How To Protect Your Ass(ets)

How To Protect Your Ass(ets)

Politics aside, I don’t care what side you’re on, there’s craziness everywhere. But the more that you understand how to protect yourself for where you are, where you live, where your properties are located, the easier it is to sleep at night. We’re talking about some real stuff, this is really, really, really beyond important. If you couldn’t tell, based around all my, you know, last day or two of social media stuff, I think I’m gonna leave politics out of this as much as I can. But some of this is absolutely political in the sense of Biden came out, which, by the way, preface, I don’t actually believe it will pass. That’s how crazy it is.

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Biden came out with this bill that they’re trying to put forth to really tax the wealthy with basically unearned income taxes. And that affects, you know, your potential selling of your own personal home. Personal, right. And this isn’t, this isn’t, you know, rentals, which I still have a massive problem with. But now you’re talking about all the equity you have in your home, the potential sale of your home, which you’re not even listing it, they’re saying they could potentially tax you on that. So I lost my mind, of course, and I said, This is absolute nonsense. And I immediately called Tommy like, literally immediately, dude, here are my rentals. Here’s my house, I have 500 equity, I have this and that. And I’m like, How do I structure this nonsense? So in the craziest scenario that somehow this Pat passes, I don’t get get taken out to the cleaner. Now Tommy called me down, say, Hey, Oh, good. We got it. He agrees. He doesn’t think it’s gonna pass. But there’s a practice that the real wealthy do, right. And I mean, the real wealthy like, not me, not Tommy, not people that have started accumulating wealth. I mean, like hundreds of millions, if not billions of dollars, there is an actual strategy that they do. And they put forth and so me and Tommy, were just talking about what I’m going to do. And I’m like, we need to just start sharing this because the title of this is, you know, protect your ass. That’s, but that’s the reality is, you know, we all work really, really hard Tommy included, I don’t care if you’ve never done a deal. In real estate, I quite literally don’t care. As long as you’re here, you’re in the right place. Because the reality is, the bill is so obscene it like again, I don’t go political. But like for someone to say they can tell they could tax my potential unearned income. If I sold right now, they would say you would earn you would make roughly 500,000. Like, that’s insanity. And the reason why people get so upset at the wealthy, right? It’s because they don’t pay taxes. The irony behind that is the IRS literally built all of their laws with intention to give people tax breaks, if they do what they want them to do. So like developers get massive tax breaks if they make their houses green, right? Because the government wants more green buildings. Well, why is it the developers fault? Or why would we blame them for having massive tax breaks because they’re just following the IRS rules. So what the wealthy do is they have really smart people such as Tommy and his team, educate them all the time of ways to set up things set up entities that have trust setup, business operations, set up flow through entities set up all this stuff so that they are protected in quite literally have anonymity and they have tax shelter. Many people think tax shelter is a negative word and is for offshore accounts and all this illegal activity, which I think Tommy you could probably speak to some part of that which isn’t actually illegal, but I digress. Tax sheltering is just saying hey, I made a lot of money I don’t want to have to give it to the IRS at least all of it there’s nothing wrong with paying taxes I’m not I’m a United States citizen I’m happy to pay the taxes but I don’t need to pay unfair amount of taxes either right I’m the one out there earning creating creating jobs creating income you know building and so my opinion is pretty staunch and just like happy to pay taxes just don’t need to be overtaxed right literally left California. From there went to Arizona better tax option. Literally left Arizona went to Florida. Great tax option. So you guys are in the right place. Again. I don’t care how many rentals you have. I don’t care if you’re actively doing real estate this is and most of you are by the way, I’m Looking at the names most of you are engaged, you’re here. But you know, Tommy’s gonna go for give or take, you know, 3045 maybe an hour, just about some suggestions he’s given me and to talk to you about what the real wealthy are doing. But even more important talk to you about what the average Joe me, Tommy, you guys, all of us, the average people, what we’re doing to protect ourselves how we are protecting ourselves how we are, you know, giving ourselves anonymity in the case of lawsuits, things of that nature as real estate investors, but also keeping more of our own money. So obviously taught me how to cool me off a little, he gave me some great education and immediately said, We got to turn around and we got to teach others this stuff. So Tommy, I’m gonna let you chime in immediately if you guys have not yet met Tommy, seeing Tommy, I’ve been Tommy and I’ve invited on these calls recently, because I’m so passionate about helping you keep more money, setting up entity structuring tax planning, all of the stuff that I just don’t believe is really educated in the right way. And so, Tommy from Prime Corporate Services, he and his team are my guys, he’s who I go out to for everything, literally everything. That’s why I called him first. And you know, they have everything from setting up your entity if you need that, to estate planning, trusts, LLC, I mean, just everything so Tommy, I’m gonna let you take the reins here. So I don’t take too much time.

But I appreciate you coming on brother. You’re the man Thank you. i As if you guys don’t know already, but Justin has your back. This is I pulled the text up just so I can read it to you. This is what he sent me at 830 in the morning, change in my daughter’s diaper. Get a text from Justin Dude, we need to do a training on asset protection ASAP big concern for investors. President’s talking about unrealized profits. That’s at 830. I’m wiping up but he’s talking to protect and buts and wanted me to get here on here to talk to you as soon as possible. So I’m happy to be here it is. It is a crazy time i These unrealized profits are scary to a certain extent. But what Justin just said as well, I don’t think it’s going to happen. I don’t think it’s going to pass. I sure hope not. However, there’s crazier things that have been passed. And there’s crazier things that get mentioned is put the feelers out. I almost feel like the first time things get mentioned whether or not they get passed by Congress, oftentimes is to test the temperature of how people will react, right? How much can they get away with politics aside, I don’t care what side you’re on. There’s craziness everywhere. But the more that you understand how to protect yourself for where you are, where you live, where your properties are located, the easier it is to sleep at night, whether you have one rental property or 100 rental properties. And the whole more money more problems is real. The more successful you get, the larger the target on your back becomes. Those are all very, very real things right? So keep that in mind, regardless of where you are. Sounds like we’ve got a lot of people here that any if there’s anyone else, I’ve got quite a few pulled up as well. So I’m going to go over the states that I’m going to share my screen. Virginia, in Virginia, you can make a living trust to avoid probate for virtually any asset. Okay. South Carolina living trust for virtually any asset Florida living trust for virtually any asset. Texas same thing. California same thing. Those of you in California John Steven you’re in for a treat. My examples are based off California because I live in a world of worst case scenario what not to do. I obviously step in and want to help you understand what you can do. But California is easily it’s always my kind of go to I was originally from California as well just I don’t even know if I’ve ever told you that I I was originally from Palm Springs a lot of my family’s still there. I’m currently in Utah, New York living trust. Oregon, I don’t know Oregon off the top of my head. Let me look it up real quick though I have got you. Organism also going to be a living trust. So you can see a trend right? Living Trusts. A lot of times people say well I have I have a will I’m good, right? A will is great. But a will is still going to have some complications depending on the state that you reside in, based off of probate. So I want to go through these slides. The general rule of thumb assets over $150,000 That’s California. are near once again, if your assets are worth more than $150,000, this is a concern to you. Long story short, if you own a house, this is probably something that you’re gonna want to deal with at some point.

If you have a will, and you do not have a trust, you still could end up going through probate. Keep that in mind. That was one of the first things Justin asked me yesterday was like, can we just do the will? Can we do it? Do we have to do the trust? Do we do it all to just make sure we’re taking care of part of what we do? We will not do just to trust or just a well, when we do estate plans, it’s trust, will Living Will Power of Attorney, they all want to talk to each other? Because they all have a purpose. They’re there for a reason, right? Why is an LLC different than an escort? They’re very, very similar. But there’s tax benefit with an escort that LLCs don’t necessarily offer. Right? So even the most minor changes really could end up making a massive difference. So I want to talk a little bit about that. I’ve shared this slide before I put it in front of people as often as I possibly can, just to really drive home the importance of the structure long term. Okay, some of you may have a LLC, multiple LLCs, multiple S corporations. Are you familiar with what your risk is? Within those particular entities? Okay, that’s just a personal question for you on what you already have in the assets you already have. But starting from the top trust will Living Will Power of Attorney Justin and I have a mutual friend. That $10 million a year, right $0 in taxes, Amazon $0 in taxes, some of the wealthiest corporations $0 in taxes. So when Biden comes out, and he talks about these unrealized gains, if you purchased a home five years ago, you have equity in it right now. Right? So the thought process is it gets presented to the public, as if it’s for the wealthy as if it’s for $100 million families and over. Why is that the case? Most of us under 100 million, if not all of us right? Are going to say, ah, doesn’t affect me no big deal. That starts to decrease that amount, right? Next thing, you know, 100 Millions, 50,000,050 millions a million. And that’s how they start to get to the point where those unrealized gains, that is why wealthy people invest into real estate, is there’s so many deductions, right? That’s why business owners have employees, that’s why they get those rewards kind of like Justin talked about. So it is all there to impact behavior, on some way, shape, or form. So at some point, having that living trust, and having it have some ownership into the holding company, is not only going to give you the privacy if you were at the event earlier last time, I was here talking to you. I talked to you more about the privacy aspect. But Justin wanted me to dive deeper into let’s combo it with the taxes. Let’s talk more about how to make sure you’re protected. But where are the tax benefits? Right? Why shouldn’t I be running everything through a trust. So if your living trust has ownership in your holding company, all of this depends on how your money flows, the more that you’re organized, and the more that you know, the wholesale deals that you do the fix and flips that you do. They’re coming from this active income over here. But that’s where we want to make sure the profit and loss stays. The tax rate is 10 to 37%. Currently, they’re also talking about bumping that up to 42% for high earners. That’s where I want to take my deductions, right, the money that I pay myself from Prime the money that is active the day trading the fix and flips the real estate, that’s where I want to take my deductions, because that’s what’s going to lower my higher tax rates on the active income. Now for those of you that have the passive income and you have the long term buy and hold, your tax rate is lower at that zero to 20%. But why did Justin panic when he called me yesterday? The mention of unrealized gains being taxed at that zero to 20% is extremely scary. Right? One of the properties that I own is that $500,000 in equity in the last three years. It’s insane. I don’t have that money that $500,000 is not in my bank account. It’s sitting in equity based off of the inflation.

If I got taxed on that, I’d be pissed. Right point blank. There’s no other way to say that’s it’s not the money that you’re making currently, it’s the money that you’re going to be making and the assets that you have, that you need to protect. Now to make sure that down the road, that doesn’t make a difference, okay, so the deductions want to go with the active, the passive income wants to be separate. But once you’re in a position where you don’t have to live on the money that the passive income is generating, then it can start to go through that living trust. We don’t want the active income to go through the living trust, because it’s taxed at the highest rate, and the deductions are minimal. And this is what I was talking to Justin about yesterday is like, we got to tell everybody this we get, we have to make sure everyone is clear that active income is not going through the living trust, if that’s what we’re living off of, or that’s what we’re paying our bills off of. But at what point do you not need that passive income, it’s a great problem to have. But it’s worth thinking about. Now, if you’re not there yet, so that you’re structured accordingly. And if something crazy, like taxing unrealized gains happens, you’re already structured, you can make a quick pivot. And that can then go through the trust REIT to bring that full circle, that property that I have that $500,000 of equity, and if I’m renting that out, and I’m gonna get taxed on it, I know I’m not spending $1 of it. Regardless, I’ll just run that through the living trust. If something happens to me, it goes to my wife, it goes to my daughter, right? So one, I have the control of where it goes, if something happens to me, too. I’m making sure to protect it with the trust with the holding company and with the LLC. But three, I’m not going to allow those unrealized gains of the money. I want to decide if I want to take my family on vacation, if I want to pull it out to invest in more properties. I don’t want to pay taxes on unrealized gains. And that’s where the scare aspect comes into play of, we’re going to start taxing those unrealized gains. This isn’t just in real estate, right? cryptocurrency is a big one. A lot of you probably have cryptocurrency. If you don’t, that’s that’s where a lot of this is also coming that cryptocurrency unrealized gains are massive. For a lot of people. Right, real estate’s really in that same bucket. So is it scary? Yes. Do I personally think it’s going to happen? I sure hope not. Is that maybe that’s the optimist in me saying no. Until adjusted. No. But what do you think just today? What?

What else? Yeah. Did I listen, we went over a lot yesterday as well. You You’ve said it, and I say you know crazier things have happened. And that’s kind of the I forget what law it is. But like if it could happen and will happen type of thing. And I just am sitting here with the vast majority of my audience is heavy into real estate. And to some level crypto because I really love crypto. And I’m glad you brought that up because it is crypto it is stocks, its assets. It’s not real estate. He didn’t say I’m gonna go tax unrealized income on real estate. He said assets right. And that is your stock portfolio. That is your crypto portfolio that is your your home. That is your rentals. That is assets. Right. And so I don’t believe it will pass. I believe it is a way for him to create more news. Sure. And I think it’s newsworthy, and it keeps them top of mind all the other stuff. But you know, the reason the reason why I was like we have to teach people is hey, I have a real estate audience. And it’s just good. It’s so important, the more wealth and the bigger I become, you know, economically and all these things, I need to think different. I said this at my event is a buddy of mine told me one time you think like a rich person. You don’t think like a wealthy person. And it like it was literally I say, and I still get shivers because it was like a punch to the gut like, oh my god, like that’s right, right. And subsequently, I’ve made a lot of moves even since then. And I continue. That’s why I call Tommy to think differently, utilize my money differently, protect my money, literally had a call with my accountant about making sure my car is 100% tax write off where I never used to really worry about that. I would take whatever depreciation he gave me and call it a day. Now I’m like, Absolutely not. We are making sure this is 100% tax write off. And here’s why. My point to all that is, again, I don’t care if you don’t have 400 rentals. You need to think the way I’m advising you to think because I’m 15 years into this business. And if I could have known this prior, my life would likely be different in a pretty vast way. Right and maybe not tangibly, right. Because quite literally, you know, a lot of the things I do are buying hold anyways. But guys start thinking in a way of like, protection, not protecting and hoarding money, I’m just saying you earned it, don’t give it away, right, just think a little smarter. So that’s kind of my thoughts about this. But that’s why this is so important.

The old saying is dress for the job you want, not the job you have. And I joke that nowadays, with how many people are self employed, and just the clients that I have, it’s structure yourself for the business that you want, not the business you have. And I mean that very seriously, just because if you’re doing one wholesale deal a month, you obviously have an LLC, if you have one rental property, I sure hope you have that separate, just based off this slide, and you see the difference in the tax rates. But that’s not where you want to be. That’s where you are. Structure yourself so that as you build and as you grow, you plug and play. And it’s a lot easier to set it up properly from the beginning, than it is over time as you grow. And as you scale. Right. So I just wanted to add that in there as well. And then we got a question in here as well, that I it’s it fits very perfect right here from a business funding standpoint. James is wondering, would you recommend buying a shelf LLC for the holding company to increase time to business funding. So let me kind of explain that based off of this picture here. The holding company really works a lot like a shelf company, right, the holding company that I have is more for privacy and amenity protection than it is doing any business. That’s why I have Delaware, Nevada Wyoming there, you guys are probably familiar at this point that those are privacy states, those who are corporate Haven states. So from this example, it all depends on where your money is flowing. I like the concept of building business credit off of that holding company. Because if you build one line of business credit, and I want to do a wholesale deal, I can lend from my holding company to my active LLC, then my active LLC can pay my holding company back, I have an easy profit and loss statement. But then let’s say I’m going to buy and hold another property that’s over on my passive LLC. Right, and I want to come in and I want to remodel a kitchen, I’m gonna lend from my holding company $20,000 to my passive income LLC remodel the kitchen, then I’m gonna pay myself back to the holding company. What have I done, I’ve created a record that says I’m lending money to my business and paying it back from a tax standpoint. But guess what else I’m doing? I’m building a larger line of credit for my holding company. From a business standpoint, I’d rather have as much available credit as possible, then a couple of smaller credit lines, because some years it’s going to be more active income. Other years you may be stockpile and get more passive income coming through right? Who’s to say what you’re doing in five years? Structure yourself for where you want to be not where you are currently. Cool. Hopefully that answers your question in good enough detail there James. Storytime. I love Prince I tell this story as much as I can. Prince died without a will. Prince has more money than all of us. If those of you are that are thinking I don’t have as much money as Prince. Why in the world would you talk about Prince? It relates directly Prince is the band and it there was no will. It took six years to settle Prince’s estate. When Prince died his estimated value. I didn’t include this on here. But I can just tell you his estimated value when he died in 2016. Was it was right around 85,000,085 86 Somewhere around 85 million. By the time it settled six years later. They said well, inflation’s happened. Prince is dead. So everything that he’s signed, everything that he’s touched, is now worth more money. Six years of heartache with siblings fighting money going to people that he hated money going to family members that he never wanted to talk to again in his life. But six years later that that equity that property is now worth $156 million. Some of you may be thinking to yourselves, good for his family, you wait six years and come up on you know, another $70 million. That’s awesome. Not quite because there’s no will because there’s no living trust. All of that is true. axed. Some people say, this isn’t totally proven.

But the way that I think about it, did they increase that value because the number was so large. And now the IRS makes more money off of that 150 $6 million instead of the ad. That’s conspiracy theory of me. Don’t take that to the bank. There’s blogs about it, you can read I promise. Take your own, like think think for yourself in these different areas. Just don’t let it happen to you. Right. So that estate, once that all happens, there’s a music company involved. There’s a state’s involved, there’s equities involved. I tell this story, because everyone knows Prince, Prince is the man. There’s a lot of money, but you can see how quickly that compounds. Let’s say that that music company that he owned, was your retirement account, was your life insurance policy? Was your vehicle, right? It’s the same concept. It’s just different dollar amounts. So at the end of the day, there’s plenty of examples that could be total horse horror stories. I’m not here to scare you. I’m here to help you understand these things are a reality, right? No one plans on on dying. But the two things that are certain, Benjamin Franklin said at best, death and taxes, they’re going to come at some point taxes are going to come first. Let’s protect ourselves from a tax standpoint. But let’s also protect the assets that we have there as well. Right? Just anything you want to add on my man prince here, just a very handsome, handsome young man with some good curls. No, I, you know, again, I wanted to make sure everyone understood this isn’t just for the wealthy. But even the wealthy aren’t prepared at times. Right. And someone like Prince wasn’t? Again, we don’t have to talk about death, but no one’s ready for it. Right? No one knows when it’s going to happen. Like, just get your shit in order that I mean, that’s really kind of the point, right is to realize like, yeah, the reason this is happening is because what Biden is saying, but the reality is, it’s my duty to make sure you guys do get your shit in order because you have wives or husbands and children, and people who shouldn’t be beneficiaries and get that without having to pay obscene amount of taxes based around whatever’s going on with the IRS at the time. Right. And so, you know, this is really like, you know, get your house in order type of time, right. There’s a lot of chaos in this world right now. And this is business wise, thinking as a owner, thinking as someone who wants to keep their money and not just give it away, this type of stuff is going to be really, really useful to yourself.

Out of curiosity, throw in the chat, if anyone has a friend or a family member that went through a death of a loved one, and ended up fighting with that loved one, right for, for example, when my grandpa passed away about 1516 years ago, my mom and my uncle were best friends their whole life. They’re identical. They’re the same person, once one’s a man once a while, but when my grandpa passed away, my uncle and my mom did not talk for 10 years, they they’ve they’ve since been able to rekindle the relationship. But for 10 years, they did not talk because of money. Right? And it’s such a terrible thing to talk about, because it wasn’t even necessarily about the money to them. It was the principle of how Come dad gave you this, as opposed to splitting it evenly. Right. But if all those things were in order, and the trust and the will and all those things are in place, they could have grieved, they could have gone about their lives, they could have stayed friends throughout that whole period. So to me, I know that’s on a little bit of a deeper level, but you’re not just doing this for money. Everyone has a why that involves a family, a friend a loved one. It’s oftentimes apparently no one knows anyone up here,
I was gonna mention I mean, I didn’t have the family duel, but like, what I will tell you is when my mom passed, I was the inheritance but it still had to go through probate and there was a ton of taxes taken out. She owned the home free and clear. And, you know, the reality is because it had to go through probate because she didn’t have a will. There was massive amounts of taxes taken out before actually reached my hands. And so it just kind of sucks, right? I mean, you know, I didn’t know what I didn’t know and so I just accepted it. But this is something that if you haven’t taught your parents, the stuff we’re teaching you tonight it’s a conversation you have to have right in to you know Tommy’s point like if you have siblings removed that money will call eyes, the worst scenarios, right? Make your parents go start a trust, make it a living trust, make it very clear who the trustee versus the beneficiary is right? Like, this is important shit.
For sure. Yep. 100%. And I, I wanted to give I’ve got two more slides here before I kind of I want to make sure I leave some time for questions as well. But I talk a lot about probate. What is probate? Probate is the court supervised process of validating the will the trust or the beneficiary. So just as even seeing these slides, but what he said transition this beautifully into a lot of times what doesn’t go into probate are things like life insurance or retirement accounts. And the reason for that is when you set up, so when I set up my life insurance, I set it up before I was married. So my sister was my beneficiary. Right. But that’s one of the questions that they ask when you set up a life insurance policy. So a lot of times the beneficiaries there, the life insurance policy goes to the beneficiary is, but once I get married, and once I have a kid, it’s like, it’s not just a one and done type thing every three to five years, depending on your wealth. And as things change. If you have a trust, if you have a will, when was the last time you updated it? Right, the value of your property has changed quite a bit if you already have these things and set him up five years ago, right for me, I love my sister to death. And she actually works here with us. She was a former financial planner. So I set it up with her. She she may even watch this and it’s nothing against her. I want my kid to have that. Right. So how can you avoid probate planning for it, have the changes in place, understand that whether it’s a review every year, or every three to five years, make sure that you have those things in order. It’s not something you have to do every year if you’re not building crazy amounts of wealth and different businesses. But as long as you have it in place, this is how you avoid a lot of those things.

Is the one thing you mentioned, Tommy, I want everyone to hear this loud and clear. It is most important to control real estate, not own it. For sure. This gives you that a Living Trust gives you the ability to actually control the real estate without having the liability of owning the real estate. So I myself tend to think homes personal homes are not an asset. That’s my own belief, right? I kind of have this Grant Cardone belief about it. And it immediately became the reality when I bought my home Miami and spent millions of dollars and then immediately have to go in and spend another $20,000 to replace my roof. And I was like, here it is, this is why it’s not a frickin asset doesn’t pay me, I pay it. And so that being said, I would tell you to control the asset, your rental properties or otherwise, without having the liability, which meaning if you got dragged into a lawsuit, and then somehow they were to wrap in your LLC, then they could potentially come after your rental properties, they could potentially come after your house, your equity, those type of things. But in a trust, the anonymity piece protects that, right? And but you get all the benefits of the control of the real estate, right? This is why creative financing is so great. You control the real estate, you don’t actually own it. So you don’t have to take on the liabilities of said real estate makes sense. That’s why banks love it. They’re essentially in control. They just don’t have to deal with being the landlord. Right. So understand trust, give you the control without the ownership.
Because even if you I mean, a lot of people will say I have a will. If that still goes to probate, I’m gonna save that actually, if that still goes to probate, that still could end up costing a significant amount of money. And I want to I want to go over this example i i started with Prince and Prince is 150 $6 million example may not resonate or hit home with everybody. So I’m going to talk about a house in California that’s worth a million dollars. Disclaimer, that picture is probably worth like $3 million in California, but I was just gonna say that.

Let’s still talk about it. Max, what a max is wondering about a recommendation on a probate attorney. Where do you live Max and do you currently have someone going through probate? Are you wondering about the estate planning portion? The estate? Are you trying to get it ahead of time or do you already have someone going through it? Show it tell us in the chat if you would. Because we have a state plan attorneys that’s part of what we do is full estate plans trust wills, living wills power of attorneys. Hi The recommend that you use ours if you’re in California, my uncle is an estate planning attorney, and only does them for a minimum of $30,000 Trust wills living wills power of attorneys. He’s always like, send me some business. I know this is what you do. Like no way I’ve worked out deals for bulk discounts for a couple $1,000 to $3,000, depending on all the situations and unlimited amendments, these things, these are things that can also be expensive, which is why I think people push them off. But for 1000 bucks, 2000 bucks to make sure it’s a no brainer. Like it’s a no brainer.

They will be short sighted, all of you don’t be short sighted, this is real stuff. I mean, I literally probably lost $300,000 to taxes when my mom died. And I was had to go through probate 300,000 If I would have been a little older, and I was 2223. At the time, I may have actually told my mom to do something like this because she wasn’t healthy. Right? But I didn’t know. And now I know. So do this for your parents. Right? Do this for you. So your kids don’t have to have that kind of situation. But anyways, keep going. Tell me for sure. No, thank you. ibex, I’m sorry for your loss Max and Phoenix, my, my mom passed, I’m sorry for your loss. And it’s these are real things like these are things that if it’s you’re not in the planning stage, currently you are this is these are things everyone’s in the planning stage, because everyone’s looking to build wealth. I’m sure I have someone in Phoenix within my network, I don’t know off the top of my head. If you’re a client of ours or working with us,
reach out, she asked me for a probate attorney in Phoenix. Yes, I actually have one because we do a lot of probate deals in Phoenix. So Max, I can refer you a probate attorney.

If not, I’m sure we have one in our network as well that can happen. But if you got it, that’s perfect. So let’s go this example here. The reason I use this, as I told you earlier, I use California as the example because it’s worst case scenario. A lot of them are very similar from a conceptual standpoint with probate. But the dollar amounts get very high very quickly in California. So I try and use them as the example because it’s, if you’re in California, have a trust, please, especially if you own real estate, anywhere for that matter, but a million dollar home in California, no trust, they go off of the value of the home. A lot of states, it’s not the equity, if I owe $500,000. And my house is worth a million dollars. That million dollars is in probate. Right? They can take all of it but $60,000 in Utah, and give that to my wife. I’d be rolling over in my grave if I had $500,000 in equity and 60 words my wife. Right. So with a Living Trust without a living trust $25,000 instantly goes to probate on a million dollars another $25,000 is probably going to that probate attorney right we should almost have a follow up zoom with what you have to go through max out of Phoenix. Just because it’s it’s real stuff and until it happens to you and until you see it. It’s the shoulda, coulda, woulda thing but set yourself up so you are protected, and understand what the tax benefits are going to be currently in the future as you start to move forward. So another example California 500,000. Obviously, it lowers that cost. But remember, if I owe $300,000 on this house, and it’s worth 500, just like that they’re going off the 500. Of course, the average probate could take two years. Think about how much your property that you’ve owned, has gone up in equity in the last two years. Additional attorney fees, additional equity, additional tax. Those are all additional expenses that simply could have avoided by having a to $3,000 entire estate put in place. Right. So coming back to this, what do you have currently, this is for your visual based off what we’ve covered. What do you currently have? What do you need? Is your money flowing properly? Do you have a rental LLC that’s doing wholesale deals currently separate them? The tax rates are different, the liabilities are different. Right? Do you have trading accounts that are tied together? I can’t tell you how many real estate investors I’ve talked to that are like oh, the fees were lower on Coinbase pro so I just use my wholesale LLC. That’s cool, right? I’m like if If you want, it’s not cool by any means. That’s the last thing I would ever do. But I live in this stuff all day. So if this is where you are currently, don’t feel bad about it, let’s just fix it. I know Justin already dropped that link in the chat there, scan the code, you can schedule an appointment to talk to us. If you are already structured, let’s review it. If you only have the active LLC, you need the passive LLC. Let’s do it. But for those of you this is the first time you’re seeing me or the first time you’re hearing about prime corporate entity structuring, we can help review what you already have structure what you need business credit development, I’ve got an amazing team of credit advisors that helped build and develop actual business credit, to separate your personal and your business liability. Tax Planning, and tax filing and full estate plans. Everything we’re talking about here today. Trust wills, living wills, power of attorneys, make sure to schedule on this link, because there’s massive discounts for this community. So make sure you either let us know that that all JC sent you over there. You’re a part of the group here.

Yeah, and I think one thing and I know people are gonna have a lot of questions. For the sake of time on the East Coast, it’s 745 for some of you guys are just getting to work. Just booked the call. And the reason why I’m really adamant about is because then you can ask your questions and really figure out what you’re trying to do. Here’s the thing. I’m currently going to go through the state park because that’s why I called him I said, Hey, I need to set this whole thing up. Don’t be short sighted, right? Meaning, even if you don’t have a rental and you just need to figure out your own personal house, the way the taxes flow, when you sell a home or you let’s just say God forsaken, someone passes and it goes to your wife or the or the child. The way the taxes flow to the beneficiary when you are in a trust is a whole lot different than my experience. When I ended up going through probate the home into my name, we sold the home and I got taxed at full rate. It’s a totally different tax bracket. And you just need to know those types of things. So all these things are what you need to talk to Tommy and his team with and by the way, just so we’re all clear, you likely aren’t going to get Tommy on the phone just we’re clear he’s doing this because he’s my guy, but his team is every bit as educated if not more, so. This is really important for a anonymity for those real estate investors to Tommy’s point, my wholesaling and active and rehabbing income is in one LLC my passive rentals is in another and another multiple LLC is because I have enough of them right but now I’m like Oh man, that’s not even good enough. I need now wrap these things in trust multiple trust potentially that’s what it taught me and I are going to figure out where I need to go but guys Personal Home Loan home your trading accounts crypto This is not just for the guys that have 100 You know properties and their rental portfolio get on a call with these guys because this is serious, right like again, even if this crazy Hail Mary that Biden’s throwing about this like taxing unearned income doesn’t pass maybe he gets somewhere maybe he creates a tax bill Delaine where he really wanted to which is more aggressive than what’s currently happening right so guys keep more of the money make and then protect your assets. Right? I mean, that’s the reality so I dropped the other thing for for those of you that love just learning maybe a little light reading before bad there’s a there’s an IRS debt tax code for you.
Little light light reading I’ll give you some some easy before bad once again, it’s it really Jennifer I appreciate so much been been working with us for six months, the peace of mind holding company. That’s what it’s all about. It’s the peace of mind. It’s sleeping at night, it’s making sure that you have somewhere to turn. It’s Jennifer knows any questions, tax related asset protection. We’re a one stop shop. We’ve created that intentionally obviously. But Jennifer knows you’re a call or an email away and we get things fixed we make sure we’re protected. It’s about making money now but it’s protecting the long term and the legacy that you’re creating and who you’re actually doing it for.

Yeah, I love your analogy is the old saying about you know dress for the job you want not the job you have I love that I mean that’s that’s what we’re talking about. And that’s what I want everyone to understand. So appreciate you dude. I know it’s getting late your world you got to go home to the baby. I gotta go put down my baby. I appreciate all of you showing up you’re committed yourself. Remember, I believe in three things commitment, intention and action. Being here tonight shows that commitment now be intentional with the action and book a call the Tom Hughes team. And we’ll we’ll circle back later go to prime corporate for its last year so I have to do it.ย  Appreciate you dude.Thank you, man. I appreciate you. Thank you everyone later

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