When the Tax Cut and Jobs Act imposed the 10k SALT deduction limit, states with high taxes, like California, were outraged. Their taxpayers faced significantly higher federal tax bills. As a workaround, the Pass-Through Entity Tax Election was created.

PTET is an elective tax that business owners pay at the entity level. Instead of business income passing through to their individual return, they pay a separate state tax on their business income.

This pass-through entity tax is 100% deductible at the federal level, and generally, you receive a dollar-for-dollar credit on your personal state tax return.

Key Topics:

• 10K SALT Deduction Limit and the Workaround: PTET (Pass-Through Entity Tax) (01:30)
• An Example of PTET in Action (02:52)
• A Few Important Issues and Limitations with PTET (04:00)
• Breaking Down How PTET Saves on Taxes (05:47)
• All Business Owners Must at least Consider and Explore PTET (07:27)

This Episode is intended to be financial education only and is not intended to be specific tax, legal, or investment advice. Please consult a professional for specific advice.

Subscribe to our weekly planning insights newsletter: ⁠⁠⁠⁠https://mdrnwealth.com/blog/⁠⁠⁠⁠

If you need specific advice you can contact us at Advice@mdrnwealth.com or at: ⁠⁠⁠⁠https://www.mdrnwealth.com

Short-Term Rentals (STRs) are one of the few ways to gain exposure to real estate as a non-real estate professional while taking advantage of some of the incredible tax benefits that real estate offers. However, getting into the business of investing in Short-Term Rentals can require a lot of work. This week, we're breaking down how to identify STR opportunities and how to optimize their returns with Real Estate Advisor Eric Ravenscroft. We'll also dive into the tax benefits and how to use them to your advantage.

Key Topics:

• 0:00 - Introduction to STRs
• 5:10 - Optimizing Your Investment
• 13:45 - Getting Started
• 17:34 - STR Case Studies
• 22:54 - Growing Your STR Business
• 34:36 - Tax Basics
• 37:12 - Introduction to Bonus Depreciation
• 38:25 - Cost Segregation Study
• 39:22 - Leveraging Bonus Depreciation
• 44:15 - Tax Case Study

This Episode is intended to be financial education only and is not intended to be specific tax, legal, or investment advice. Please consult a professional for specific advice.

⁠The Ravenscroft Group⁠

Subscribe to our weekly planning insights newsletter: ⁠⁠⁠https://mdrnwealth.com/blog/⁠⁠⁠

If you need specific advice you can contact us at Advice@mdrnwealth.com or at: ⁠⁠⁠https://www.mdrnwealth.com

First-round pick of the 2024 NFL Draft, Caleb Williams, makes headlines for wanting to do some "creative" tax planning with his NFL money. We're breaking it down!

Key Topics:

• Breaking Down the Caleb Williams LLC Proposal (01:26)
• Breaking Down the Forgivable Loan Element (02:53)
• How Rich People Use Loans to Avoid Taxes and How This is Different (03:52)
• LLCs and Their Benefits and Misconceptions (04:55)
• Wrap-Up (05:57)

MDRN Wealth Episode on All Things LLCs

This Episode is intended to be financial education only and is not intended to be specific tax, legal, or investment advice. Please consult a professional for specific advice.

Subscribe to our weekly planning insights newsletter: ⁠⁠https://mdrnwealth.com/blog/⁠⁠

If you need specific advice you can contact us at Advice@mdrnwealth.com or at: ⁠⁠https://www.mdrnwealth.com

Making money is one thing; building wealth is another. In this episode, we break down how high-income individuals can go from rich to wealthy. From the mental side of the game to how to approach saving, we've got you covered. I promise you, you don't want to miss it.

Key Topics:

• Gratitude and Finding Your Why (01:11)
• Lifestyle Creep (03:02)
• Take Advantage of the Fact That You’re Making this Amount of Money (04:52)
• The Issue with Rushing to Pay off Your Home (07:21)
• Play Defense: Protect Your Wealth (08:36)
• Knowing Your Why in Life (10:11)

Link to Episode Mentioned: https://youtu.be/e54hrMevTjI

This Episode is intended to be financial education only and is not intended to be specific tax, legal, or investment advice. Please consult a professional for specific advice.

Subscribe to our weekly planning insights newsletter: ⁠https://mdrnwealth.com/blog/⁠

If you need specific advice you can contact us at Advice@mdrnwealth.com or at: ⁠https://www.mdrnwealth.com

There are many different places to put your money to ensure you build wealth. But with all these options, how do you know which one to pick? How do you know which ones to prioritize over others? Today, we're giving you a roadmap on how to invest your hard-earned dollars. You don't want to miss it.

Key Topics:

• #1: Creating a Base Cash Reserve in Your Checking Account (01:34)
• #2: Taking Advantage of Your 401(k) Match (02:10)
• #3: Establishing an Emergency Fund (03:06)
• #4: Paying off High-Interest Debt (03:44)
• #5: Maxing Out Your 401(k) (06:03)
• #6: Maxing Out Your HSA (07:19)
• #7: Contributing Directly to a Roth IRA (08:44)
• #8: Have Money Available for Non-Retirement Goals (10:24)
• #9: Take Advantage of the Mega Backdoor Roth (13:01)
• #10: Take Advantage of Your ESPP (Employee Stock Purchase Plan) (14:23)
• #11: Put the Remaining Cash in Your Brokerage Account (16:44)
• This Savings Plan in Action (17:18)

This Episode is intended to be financial education only and is not intended to be specific tax, legal, or investment advice. Please consult a professional for specific advice.

Podcast Episode: Employee Stock Purchase Plans (ESPPs) 101 - Taxes, Benefits & More

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If you need specific advice you can contact us at Advice@mdrnwealth.com or at: https://www.mdrnwealth.com

This is a tax that is going to blindside a lot of people, and it’s shocking how many new clients I work with have no idea what it is. Net Investment Income Tax was intended to tax the investment income of high-income individuals. However, more and more taxpayers are now subject to this tax since the brackets have not been adjusted for inflation. Today, we are breaking down what it is, how it works, and how to plan around it.

Key Topics:

• The History and Purpose of Net Income Tax (01:00)
• What Constitutes Net Investment Income (01:26)
• What NIIT Does Not Include (02:07)
• Income Thresholds for NIIT (02:45)
• Examples of NIIT in Action (03:52)
• Planning Around NIIT (05:47)

This Episode is intended to be financial education only and is not intended to be specific tax, legal, or investment advice. Please consult a professional for specific advice. Subscribe to our weekly planning insights newsletter: https://mdrnwealth.com/blog/

Video Tutorial on Tax Loss Harvesting: https://www.youtube.com/watch?v=Goc-ZonDNLY&t=458s
If you need specific advice you can contact us at Advice@mdrnwealth.com or at: https://www.mdrnwealth.com

With rates at multi-decade highs, the interest you generate on cash is much higher than it has been in a long time. The problem is, now investors are leaning too much on cash in their portfolios, which can drag down long-term returns. Today, we're going to break down how to calculate the appropriate amount of cash to hold in your portfolio for more optimal management

Key Topics:

• Breaking Down How Much Cash You Should Have on the Sideline (02:12)
• For Those Who Hold Too Much Cash (06:22)
• For Those Who Don’t Have Enough Cash (08:35)
• Bottom Line: Find that Happy Medium (09:55)

This Episode is intended to be financial education only and is not intended to be specific tax, legal, or investment advice. Please consult a professional for specific advice. Subscribe to our weekly planning insights newsletter: https://mdrnwealth.com/blog/ If you need specific advice you can contact us at Advice@mdrnwealth.com or at: https://www.mdrnwealth.com

RSUs are an increasingly popular way to compensate employees. While they can greatly increase your overall compensation, there are many misconceptions around RSUs. From holding them to taxes, we are going to break down some of the biggest misconceptions around RSUs.

Key Topics:

• The Confusion Behind Restricted Stock Units (01:00)
• Misconception #1: Thinking You Have an “Insider Edge” Regarding Your Stock (01:49)
• Misconception #2: Thinking that RSUs are Taxed Higher (06:11)
• Misconception #3: Thinking You Don’t Have to do Any Tax Planning Around RSUs (07:57)
• Wrap-Up: RSUs Can Be Amazing, But also a Risk as You Stack Them Up (11:12)

This Episode is intended to be financial education only and is not intended to be specific tax, legal, or investment advice. Please consult a professional for specific advice. Subscribe to our weekly planning insights newsletter: https://mdrnwealth.com/blog/ If you need specific advice you can contact us at Advice@mdrnwealth.com or at: https://www.mdrnwealth.com