In this episode of the Main Street Business Podcast, host Mark J. Kohler is joined by Karlton Dennis to share essential tax-saving strategies before the year ends. They explain how transitioning from an LLC to an S corporation reduces self-employment taxes and how you can benefit from bonus depreciation. They also cover creative ways to involve your kids in payroll, plus insights on using solo 401(k)s and Health Savings Accounts to maximize deductions.
Here are some of the highlights:
- Mark and Karlton discuss their roles as tax strategists focused on saving money.
- The concept of self-employment tax, which includes Social Security and Medicare contributions.
- How self-directed accounts can be used to invest in rental real estate and other business assets.
- Mark and Karlton discuss the benefits of switching from an LLC to an S corporation using Form 2553.
- Mark encourages listeners to backdate the S corporation election to January 1, 2023, to avoid self-employment taxes for the year.
- How to properly place children on payroll to reduce taxes and provide financial education.
- Importance of setting up retirement accounts before the end of the year to maximize tax benefits.
- Karlton introduces the Tax Free Wealth Challenge, a five-day event focused on tax strategies.
