you. If you're doing your own taxes, that's even more ridiculous because you don't know a darn thing about it. So if you make more than 400 bucks, which is new because it used to be 600, you're going to be taxed. So anything above $401, you're going to have to start reporting. So I know a lot of you who have true side hustles, you try to just keep it in the cash and under the table and do all that. The problem with that strategy is really, you're going to ask the IRS to deduct 81,000 pages of code of cash you never deposited. Against what? Now you might get away with that year one, but you only have three years to get profitable. That's what the IRS gives you is about three years, right? You have to have a legal intent to make money. You can't just be here because I want to do all these deductions. It has to be against income. And then you got to pay your bills right. So we know how to help restructure you, organize you, put a trust on top of that, put insurance up there and get you running. Let's get you past that 120,000 year mark as fast as we can because anything less is painful. I'll talk to you tomorrow.