1 00:00:02,060 --> 00:00:05,540 (Transcribed by TurboScribe.ai. Go Unlimited to remove this message.) Welcome to the Business Credit and Financing Show. 2 00:00:06,040 --> 00:00:08,460 Each week, we talk about the growth strategies 3 00:00:08,460 --> 00:00:10,240 that matter most to entrepreneurs. 4 00:00:11,000 --> 00:00:13,600 Listen in as we discuss the secrets to 5 00:00:13,600 --> 00:00:16,400 getting credit and money to start and grow 6 00:00:16,400 --> 00:00:17,240 your business. 7 00:00:17,460 --> 00:00:19,820 And enjoy as we talk with seasoned business 8 00:00:19,820 --> 00:00:22,680 owners, coaches, and industry leaders on a variety 9 00:00:22,680 --> 00:00:25,700 of topics from advertising and marketing to the 10 00:00:25,700 --> 00:00:28,140 nuts and bolts of running a highly successful 11 00:00:28,140 --> 00:00:28,720 business. 12 00:00:29,020 --> 00:00:31,340 And now, to introduce the host of our 13 00:00:31,340 --> 00:00:35,300 show, financial expert and award-winning author, Ty 14 00:00:35,300 --> 00:00:36,020 Crandall. 15 00:00:36,620 --> 00:00:37,840 Hello, and thanks for joining us today. 16 00:00:37,920 --> 00:00:39,640 I'm super excited you could be here because 17 00:00:39,640 --> 00:00:41,740 today we're talking about something we've never talked 18 00:00:41,740 --> 00:00:44,260 about before, which is taking government incentives and 19 00:00:44,260 --> 00:00:46,600 turning them into win-win investments. 20 00:00:46,720 --> 00:00:48,060 This is a cool topic you're gonna wanna 21 00:00:48,060 --> 00:00:49,240 know a lot more about. 22 00:00:49,580 --> 00:00:51,080 And with us to have this discussion is 23 00:00:51,080 --> 00:00:51,960 Tom Wheelwright. 24 00:00:52,240 --> 00:00:54,400 Now, Tom is a renowned CPA and tax 25 00:00:54,400 --> 00:00:56,520 and wealth expert who has dedicated his career 26 00:00:56,520 --> 00:01:00,600 to helping individuals and businesses achieve financial independence. 27 00:01:00,600 --> 00:01:04,360 Now, as the founder of WealthAbility, TFW Advisors, 28 00:01:04,480 --> 00:01:08,880 PLA Software, and the Wheelwright-Manahan Family Office, 29 00:01:09,020 --> 00:01:10,860 Tom has built a network of businesses focused 30 00:01:10,860 --> 00:01:14,560 on providing education, tax preparation, and tools that 31 00:01:14,560 --> 00:01:18,340 empower people to break free from financial reliance 32 00:01:18,340 --> 00:01:20,880 on employers, Wall Street, and the government. 33 00:01:21,020 --> 00:01:23,460 Now, he also is the trusted CPA for 34 00:01:23,460 --> 00:01:26,100 Robert Kiyosaki, the author of Rich Dad, Poor 35 00:01:26,100 --> 00:01:28,640 Dad, and an international speaker who has shared 36 00:01:28,640 --> 00:01:32,420 his insights with over 100,000 entrepreneurs and 37 00:01:32,420 --> 00:01:35,060 investors across six different continents. 38 00:01:35,340 --> 00:01:37,200 Now, Tom is the bestselling author of Tax 39 00:01:37,200 --> 00:01:39,780 -Free Wealth and the Win-Win Wealth Strategy, 40 00:01:40,160 --> 00:01:41,940 books that have transformed the way that people 41 00:01:41,940 --> 00:01:44,040 think about taxes and wealth building. 42 00:01:44,340 --> 00:01:46,920 His approach centers on using tax codes strategically 43 00:01:47,440 --> 00:01:50,420 to create and preserve wealth, making the complex 44 00:01:50,420 --> 00:01:55,020 world of taxes both understandable and also advantageous. 45 00:01:55,300 --> 00:01:56,840 Now, in addition to his writing, Tom hosts 46 00:01:56,840 --> 00:01:59,740 the WealthAbility Show, a popular podcast where he 47 00:01:59,740 --> 00:02:02,120 shares his expert insights on tax and wealth 48 00:02:02,120 --> 00:02:05,200 strategies, solidifying his relationship as a leading voice 49 00:02:05,200 --> 00:02:06,360 in the financial world. 50 00:02:06,760 --> 00:02:08,320 Tom, really accomplished guy, man. 51 00:02:08,380 --> 00:02:09,259 Thanks for joining us today. 52 00:02:09,580 --> 00:02:10,420 Thanks for having me. 53 00:02:10,500 --> 00:02:12,120 It's easy to be accomplished when you're as 54 00:02:12,120 --> 00:02:12,780 old as I am. 55 00:02:13,460 --> 00:02:15,800 Yeah, I'm not too far behind you, I 56 00:02:15,800 --> 00:02:17,140 don't think, so I'm just trying to catch 57 00:02:17,140 --> 00:02:19,180 up on the accolades that you've done. 58 00:02:19,540 --> 00:02:21,180 So congratulations on your success. 59 00:02:21,320 --> 00:02:23,100 You've done a lot to help with the 60 00:02:23,100 --> 00:02:25,240 education, with this financial education that you've been 61 00:02:25,240 --> 00:02:25,620 providing. 62 00:02:25,900 --> 00:02:27,300 Well, I've been very fortunate. 63 00:02:27,300 --> 00:02:29,740 I grew up in a family of educators, 64 00:02:29,880 --> 00:02:30,160 actually. 65 00:02:30,460 --> 00:02:31,900 I have a brother who is a Harvard 66 00:02:31,900 --> 00:02:33,140 Business School professor. 67 00:02:33,860 --> 00:02:36,000 I have, my whole family has been very 68 00:02:36,000 --> 00:02:38,360 involved in education and I was very fortunate 69 00:02:38,360 --> 00:02:41,040 20, almost 25 years ago when I met 70 00:02:41,040 --> 00:02:44,260 Robert Kiyosaki and we became friends and I've 71 00:02:44,260 --> 00:02:45,140 been traveling with him. 72 00:02:45,320 --> 00:02:47,960 And he is, he's really the, to me, 73 00:02:48,060 --> 00:02:51,060 the king of financial education and it's always 74 00:02:51,060 --> 00:02:53,020 a privilege to be teaching alongside him. 75 00:02:53,420 --> 00:02:54,960 Now, out of curiosity, how did you and 76 00:02:54,960 --> 00:02:55,380 Robert meet? 77 00:02:55,380 --> 00:02:56,940 I bought a CPA firm. 78 00:02:57,400 --> 00:02:58,700 I was building my practice. 79 00:02:58,900 --> 00:03:00,080 I bought a CPA firm and he was 80 00:03:00,080 --> 00:03:00,480 the client. 81 00:03:00,740 --> 00:03:01,520 Oh, wow, interesting. 82 00:03:01,720 --> 00:03:03,220 And he's still a client to this day? 83 00:03:03,640 --> 00:03:04,880 Still a client to this day, yeah. 84 00:03:04,980 --> 00:03:05,500 Wow, that's cool. 85 00:03:05,520 --> 00:03:06,900 He's a really interesting guy, Robert. 86 00:03:07,120 --> 00:03:09,580 He is, I love him and his message. 87 00:03:09,700 --> 00:03:10,620 He's an amazing person. 88 00:03:10,780 --> 00:03:13,600 We travel the world and he always takes 89 00:03:13,600 --> 00:03:14,320 time for people. 90 00:03:14,860 --> 00:03:15,940 People will come up to him. 91 00:03:16,060 --> 00:03:17,820 I've seen people come up to him in 92 00:03:17,820 --> 00:03:21,680 Kazakhstan, Kyrgyzstan, Romania. 93 00:03:22,440 --> 00:03:26,980 We're in, we're just going through Belarus and 94 00:03:26,980 --> 00:03:30,900 we're actually going through passport control in Belarus 95 00:03:30,900 --> 00:03:35,100 and the passport control officer asked if he 96 00:03:35,100 --> 00:03:37,400 was the Robert Kiyosaki and could he please 97 00:03:37,400 --> 00:03:38,760 give him a signature? 98 00:03:39,040 --> 00:03:41,620 So that is the impact that Robert's had 99 00:03:41,620 --> 00:03:42,120 around the world. 100 00:03:42,220 --> 00:03:42,840 It's pretty amazing. 101 00:03:43,140 --> 00:03:43,760 That's pretty amazing. 102 00:03:44,000 --> 00:03:44,660 What about you? 103 00:03:44,740 --> 00:03:46,600 The Win-Win Wealth Strategy, your book. 104 00:03:46,800 --> 00:03:48,920 So what motivated you to originally write this? 105 00:03:49,320 --> 00:03:51,380 Yeah, so my first book was Tax-Free 106 00:03:51,380 --> 00:03:53,700 Wealth and Tax-Free Wealth is really an 107 00:03:53,700 --> 00:03:55,880 explanation of how the tax law actually works. 108 00:03:56,000 --> 00:03:57,580 So it's really meant to be a very 109 00:03:57,580 --> 00:04:00,600 simple, for the average person, what's available in 110 00:04:00,600 --> 00:04:02,640 the tax law for me to use to 111 00:04:02,640 --> 00:04:05,740 reduce my taxes that is legally, legal, ethical 112 00:04:05,740 --> 00:04:06,940 and moral to use. 113 00:04:07,020 --> 00:04:09,400 Not the tricks and tips, but how it 114 00:04:09,400 --> 00:04:10,380 actually works, right? 115 00:04:10,480 --> 00:04:12,740 And in that one, I explain that the 116 00:04:12,740 --> 00:04:15,740 tax law is fundamentally a series of incentives 117 00:04:15,740 --> 00:04:18,700 and it's primarily for business owners and investors. 118 00:04:19,060 --> 00:04:21,100 And then I walk through the different incentives, 119 00:04:21,240 --> 00:04:23,240 basically for business owners and investors. 120 00:04:23,580 --> 00:04:25,280 In the Win-Win Wealth Strategy, I wanted 121 00:04:25,280 --> 00:04:27,560 to look at the actual investment side. 122 00:04:27,720 --> 00:04:29,640 So what does the, what I wanted to 123 00:04:29,640 --> 00:04:31,340 analyze, what does the government get out of 124 00:04:31,340 --> 00:04:31,480 it? 125 00:04:31,640 --> 00:04:32,840 Why do they give investments? 126 00:04:33,080 --> 00:04:34,660 Do they actually make money on this? 127 00:04:34,880 --> 00:04:36,400 Does it actually work for them? 128 00:04:36,660 --> 00:04:39,600 Or is it just like the pundits would 129 00:04:39,600 --> 00:04:41,660 say, oh, this is just the lobbyists getting 130 00:04:41,660 --> 00:04:42,740 a giveaway, right? 131 00:04:42,740 --> 00:04:44,960 So I wanted to actually analyze, is it 132 00:04:44,960 --> 00:04:45,620 really a giveaway? 133 00:04:45,920 --> 00:04:48,920 Is it actually make economic sense for the 134 00:04:48,920 --> 00:04:49,160 government? 135 00:04:49,560 --> 00:04:52,940 And then what investments are there that the 136 00:04:52,940 --> 00:04:55,860 government, in my mind, I think there are 137 00:04:55,860 --> 00:04:57,640 seven investments that I talk about in the 138 00:04:57,640 --> 00:04:59,400 book, that the government will literally pay you 139 00:04:59,400 --> 00:05:00,160 to make these investments. 140 00:05:00,340 --> 00:05:04,240 So they will contribute part of the cost 141 00:05:04,240 --> 00:05:06,840 of the investment and they do that through 142 00:05:06,840 --> 00:05:10,860 tax benefits or other taxes that you've paid. 143 00:05:10,860 --> 00:05:13,580 So for example, this isn't about how do 144 00:05:13,580 --> 00:05:15,740 I not pay tax on the income I 145 00:05:15,740 --> 00:05:15,920 earn? 146 00:05:16,120 --> 00:05:18,080 This is about how do I reduce the 147 00:05:18,080 --> 00:05:20,460 taxes on the income I earn by investing? 148 00:05:20,720 --> 00:05:23,540 Which is not something people ever think about 149 00:05:23,540 --> 00:05:27,240 because so what, it came up years ago 150 00:05:27,240 --> 00:05:30,520 when I started doing tax strategy work with 151 00:05:30,520 --> 00:05:30,900 entrepreneurs. 152 00:05:31,320 --> 00:05:33,240 And the first question I always asked was, 153 00:05:33,320 --> 00:05:34,100 how do you make your money? 154 00:05:34,180 --> 00:05:35,900 And that was, they could all answer that 155 00:05:35,900 --> 00:05:37,460 and we'd go through and that's really what 156 00:05:37,460 --> 00:05:38,500 tax-free wealth is all about. 157 00:05:38,620 --> 00:05:40,160 But then the second question I asked was, 158 00:05:40,160 --> 00:05:41,300 okay, so what are you gonna do with 159 00:05:41,300 --> 00:05:41,620 your money? 160 00:05:41,980 --> 00:05:43,340 And most of them said, I have no 161 00:05:43,340 --> 00:05:43,640 idea. 162 00:05:43,860 --> 00:05:45,540 I just, I like turn it over to 163 00:05:45,540 --> 00:05:46,680 a financial planner. 164 00:05:47,000 --> 00:05:48,480 I'm just, it's in the bank. 165 00:05:48,560 --> 00:05:49,860 Unless they were putting it back in their 166 00:05:49,860 --> 00:05:53,120 business, they didn't really have keys what to 167 00:05:53,120 --> 00:05:53,940 do with that money. 168 00:05:54,100 --> 00:05:56,040 And so what I've been studying over the 169 00:05:56,040 --> 00:05:58,800 years is, all right, what if you do 170 00:05:58,800 --> 00:06:00,220 the things the government wants you to do? 171 00:06:00,300 --> 00:06:01,840 So in other words, instead of being a 172 00:06:01,840 --> 00:06:04,060 silent partner, like most people are, we're all 173 00:06:04,060 --> 00:06:05,000 partners with the government, right? 174 00:06:05,060 --> 00:06:06,400 So instead of being a silent partner with 175 00:06:06,400 --> 00:06:08,260 the government, what if you actually look at 176 00:06:08,260 --> 00:06:09,940 those things the government would like you to 177 00:06:09,940 --> 00:06:12,060 invest in and invest in those things? 178 00:06:12,260 --> 00:06:14,880 And then what's the tax benefit for doing 179 00:06:14,880 --> 00:06:15,160 that? 180 00:06:15,280 --> 00:06:17,700 So if there's a tax benefit, can I 181 00:06:17,700 --> 00:06:20,360 offset the income I earn in my business 182 00:06:20,360 --> 00:06:24,360 with, because I make an investment in real 183 00:06:24,360 --> 00:06:25,800 estate as an example. 184 00:06:26,080 --> 00:06:28,260 And the answer in that case is absolutely. 185 00:06:28,680 --> 00:06:31,140 So what are those other investments that I 186 00:06:31,140 --> 00:06:33,240 can make that I'm gonna take my money 187 00:06:33,240 --> 00:06:35,380 out of my business, I'm gonna put it 188 00:06:35,380 --> 00:06:38,640 into some other investment because I can't put 189 00:06:38,640 --> 00:06:39,620 it all back in my business. 190 00:06:39,900 --> 00:06:41,020 What are the incentives there? 191 00:06:41,100 --> 00:06:42,720 What types of investments are they? 192 00:06:42,780 --> 00:06:44,800 And that's what the seven investments are. 193 00:06:45,080 --> 00:06:46,520 So when we talk about these seven investments, 194 00:06:46,840 --> 00:06:48,720 give me some examples of like a few 195 00:06:48,720 --> 00:06:50,540 of the ones that you think are the 196 00:06:50,540 --> 00:06:53,280 ones the government prefers the most and that 197 00:06:53,280 --> 00:06:55,060 are the best win-win situation. 198 00:06:55,460 --> 00:06:58,880 I will actually tell you what the government 199 00:06:58,880 --> 00:07:00,280 prefers the most is agriculture. 200 00:07:00,660 --> 00:07:02,200 That is not the one people would think, 201 00:07:02,860 --> 00:07:03,820 it's agriculture. 202 00:07:04,340 --> 00:07:06,720 Yeah, I've had clients that were farmers and 203 00:07:06,720 --> 00:07:09,100 ranchers, they never pay tax, they just never 204 00:07:09,100 --> 00:07:09,740 pay tax. 205 00:07:10,020 --> 00:07:12,540 And they're just, the incentives are so high 206 00:07:12,540 --> 00:07:15,180 for investing in agriculture. 207 00:07:15,500 --> 00:07:16,700 And that makes sense, right? 208 00:07:16,780 --> 00:07:18,900 I mean, the government wants food production, they 209 00:07:18,900 --> 00:07:20,880 wanna encourage that, they know that it's a 210 00:07:20,880 --> 00:07:22,060 high risk enterprise. 211 00:07:22,660 --> 00:07:26,280 And so the tax benefits in agriculture by 212 00:07:26,280 --> 00:07:28,700 far, now, I mean, nothing else comes close 213 00:07:28,700 --> 00:07:28,960 to it. 214 00:07:29,080 --> 00:07:31,740 Probably the second closest would be energy. 215 00:07:31,740 --> 00:07:33,840 And of course, a lot of people are 216 00:07:33,840 --> 00:07:36,080 familiar with solar energy credits and things like 217 00:07:36,080 --> 00:07:36,340 that. 218 00:07:36,420 --> 00:07:39,400 But there are some pretty amazing energy incentives, 219 00:07:39,800 --> 00:07:41,940 both in the fossil fuel area and renewable 220 00:07:41,940 --> 00:07:42,340 energy. 221 00:07:42,580 --> 00:07:44,200 So those are probably my top two. 222 00:07:44,320 --> 00:07:46,180 Now, it all starts with, you have to 223 00:07:46,180 --> 00:07:48,680 be investing in the actual asset, you can't 224 00:07:48,680 --> 00:07:49,820 be investing in stock. 225 00:07:49,920 --> 00:07:51,840 If you invest in the stock, okay, that 226 00:07:51,840 --> 00:07:54,080 the only way to do that tax effectively 227 00:07:54,620 --> 00:07:56,980 is to put it into a 401k or 228 00:07:56,980 --> 00:07:58,460 a pension plan, something like that. 229 00:07:58,540 --> 00:07:59,220 And then you can. 230 00:07:59,220 --> 00:08:00,700 And I do, and that is, by the 231 00:08:00,700 --> 00:08:03,340 way, investment number seven is a pension plan 232 00:08:03,340 --> 00:08:06,960 or what we call a qualified plan for 233 00:08:06,960 --> 00:08:08,220 retirement, like a 401k. 234 00:08:08,440 --> 00:08:12,540 But it's interestingly enough, the government wins on 235 00:08:12,540 --> 00:08:14,700 six of the seven investments. 236 00:08:15,100 --> 00:08:17,320 And the one they don't win on is 237 00:08:17,320 --> 00:08:18,560 retirement plans. 238 00:08:18,960 --> 00:08:20,080 They break even. 239 00:08:20,360 --> 00:08:22,620 They just break even on retirement plans. 240 00:08:22,980 --> 00:08:25,000 But if you can consider, you're a business 241 00:08:25,000 --> 00:08:27,880 owner, you're an entrepreneur, what if you could 242 00:08:27,880 --> 00:08:29,840 be an investor in everybody's business? 243 00:08:30,380 --> 00:08:32,140 That's basically what the government is. 244 00:08:32,500 --> 00:08:34,580 They're an investor in everybody's business. 245 00:08:34,900 --> 00:08:39,200 And they'll take that risk because they believe 246 00:08:39,200 --> 00:08:41,179 that there is a reward at the end. 247 00:08:41,280 --> 00:08:43,560 And if you run the numbers, which I 248 00:08:43,560 --> 00:08:45,800 do, of course, I'm an accountant, they do 249 00:08:45,800 --> 00:08:46,020 win. 250 00:08:46,220 --> 00:08:48,460 And actually they win pretty big in the 251 00:08:48,460 --> 00:08:48,740 end. 252 00:08:48,900 --> 00:08:50,880 And I wanted to see what the numbers 253 00:08:50,880 --> 00:08:53,820 were because we keep hearing this tax the 254 00:08:53,820 --> 00:08:55,500 rich, tax the rich, tax the rich. 255 00:08:55,500 --> 00:08:59,320 And I'm going, okay, now what's the consequence 256 00:08:59,320 --> 00:09:00,120 of doing that? 257 00:09:00,240 --> 00:09:03,080 Well, it may be, it depends on who 258 00:09:03,080 --> 00:09:04,800 the rich are that you're taxing. 259 00:09:05,080 --> 00:09:07,580 So if you're taxing the rich that put 260 00:09:07,580 --> 00:09:09,820 their money in the stock market, you probably 261 00:09:09,820 --> 00:09:10,780 don't have a big issue. 262 00:09:10,880 --> 00:09:12,140 But if you tax the rich, you put 263 00:09:12,140 --> 00:09:16,340 their money into energy, agriculture, et cetera, you've 264 00:09:16,340 --> 00:09:18,220 actually got a problem because you're actually gonna 265 00:09:18,220 --> 00:09:21,120 reduce, long-term, you're gonna reduce the revenue 266 00:09:21,120 --> 00:09:21,760 to the government. 267 00:09:22,060 --> 00:09:24,280 And short-term, you're going to reduce the 268 00:09:24,280 --> 00:09:25,940 investment into those things the government wants you 269 00:09:25,940 --> 00:09:26,540 to invest in. 270 00:09:26,800 --> 00:09:29,500 So it's an interesting, to me, it's interesting 271 00:09:29,500 --> 00:09:31,960 from a policy standpoint, but from a practical 272 00:09:31,960 --> 00:09:33,680 standpoint, it's just tell me where the government 273 00:09:33,680 --> 00:09:35,280 wants me to put my money and I'll 274 00:09:35,280 --> 00:09:37,320 look to see if there's one of those 275 00:09:37,320 --> 00:09:38,160 that I wanna do. 276 00:09:38,540 --> 00:09:40,340 So I realized over the last few years, 277 00:09:40,440 --> 00:09:41,660 I used to think I had to build 278 00:09:41,660 --> 00:09:43,260 a business to make the money I wanna 279 00:09:43,260 --> 00:09:44,780 be able to live on the rest of 280 00:09:44,780 --> 00:09:45,940 my life, exit at that amount. 281 00:09:46,100 --> 00:09:47,460 Then I've really come to realize that the 282 00:09:47,460 --> 00:09:48,820 wealthy don't operate that way. 283 00:09:48,880 --> 00:09:51,080 The wealthy sell a business and then take 284 00:09:51,080 --> 00:09:52,480 the money and then that's where they make 285 00:09:52,480 --> 00:09:53,860 all their money is from all the investments, 286 00:09:53,960 --> 00:09:54,100 right? 287 00:09:54,100 --> 00:09:55,600 If you look at like Elon Musk and 288 00:09:55,600 --> 00:09:57,580 PayPal, he made a good money, right? 289 00:09:57,600 --> 00:09:59,140 But then look at how he multiplied it 290 00:09:59,140 --> 00:10:00,060 with all the investments. 291 00:10:00,220 --> 00:10:01,500 In areas, it sounds like you're even touching 292 00:10:01,500 --> 00:10:02,100 upon as well. 293 00:10:02,480 --> 00:10:05,780 So- Elon Musk is brilliant at this. 294 00:10:05,880 --> 00:10:07,800 I mean, so one of the things is 295 00:10:07,800 --> 00:10:08,620 research and development. 296 00:10:08,780 --> 00:10:10,620 Well, why didn't Elon Musk or Tesla pay 297 00:10:10,620 --> 00:10:11,700 tax for 20 years? 298 00:10:11,780 --> 00:10:14,060 Or why didn't Jeff Bezos pay tax for 299 00:10:14,060 --> 00:10:14,340 20 years? 300 00:10:14,400 --> 00:10:16,080 Well, it's all because of the tax incentives 301 00:10:16,900 --> 00:10:18,420 in technology, right? 302 00:10:18,460 --> 00:10:20,040 And then Elon Musk on top of that 303 00:10:20,040 --> 00:10:22,300 has taken advantage of the tax incentives in 304 00:10:22,300 --> 00:10:23,540 energy, right? 305 00:10:23,540 --> 00:10:24,880 In building electric cars. 306 00:10:25,600 --> 00:10:27,860 And so, you know, Elon Musk is a, 307 00:10:28,040 --> 00:10:30,560 is actually used the tax law brilliantly. 308 00:10:31,120 --> 00:10:32,740 It sounds like the wealthy are. 309 00:10:32,940 --> 00:10:34,580 It sounds like maybe that, is that what 310 00:10:34,580 --> 00:10:35,160 you're finding? 311 00:10:35,240 --> 00:10:37,140 Is that's why the wealthy are wealthy because 312 00:10:37,140 --> 00:10:38,580 they're better at this than the rest? 313 00:10:38,760 --> 00:10:39,480 No question. 314 00:10:40,680 --> 00:10:43,260 They're wealthier, they, the wealthy, by the way, 315 00:10:43,380 --> 00:10:44,420 do pay a lot of tax. 316 00:10:44,460 --> 00:10:45,880 In fact, they pay most of the tax 317 00:10:45,880 --> 00:10:46,460 in this country. 318 00:10:46,600 --> 00:10:48,920 So that is, that's just a misunderstanding. 319 00:10:49,480 --> 00:10:51,140 But they do understand it. 320 00:10:51,140 --> 00:10:53,820 They understand that, and I'm not saying they 321 00:10:53,820 --> 00:10:54,440 don't have lobbyists. 322 00:10:54,560 --> 00:10:56,900 I mean, we actually have a tax provision 323 00:10:56,900 --> 00:11:00,480 in the law that allows real estate professionals 324 00:11:00,480 --> 00:11:03,020 to take full deductions for all of their 325 00:11:03,020 --> 00:11:03,540 expenses. 326 00:11:03,980 --> 00:11:05,520 Who was one of the people behind that 327 00:11:05,520 --> 00:11:05,760 lobby? 328 00:11:05,960 --> 00:11:06,500 Donald Trump. 329 00:11:06,800 --> 00:11:09,980 Donald Trump was, he actually was part of 330 00:11:09,980 --> 00:11:13,980 the lobbying effort to get that provision into 331 00:11:13,980 --> 00:11:14,500 the law. 332 00:11:14,880 --> 00:11:16,280 So it's a good provision. 333 00:11:16,680 --> 00:11:18,100 Honestly, it's a good provision. 334 00:11:18,600 --> 00:11:20,820 But yeah, I think the wealthy, first of 335 00:11:20,820 --> 00:11:23,600 all, the wealthy have really good advisors, right? 336 00:11:23,680 --> 00:11:25,460 I mean, they're hiring the big four accounting 337 00:11:25,460 --> 00:11:28,120 firms, Deloitte, Ernst & Young, et cetera. 338 00:11:28,280 --> 00:11:30,180 So they've got those top-end advisors and 339 00:11:30,180 --> 00:11:32,360 they've got top-end financial advisors, but they 340 00:11:32,360 --> 00:11:33,440 also think differently. 341 00:11:33,720 --> 00:11:36,180 They think differently because they recognize that if 342 00:11:36,180 --> 00:11:40,420 taxes are, taxes are for them, 40% 343 00:11:40,420 --> 00:11:42,720 to 40 to 50% of their income, 344 00:11:42,800 --> 00:11:43,020 right? 345 00:11:43,100 --> 00:11:45,200 So if they can eliminate that 40 to 346 00:11:45,200 --> 00:11:48,060 50%, if you look at the numbers, when 347 00:11:48,060 --> 00:11:52,200 you eliminate taxes, you don't just double your 348 00:11:52,200 --> 00:11:52,620 return. 349 00:11:52,820 --> 00:11:55,740 You actually quadruple it because you've multiplied how 350 00:11:55,740 --> 00:11:59,000 much you have to invest so much and 351 00:11:59,000 --> 00:12:02,500 you multiply every year so much that the 352 00:12:02,500 --> 00:12:06,180 compounding effect is basically four times what you 353 00:12:06,180 --> 00:12:08,060 would do if you just invested your own 354 00:12:08,060 --> 00:12:09,160 money and paid tax on it. 355 00:12:09,400 --> 00:12:09,500 Wow. 356 00:12:09,840 --> 00:12:12,280 So in the win-win wealth strategy, you 357 00:12:12,280 --> 00:12:14,480 talk about all the 70 investments. 358 00:12:14,480 --> 00:12:17,280 And you also mentioned that you want to 359 00:12:17,280 --> 00:12:19,840 directly invest, not directly in the market. 360 00:12:19,900 --> 00:12:20,840 The market's number seven. 361 00:12:21,260 --> 00:12:22,340 So let's say that I want to do 362 00:12:22,340 --> 00:12:22,700 agriculture. 363 00:12:22,800 --> 00:12:24,040 I'm from Indiana, so I can relate to 364 00:12:24,040 --> 00:12:24,160 this. 365 00:12:24,180 --> 00:12:25,200 And everything you're saying makes sense to me 366 00:12:25,200 --> 00:12:27,000 now because all the farmers are driving around 367 00:12:27,000 --> 00:12:28,680 on $100,000 trucks. 368 00:12:28,880 --> 00:12:30,200 These guys are like, what's going on? 369 00:12:30,280 --> 00:12:31,480 We had a bad season this year. 370 00:12:31,780 --> 00:12:33,380 So it all comes full circle now, I 371 00:12:33,380 --> 00:12:33,640 understand. 372 00:12:33,820 --> 00:12:35,300 But how do you invest in some of 373 00:12:35,300 --> 00:12:35,600 those things? 374 00:12:35,740 --> 00:12:37,860 I don't even know, coming from Indiana, I 375 00:12:37,860 --> 00:12:39,640 don't even know how to directly invest into 376 00:12:39,640 --> 00:12:41,940 agriculture unless I'm opening a farm, which obviously 377 00:12:41,940 --> 00:12:42,940 I don't have an interest in doing. 378 00:12:42,940 --> 00:12:45,380 So how can you invest directly into some 379 00:12:45,380 --> 00:12:46,760 of those things if you're not doing it 380 00:12:46,760 --> 00:12:47,240 through the market? 381 00:12:47,560 --> 00:12:50,300 Well, so I look at investing just like 382 00:12:50,300 --> 00:12:51,040 I do retail. 383 00:12:51,200 --> 00:12:52,260 So I like to shop. 384 00:12:52,360 --> 00:12:53,520 I like to shop for clothes. 385 00:12:53,600 --> 00:12:54,560 I like to shop for cars. 386 00:12:54,640 --> 00:12:55,440 I'm a shopper. 387 00:12:55,720 --> 00:12:59,320 And I look at shopping and investing, they 388 00:12:59,320 --> 00:12:59,920 have parallels. 389 00:13:00,220 --> 00:13:02,740 So I can go and shop retail and 390 00:13:02,740 --> 00:13:04,100 I'm going to pay a retail price. 391 00:13:04,260 --> 00:13:05,980 Or I could go shop wholesale. 392 00:13:06,400 --> 00:13:07,960 Now, if I could go to a wholesale 393 00:13:07,960 --> 00:13:10,680 outlet and then I can pay pretty much 394 00:13:10,680 --> 00:13:12,040 half the price I would pay at retail. 395 00:13:12,040 --> 00:13:14,100 But if I go to the factory directly, 396 00:13:14,100 --> 00:13:16,700 I'm paying like a lot less. 397 00:13:17,000 --> 00:13:18,160 I'm paying half of what I would pay 398 00:13:18,160 --> 00:13:18,500 wholesale. 399 00:13:18,800 --> 00:13:20,520 That is, those are typically the numbers. 400 00:13:20,560 --> 00:13:23,100 I grew up in wholesale retail. 401 00:13:23,680 --> 00:13:27,680 So my dad was a printer and a 402 00:13:27,680 --> 00:13:27,980 publisher. 403 00:13:28,280 --> 00:13:30,660 And so I knew that we doubled, we 404 00:13:30,660 --> 00:13:33,080 sold for wholesale half of what, half the 405 00:13:33,080 --> 00:13:34,220 price we sold for retail. 406 00:13:34,400 --> 00:13:35,780 Well, the same is true with investing, right? 407 00:13:35,820 --> 00:13:36,960 You can invest retail. 408 00:13:37,080 --> 00:13:38,700 Well, that's called the stock market. 409 00:13:38,760 --> 00:13:41,360 That is retail investing or in real estate, 410 00:13:41,360 --> 00:13:43,220 it'd be a real estate investment trust, right? 411 00:13:43,400 --> 00:13:45,200 That's what retail investing is. 412 00:13:45,260 --> 00:13:47,460 But the other two levels of investing are 413 00:13:47,460 --> 00:13:48,000 available. 414 00:13:48,440 --> 00:13:50,920 The wholesale level is actually only available to 415 00:13:50,920 --> 00:13:51,860 certain people. 416 00:13:52,000 --> 00:13:52,780 It's interesting. 417 00:13:52,960 --> 00:13:54,560 It's restricted to the wealthy. 418 00:13:54,980 --> 00:13:57,180 And that is a very interesting part of 419 00:13:57,180 --> 00:14:00,520 our economy because you must be an accredited 420 00:14:00,520 --> 00:14:02,460 investor to invest wholesale. 421 00:14:02,760 --> 00:14:04,560 Meaning you're investing in private equity. 422 00:14:04,740 --> 00:14:06,720 Meaning it's a syndication or a private offering. 423 00:14:06,880 --> 00:14:10,180 They don't allow investors that aren't accredited investors. 424 00:14:10,180 --> 00:14:11,900 An accredited investor, you have to be making 425 00:14:11,900 --> 00:14:13,620 over $200,000 a year. 426 00:14:13,780 --> 00:14:15,100 You have to have, or you have to 427 00:14:15,100 --> 00:14:16,900 have a million dollars in net worth outside 428 00:14:16,900 --> 00:14:17,420 your home. 429 00:14:17,580 --> 00:14:19,240 So 300,000, if you're married. 430 00:14:19,480 --> 00:14:22,140 So you're not basically what the government saying 431 00:14:22,140 --> 00:14:22,440 is. 432 00:14:22,480 --> 00:14:23,420 And this is a government rule. 433 00:14:23,580 --> 00:14:26,020 This isn't the syndicators rule. 434 00:14:26,100 --> 00:14:27,220 This is the government's rule. 435 00:14:27,520 --> 00:14:29,200 They said, look, if you can't afford to 436 00:14:29,200 --> 00:14:31,360 lose the money, you're not allowed to invest 437 00:14:31,360 --> 00:14:32,160 in this deal. 438 00:14:32,560 --> 00:14:34,460 And now a quick break to hear from 439 00:14:34,460 --> 00:14:35,120 our sponsor. 440 00:14:57,840 --> 00:14:59,340 And that's basically what they're saying. 441 00:14:59,420 --> 00:15:00,700 They're saying, if you can't afford to lose 442 00:15:00,700 --> 00:15:02,500 the money, you're not allowed to invest in 443 00:15:02,500 --> 00:15:02,820 the deal. 444 00:15:02,980 --> 00:15:05,840 And so that is restricted to those people 445 00:15:05,840 --> 00:15:07,020 who are accredited investors. 446 00:15:07,240 --> 00:15:08,600 But that's how you would do. 447 00:15:08,600 --> 00:15:10,480 That's one way you could do it. 448 00:15:10,660 --> 00:15:13,240 If you, let's say agriculture, let's say that 449 00:15:13,240 --> 00:15:15,460 you got into an investment in a ranch 450 00:15:15,460 --> 00:15:18,520 or a farm, that they're out raising capital 451 00:15:18,520 --> 00:15:22,900 either to expand or to acquire additional land 452 00:15:22,900 --> 00:15:23,360 or whatever. 453 00:15:23,640 --> 00:15:24,900 And they're raising capital. 454 00:15:24,980 --> 00:15:26,700 And they typically do that through a private 455 00:15:26,700 --> 00:15:27,100 offering. 456 00:15:27,460 --> 00:15:28,940 But you would have to, in that case, 457 00:15:29,200 --> 00:15:31,440 you would have to be an accredited investor. 458 00:15:31,780 --> 00:15:34,040 At the factory level, that's basically saying, I'm 459 00:15:34,040 --> 00:15:34,880 going to develop myself. 460 00:15:35,100 --> 00:15:36,860 So that's the farmers and the ranchers. 461 00:15:36,860 --> 00:15:40,640 So those are, they are obviously fully invested 462 00:15:40,640 --> 00:15:42,420 in their farm or their ranch. 463 00:15:42,580 --> 00:15:45,320 And so, in fact, I just finished recording 464 00:15:45,320 --> 00:15:46,280 my podcast. 465 00:15:46,600 --> 00:15:49,080 And the guest I had on is somebody 466 00:15:49,080 --> 00:15:51,780 who had sold his business and gotten into 467 00:15:51,780 --> 00:15:53,580 ranching, just started a new business, but it's 468 00:15:53,580 --> 00:15:54,300 a ranching business. 469 00:15:54,460 --> 00:15:56,520 Well, part of the reasons he looked at 470 00:15:56,520 --> 00:15:58,840 it, because he and I had multiple phone 471 00:15:58,840 --> 00:16:02,280 conversations before he bought the ranch, was the 472 00:16:02,280 --> 00:16:04,740 tax benefits of acquiring the ranch. 473 00:16:04,740 --> 00:16:06,660 And how does he offset some of this 474 00:16:06,660 --> 00:16:08,780 income from selling his business? 475 00:16:09,080 --> 00:16:10,800 And the way he did it was, in 476 00:16:10,800 --> 00:16:12,520 part, was by buying the ranch. 477 00:16:12,860 --> 00:16:15,320 And that's a really, really strong point. 478 00:16:15,360 --> 00:16:16,840 Because a lot of people here, that's their 479 00:16:16,840 --> 00:16:17,320 goal, right? 480 00:16:17,340 --> 00:16:19,200 It's to ultimately build their business because everybody 481 00:16:19,200 --> 00:16:19,980 here is business owners. 482 00:16:20,320 --> 00:16:22,340 And then ultimately look to exit the business. 483 00:16:22,900 --> 00:16:24,920 And then it's interesting because I'm thinking about 484 00:16:24,920 --> 00:16:25,320 that now. 485 00:16:25,360 --> 00:16:26,500 Like what happens when I do exit? 486 00:16:26,620 --> 00:16:27,500 Where do I put this money? 487 00:16:27,640 --> 00:16:29,900 It's so overwhelming for me to even be 488 00:16:29,900 --> 00:16:31,800 able to think about, to be able to 489 00:16:31,800 --> 00:16:32,460 figure that out. 490 00:16:32,800 --> 00:16:34,060 And so what you're saying is it makes 491 00:16:34,060 --> 00:16:35,680 a lot of sense to be focusing on 492 00:16:35,680 --> 00:16:39,420 these seven different investment strategies that help us 493 00:16:39,420 --> 00:16:42,520 then kind of lower the taxes that we're 494 00:16:42,520 --> 00:16:43,540 gonna pay on the overall business. 495 00:16:43,600 --> 00:16:45,360 Because that could be pretty substantial, just the 496 00:16:45,360 --> 00:16:47,880 money that's taken right away if we sell 497 00:16:47,880 --> 00:16:48,340 business. 498 00:16:48,700 --> 00:16:49,280 It's huge. 499 00:16:49,420 --> 00:16:51,620 And there's really three times you're thinking about 500 00:16:51,620 --> 00:16:54,100 lowering your taxes on selling your business. 501 00:16:54,200 --> 00:16:56,040 One is early on, because there are a 502 00:16:56,040 --> 00:16:57,500 lot of things you can do to structure 503 00:16:57,500 --> 00:17:01,260 your business early on to reduce your taxes 504 00:17:01,260 --> 00:17:02,200 when you sell. 505 00:17:02,420 --> 00:17:04,460 And those things you can't do later on. 506 00:17:04,460 --> 00:17:07,099 The next time is when you're thinking about 507 00:17:07,099 --> 00:17:09,619 selling, but you don't actually have a buyer 508 00:17:09,619 --> 00:17:12,040 yet, or you maybe have a letter of 509 00:17:12,040 --> 00:17:13,660 intent, something like that. 510 00:17:13,800 --> 00:17:15,579 That's when you bring your tax advisor and 511 00:17:15,579 --> 00:17:17,560 say, okay, what do we need to do 512 00:17:17,560 --> 00:17:18,900 to make sure that I get the lowest 513 00:17:18,900 --> 00:17:21,740 tax possible based on how I do this 514 00:17:21,740 --> 00:17:22,300 transaction? 515 00:17:22,579 --> 00:17:25,480 So I think every business owner, I think 516 00:17:25,480 --> 00:17:27,079 they make a big mistake when they only 517 00:17:27,079 --> 00:17:29,380 involve their attorney and don't involve their tax 518 00:17:29,380 --> 00:17:32,920 advisor because taxes are a big part of 519 00:17:32,920 --> 00:17:35,100 what you, because you don't care what you 520 00:17:35,100 --> 00:17:35,500 sell for. 521 00:17:35,600 --> 00:17:36,600 You care what you get. 522 00:17:36,960 --> 00:17:38,080 That's what matters. 523 00:17:38,260 --> 00:17:41,740 It's not the sales price that matters to 524 00:17:41,740 --> 00:17:41,860 you. 525 00:17:41,920 --> 00:17:43,220 It's what you put in your pocket that 526 00:17:43,220 --> 00:17:43,740 matters to you. 527 00:17:43,900 --> 00:17:45,560 The third time is after you sell. 528 00:17:45,820 --> 00:17:47,920 So there are some things that, you know, 529 00:17:47,960 --> 00:17:49,400 you're going to structure that business. 530 00:17:49,640 --> 00:17:51,520 So, okay, maybe I can reduce it or 531 00:17:51,520 --> 00:17:53,340 get capital gain versus ordinary income. 532 00:17:53,540 --> 00:17:55,280 Okay, but then is there something I can 533 00:17:55,280 --> 00:17:56,860 do even after it? 534 00:17:57,080 --> 00:17:59,160 And that's where what do I do with 535 00:17:59,160 --> 00:18:01,420 my money next makes a big impact. 536 00:18:01,420 --> 00:18:04,720 Again, that's one where you can't really, you 537 00:18:04,720 --> 00:18:06,480 don't want to do that last minute. 538 00:18:06,600 --> 00:18:08,240 You want to be prepared for that. 539 00:18:08,320 --> 00:18:09,980 You want to be thinking about that long 540 00:18:09,980 --> 00:18:12,240 before you exit as you can, because it's 541 00:18:12,240 --> 00:18:13,040 not easy. 542 00:18:13,420 --> 00:18:14,780 You sell your business for $20 million. 543 00:18:15,260 --> 00:18:18,000 It's pretty easy to place a million dollars. 544 00:18:18,540 --> 00:18:20,680 It's a lot different animal when you're placing 545 00:18:20,680 --> 00:18:24,200 $20 million, okay, or $10 million or whatever, 546 00:18:24,420 --> 00:18:26,420 whatever the sales price is of your business. 547 00:18:26,620 --> 00:18:28,340 And then you're looking at, okay, I want 548 00:18:28,340 --> 00:18:29,980 to make sure that I do something I 549 00:18:29,980 --> 00:18:30,560 care about. 550 00:18:30,560 --> 00:18:31,520 That's interesting to me. 551 00:18:31,700 --> 00:18:33,660 So this rancher, I'm now a rancher. 552 00:18:34,020 --> 00:18:35,080 He loves the outdoors. 553 00:18:35,300 --> 00:18:37,540 He's lived in Wyoming and he loves Wyoming. 554 00:18:37,740 --> 00:18:39,080 And so he bought a ranch in Wyoming. 555 00:18:39,280 --> 00:18:40,820 And so that made sense. 556 00:18:40,920 --> 00:18:43,080 So that's a way for him to retire 557 00:18:43,080 --> 00:18:45,560 sort of, but not really retire. 558 00:18:45,620 --> 00:18:47,160 Because I think the other thing business owners, 559 00:18:47,340 --> 00:18:49,040 we have to remember is we're not good 560 00:18:49,040 --> 00:18:49,600 at retiring. 561 00:18:49,960 --> 00:18:52,420 I mean, entrepreneurs, it's in our blood. 562 00:18:52,660 --> 00:18:55,080 When I golf, I never meet entrepreneurs on 563 00:18:55,080 --> 00:18:56,120 the golf course ever. 564 00:18:56,620 --> 00:18:58,620 They're employees, they're attorneys. 565 00:18:58,620 --> 00:19:00,920 They might be in real estate, but you 566 00:19:00,920 --> 00:19:03,160 don't meet an entrepreneur typically on the golf 567 00:19:03,160 --> 00:19:04,500 course because entrepreneurs don't golf. 568 00:19:04,660 --> 00:19:06,660 They want to do something that's more active, 569 00:19:06,860 --> 00:19:07,680 that's more involved. 570 00:19:08,020 --> 00:19:09,460 Now, I meet a lot of entrepreneurs when 571 00:19:09,460 --> 00:19:10,460 I do triathlons. 572 00:19:10,600 --> 00:19:12,060 That's when I'm going to meet the entrepreneurs 573 00:19:12,060 --> 00:19:13,340 because they want to be super active. 574 00:19:13,440 --> 00:19:14,960 So one of the questions is, what do 575 00:19:14,960 --> 00:19:16,460 I want to do next? 576 00:19:16,760 --> 00:19:18,860 Because probably you don't want to sit around 577 00:19:18,860 --> 00:19:20,580 watching TV or playing golf. 578 00:19:21,080 --> 00:19:22,880 So if we're figuring this out, what's the 579 00:19:22,880 --> 00:19:23,740 next thing we want to do? 580 00:19:23,780 --> 00:19:24,920 Because a lot of us are big on 581 00:19:24,920 --> 00:19:25,840 manifestation, right? 582 00:19:25,840 --> 00:19:28,880 We need to visualize where we're going and 583 00:19:28,880 --> 00:19:30,620 we believe in that power of that. 584 00:19:30,720 --> 00:19:32,020 But then it gets confusing. 585 00:19:32,160 --> 00:19:33,200 It almost gets overwhelming. 586 00:19:33,340 --> 00:19:34,000 And that's where I am. 587 00:19:34,100 --> 00:19:35,300 I start thinking about, oh my gosh, what 588 00:19:35,300 --> 00:19:35,920 would I invest in? 589 00:19:35,960 --> 00:19:36,720 What would that look like? 590 00:19:36,840 --> 00:19:38,320 And it's like, it becomes convoluted. 591 00:19:39,100 --> 00:19:41,100 We lose sight there because we don't know 592 00:19:41,100 --> 00:19:41,480 what to do. 593 00:19:41,660 --> 00:19:42,800 So what are some of these things we 594 00:19:42,800 --> 00:19:43,620 should be focusing on? 595 00:19:43,660 --> 00:19:45,320 If we're just starting our business now, or 596 00:19:45,320 --> 00:19:47,080 we're already in the business and we're thinking 597 00:19:47,080 --> 00:19:48,840 about exit, wherever it be down the road, 598 00:19:48,880 --> 00:19:49,800 what are some of the things we should 599 00:19:49,800 --> 00:19:52,200 be doing now to get ahead of this, 600 00:19:52,260 --> 00:19:53,860 to make sure we pay as least taxes? 601 00:19:54,040 --> 00:19:55,440 And how can we, besides getting your book, 602 00:19:55,440 --> 00:19:56,640 which is what we should all be doing, 603 00:19:56,780 --> 00:19:58,940 to figure out what we should be thinking 604 00:19:58,940 --> 00:20:00,600 about in the future to figure out what 605 00:20:00,600 --> 00:20:01,260 we want to do. 606 00:20:01,500 --> 00:20:03,160 But it's a good fit with these seven 607 00:20:03,160 --> 00:20:05,460 investment strategies so we can minimize the impact 608 00:20:05,460 --> 00:20:06,040 of the taxes. 609 00:20:06,260 --> 00:20:07,940 That's exactly why I wrote the book, to 610 00:20:07,940 --> 00:20:08,820 get that question. 611 00:20:09,240 --> 00:20:09,820 Thank you. 612 00:20:10,140 --> 00:20:11,600 Let me unpack it a little bit. 613 00:20:11,720 --> 00:20:14,900 So you started by saying, let's start by 614 00:20:14,900 --> 00:20:16,100 what can you do right now? 615 00:20:16,160 --> 00:20:18,060 Well, obviously you want to meet with your 616 00:20:18,060 --> 00:20:21,240 tax advisor who, a tax advisor who actually 617 00:20:21,240 --> 00:20:24,020 understands a long-term strategy plan of action, 618 00:20:24,220 --> 00:20:24,500 okay? 619 00:20:24,500 --> 00:20:26,880 And can actually produce that long-term plan 620 00:20:26,880 --> 00:20:27,180 of action. 621 00:20:27,240 --> 00:20:28,940 That's got to be a tax advisor who 622 00:20:28,940 --> 00:20:30,420 really understands the tax law. 623 00:20:30,520 --> 00:20:32,640 That's not just preparing your tax returns, but 624 00:20:32,640 --> 00:20:35,620 actually it's somebody that you're very comfortable that, 625 00:20:35,780 --> 00:20:37,760 hey, they know what they're talking about, okay? 626 00:20:37,900 --> 00:20:41,060 So that's something every business owner has to 627 00:20:41,060 --> 00:20:42,720 do as soon as possible. 628 00:20:42,900 --> 00:20:45,180 I mean, you're giving up money every single 629 00:20:45,180 --> 00:20:45,360 day. 630 00:20:45,620 --> 00:20:48,620 I guarantee you, 90 plus percent of business 631 00:20:48,620 --> 00:20:50,840 owners are leaving money on the table, on 632 00:20:50,840 --> 00:20:52,780 the tax table every single day. 633 00:20:52,960 --> 00:20:54,840 So every day you delay, you're just giving 634 00:20:54,840 --> 00:20:56,740 money to the government that didn't need to 635 00:20:56,740 --> 00:20:57,080 be there. 636 00:20:57,300 --> 00:20:59,800 And my belief is, and actually so is 637 00:20:59,800 --> 00:21:02,380 the government's belief, that you can do better 638 00:21:02,380 --> 00:21:04,300 with your money than the government can. 639 00:21:04,720 --> 00:21:06,000 They don't want your tax money. 640 00:21:06,280 --> 00:21:08,460 They'd rather you be an active partner with 641 00:21:08,460 --> 00:21:08,580 them. 642 00:21:08,700 --> 00:21:10,360 They'll take your tax money, don't get me 643 00:21:10,360 --> 00:21:13,220 wrong, but they actually make more money that 644 00:21:13,220 --> 00:21:15,940 they do better because if you do successful, 645 00:21:16,100 --> 00:21:17,920 let's say you invest your money in a 646 00:21:17,920 --> 00:21:19,880 business and you're successful with that business, you're 647 00:21:19,880 --> 00:21:20,980 going to pay tax on that business. 648 00:21:21,180 --> 00:21:22,900 So they're going to make money, right? 649 00:21:22,900 --> 00:21:24,740 This is just a collaboration. 650 00:21:25,120 --> 00:21:25,640 It's a partnership. 651 00:21:26,100 --> 00:21:28,060 But then you said, we like to manifest. 652 00:21:28,180 --> 00:21:30,040 We like to, and I love that because 653 00:21:30,040 --> 00:21:32,200 the very first thing we do with a 654 00:21:32,200 --> 00:21:35,500 client is we actually have them visualize that 655 00:21:35,500 --> 00:21:36,300 and write it down. 656 00:21:36,420 --> 00:21:37,200 What do they want? 657 00:21:37,320 --> 00:21:40,720 What are they wanting to use your term? 658 00:21:40,820 --> 00:21:41,760 What are they wanting to manifest? 659 00:21:42,040 --> 00:21:43,880 But then the important thing there is then 660 00:21:43,880 --> 00:21:45,340 you have to actually put numbers to it. 661 00:21:45,520 --> 00:21:48,080 And this is where your accountant comes in 662 00:21:48,080 --> 00:21:49,200 because we're good at numbers. 663 00:21:49,480 --> 00:21:51,960 So we actually will have you do that, 664 00:21:51,960 --> 00:21:54,780 describe it all, write all, imagine it, all 665 00:21:54,780 --> 00:21:56,060 that kind of stuff, do a vision board 666 00:21:56,060 --> 00:21:57,520 if you want, but then we got to 667 00:21:57,520 --> 00:21:59,440 put numbers to it because we put numbers 668 00:21:59,440 --> 00:22:00,000 to that. 669 00:22:00,280 --> 00:22:02,140 We also need to put numbers to where 670 00:22:02,140 --> 00:22:02,780 we are now. 671 00:22:02,900 --> 00:22:04,220 And if we can do those two things 672 00:22:04,220 --> 00:22:05,700 and we can actually put a timeline to 673 00:22:05,700 --> 00:22:06,560 it, that's easy. 674 00:22:06,680 --> 00:22:07,940 And then now all of a sudden, we 675 00:22:07,940 --> 00:22:10,800 have a return on investment that we need 676 00:22:10,800 --> 00:22:13,060 to get in order to get to that 677 00:22:13,060 --> 00:22:13,640 target. 678 00:22:13,760 --> 00:22:16,580 And that return on investment actually will determine, 679 00:22:16,820 --> 00:22:18,220 are we going to invest at the retail 680 00:22:18,220 --> 00:22:21,100 level, the wholesale level or at the factory 681 00:22:21,100 --> 00:22:22,500 actually do the development ourself? 682 00:22:22,580 --> 00:22:25,840 Because the higher the return that you need 683 00:22:25,840 --> 00:22:29,100 in order to accomplish your goal, okay, the 684 00:22:29,100 --> 00:22:31,100 more you have to get, the closer you 685 00:22:31,100 --> 00:22:32,960 have to get to doing it, actually doing 686 00:22:32,960 --> 00:22:35,580 the raw investing, like the rancher, like the 687 00:22:35,580 --> 00:22:35,800 farmer. 688 00:22:36,020 --> 00:22:37,740 If you only need five, 6%, you can 689 00:22:37,740 --> 00:22:38,320 do that retail. 690 00:22:38,500 --> 00:22:39,840 So you don't need to spend all the 691 00:22:39,840 --> 00:22:40,000 time. 692 00:22:40,100 --> 00:22:42,140 The next thing though, because you use this 693 00:22:42,140 --> 00:22:43,240 term too, and I love it. 694 00:22:43,300 --> 00:22:45,340 And we use this term is you need 695 00:22:45,340 --> 00:22:45,820 to focus. 696 00:22:46,080 --> 00:22:48,720 I don't know any business owners that built 697 00:22:48,720 --> 00:22:50,720 their business by being scattered. 698 00:22:51,100 --> 00:22:51,440 Okay. 699 00:22:51,860 --> 00:22:53,980 Or as the financial planners would call it, 700 00:22:54,240 --> 00:22:54,820 diversified. 701 00:22:55,100 --> 00:22:57,900 No business owner diversifies their business. 702 00:22:58,140 --> 00:22:58,780 They don't do it. 703 00:22:59,000 --> 00:23:01,640 They build their business based on a focus 704 00:23:01,640 --> 00:23:02,520 or niche. 705 00:23:02,740 --> 00:23:04,320 And so that's the next thing we actually 706 00:23:04,320 --> 00:23:07,700 take our clients through is, okay, what asset 707 00:23:07,700 --> 00:23:08,140 class? 708 00:23:08,280 --> 00:23:10,120 I mean, are you going to invest in, 709 00:23:10,320 --> 00:23:12,280 do you want to invest in other business? 710 00:23:12,400 --> 00:23:14,480 Do you want to invest in real estate? 711 00:23:14,540 --> 00:23:16,260 Do you want to invest in commodities? 712 00:23:16,620 --> 00:23:18,000 Do you want to invest in stock market? 713 00:23:18,100 --> 00:23:20,280 Where do you, what's the asset class? 714 00:23:20,280 --> 00:23:21,540 And we actually drill down. 715 00:23:21,700 --> 00:23:22,660 And then of course you have to drill 716 00:23:22,660 --> 00:23:23,940 down further and you have to come up 717 00:23:23,940 --> 00:23:25,540 with what are my criteria for investing? 718 00:23:25,720 --> 00:23:27,000 And then I have to build my team, 719 00:23:27,120 --> 00:23:27,400 right? 720 00:23:27,660 --> 00:23:29,140 But it really is a process. 721 00:23:29,300 --> 00:23:32,500 And what we've done is we've actually put 722 00:23:32,500 --> 00:23:35,760 it in software where we can actually walk 723 00:23:35,760 --> 00:23:37,080 a client through. 724 00:23:37,720 --> 00:23:41,260 And after two months, they know exactly how 725 00:23:41,260 --> 00:23:42,160 they're going to invest. 726 00:23:42,360 --> 00:23:44,980 And it's really clear to them because it's 727 00:23:44,980 --> 00:23:45,540 really tough. 728 00:23:45,620 --> 00:23:47,260 If we're really good at knowing what we 729 00:23:47,260 --> 00:23:48,700 want to do in our business, but we're 730 00:23:48,700 --> 00:23:51,700 really bad as entrepreneurs as knowing what we 731 00:23:51,700 --> 00:23:53,200 want to do with our money after our 732 00:23:53,200 --> 00:23:55,360 business or when it's outside our business. 733 00:23:55,660 --> 00:23:57,200 And that's our job is to kind of 734 00:23:57,200 --> 00:23:58,660 help people go through that. 735 00:23:58,800 --> 00:24:00,440 But it's really though, we start with the 736 00:24:00,440 --> 00:24:02,680 two things you mentioned, manifest it, we call 737 00:24:02,680 --> 00:24:03,240 it the dream. 738 00:24:03,540 --> 00:24:05,460 And then second of all, focus. 739 00:24:06,020 --> 00:24:07,260 What are some of the mistakes that you 740 00:24:07,260 --> 00:24:10,140 see entrepreneurs make along this, where they just 741 00:24:10,140 --> 00:24:12,780 end up paying too many taxes or exit 742 00:24:12,780 --> 00:24:14,700 the business and it doesn't go well for 743 00:24:14,700 --> 00:24:17,340 them financially because they're not doing the right 744 00:24:17,340 --> 00:24:17,680 things? 745 00:24:17,680 --> 00:24:19,420 First of all, they under hire. 746 00:24:19,740 --> 00:24:21,700 So they under hire their tax advisor. 747 00:24:22,140 --> 00:24:24,120 They might, they say, well, I want my 748 00:24:24,120 --> 00:24:25,900 somebody, I don't want to spend a lot 749 00:24:25,900 --> 00:24:26,460 of money on this. 750 00:24:26,680 --> 00:24:29,040 It depends on how you look at your 751 00:24:29,040 --> 00:24:29,940 tax advisor. 752 00:24:30,180 --> 00:24:31,740 Is your tax advisor an expense or an 753 00:24:31,740 --> 00:24:32,000 asset? 754 00:24:32,260 --> 00:24:33,460 And if you look at them as an 755 00:24:33,460 --> 00:24:35,580 expense, that would be a tax preparer, right? 756 00:24:35,700 --> 00:24:36,800 They are an expense. 757 00:24:37,100 --> 00:24:38,380 You want to pay the least amount possible. 758 00:24:38,620 --> 00:24:40,620 But if they're an asset, they're actually helping 759 00:24:40,620 --> 00:24:43,720 you reduce your taxes, which actually produces cashflow 760 00:24:43,720 --> 00:24:44,180 for you. 761 00:24:44,440 --> 00:24:46,420 You want to put, you actually want a 762 00:24:46,420 --> 00:24:48,700 better, you want a better asset. 763 00:24:48,880 --> 00:24:50,500 You want an asset that puts more money 764 00:24:50,500 --> 00:24:52,180 in your pocket and you're willing to pay 765 00:24:52,180 --> 00:24:54,280 for that because it's producing a return. 766 00:24:54,500 --> 00:24:56,520 So I think that's the first thing that 767 00:24:56,520 --> 00:24:57,340 people do wrong. 768 00:24:57,420 --> 00:24:58,900 The second thing is they think that they 769 00:24:58,900 --> 00:25:00,340 don't have to do anything themselves. 770 00:25:00,500 --> 00:25:02,260 I like to say, as I say in 771 00:25:02,260 --> 00:25:03,860 Tax-Free Wealth, if you want to change 772 00:25:03,860 --> 00:25:05,460 your tax, you have to change your facts. 773 00:25:05,660 --> 00:25:08,040 So I can't change your facts. 774 00:25:08,280 --> 00:25:09,880 I can tell you what facts you need 775 00:25:09,880 --> 00:25:12,540 to change after I've spent some time with 776 00:25:12,540 --> 00:25:15,440 you, but I cannot actually do that. 777 00:25:15,800 --> 00:25:17,980 So if you want to deduct your travel, 778 00:25:18,200 --> 00:25:19,820 I'm not the one who's actually going to 779 00:25:19,820 --> 00:25:21,240 go work four and a half hours a 780 00:25:21,240 --> 00:25:24,100 day on your vacation, and I'm not the 781 00:25:24,100 --> 00:25:25,200 one who's going to document it. 782 00:25:25,220 --> 00:25:26,400 You're going to have to do that. 783 00:25:26,560 --> 00:25:27,440 I can tell you what you have to 784 00:25:27,440 --> 00:25:29,820 do, and then you can choose whether you 785 00:25:29,820 --> 00:25:32,000 want to do it, but it's a partnership, 786 00:25:32,220 --> 00:25:32,440 right? 787 00:25:32,580 --> 00:25:33,920 So the name of the book probably should 788 00:25:33,920 --> 00:25:36,200 have been Win-Win-Win Wealth Strategy, because 789 00:25:36,200 --> 00:25:38,360 you do have to have team members. 790 00:25:38,700 --> 00:25:41,160 And under, I think under hiring your team 791 00:25:41,160 --> 00:25:44,300 or doing yourself, that's a huge mistake that 792 00:25:44,300 --> 00:25:44,900 people make. 793 00:25:45,320 --> 00:25:47,020 But the other thing is, is that it 794 00:25:47,020 --> 00:25:49,340 is not understanding that you do have to 795 00:25:49,340 --> 00:25:50,900 have a basic grasp of it. 796 00:25:51,000 --> 00:25:53,060 And this is why I wrote these books, 797 00:25:53,220 --> 00:25:55,000 is before Tax-Free Wealth, there'd never been 798 00:25:55,000 --> 00:25:57,180 a book written that was easy to understand 799 00:25:57,180 --> 00:25:58,820 about how the tax law actually works. 800 00:25:59,040 --> 00:26:01,820 And from this perspective, that it is a 801 00:26:01,820 --> 00:26:02,720 series of incentives. 802 00:26:03,080 --> 00:26:05,240 And so I wanted people to just get 803 00:26:05,240 --> 00:26:07,740 a feel for, okay, it's not scary. 804 00:26:07,960 --> 00:26:09,140 It's not that hard. 805 00:26:09,460 --> 00:26:10,480 The details are hard. 806 00:26:10,680 --> 00:26:11,540 The details are scary. 807 00:26:11,540 --> 00:26:13,300 That's what your tax advisor and your tax 808 00:26:13,300 --> 00:26:13,880 preparer are for. 809 00:26:13,980 --> 00:26:15,800 But the concepts are very simple. 810 00:26:16,180 --> 00:26:18,920 It's like the very first, when we were 811 00:26:18,920 --> 00:26:20,660 talking about the agriculture, you go, well, yeah, 812 00:26:20,700 --> 00:26:21,640 of course, that makes sense. 813 00:26:21,680 --> 00:26:24,420 That's why they're driving $100,000 cars. 814 00:26:24,600 --> 00:26:25,560 And I don't understand. 815 00:26:25,820 --> 00:26:27,140 They say they're not making any money. 816 00:26:27,260 --> 00:26:28,900 Well, tax-wise, they're not making any money, 817 00:26:28,960 --> 00:26:31,360 but they're actually getting cash flow. 818 00:26:31,540 --> 00:26:34,260 So cash flow and taxable income, two different 819 00:26:34,260 --> 00:26:34,700 things. 820 00:26:34,960 --> 00:26:36,620 So that's actually one of the keys, is 821 00:26:36,620 --> 00:26:38,560 you want cash flow, you don't want taxable 822 00:26:38,560 --> 00:26:39,740 income, two different things. 823 00:26:39,740 --> 00:26:41,020 Powerful stuff today. 824 00:26:41,200 --> 00:26:43,940 Everybody that's listening and watching, that's trying to 825 00:26:43,940 --> 00:26:45,540 figure this out for themselves and would like 826 00:26:45,540 --> 00:26:47,100 a next step, what would you suggest they 827 00:26:47,100 --> 00:26:47,220 do? 828 00:26:47,300 --> 00:26:48,520 Where can they go to be able to 829 00:26:48,520 --> 00:26:50,240 find out more, get your books and get 830 00:26:50,240 --> 00:26:51,020 in contact with you? 831 00:26:51,220 --> 00:26:52,700 Well, certainly, I mean, the books are everywhere. 832 00:26:52,840 --> 00:26:54,820 We have 4,000 five-star reviews on 833 00:26:54,820 --> 00:26:56,420 Amazon, so for tax-free wealth. 834 00:26:56,580 --> 00:26:58,120 So pretty easy to find my book. 835 00:26:58,280 --> 00:26:59,260 They're in bookstores everywhere. 836 00:26:59,480 --> 00:27:01,700 But if you're looking for kind of the 837 00:27:01,700 --> 00:27:03,880 easy button for a tax advisor, we actually 838 00:27:03,880 --> 00:27:06,840 have a franchise of tax advisory CPA firms 839 00:27:06,840 --> 00:27:07,660 around the country. 840 00:27:07,660 --> 00:27:11,620 And you can go to tfwadvisors.us and 841 00:27:11,620 --> 00:27:12,660 find a tax advisor. 842 00:27:12,780 --> 00:27:14,820 In fact, you can actually choose which tax 843 00:27:14,820 --> 00:27:17,660 advisor you want right there on the website 844 00:27:17,660 --> 00:27:18,800 if you want to do that. 845 00:27:19,080 --> 00:27:20,840 And you said that was tfw? 846 00:27:21,160 --> 00:27:24,800 tfw, as in tax-free wealth, tfwadvisors.com, 847 00:27:24,960 --> 00:27:25,960 dot US, sorry. 848 00:27:26,300 --> 00:27:26,780 Dot US, okay, perfect. 849 00:27:27,020 --> 00:27:28,280 All right, Tom, thank you again so much 850 00:27:28,280 --> 00:27:29,120 for coming on with us today. 851 00:27:29,380 --> 00:27:30,040 Thanks for having me. 852 00:27:30,300 --> 00:27:31,140 All right, so a couple of things. 853 00:27:31,200 --> 00:27:33,080 Listen, as I always say, that knowledge doesn't 854 00:27:33,080 --> 00:27:34,560 mean anything if you don't take action, right? 855 00:27:34,580 --> 00:27:36,120 And the reality is, let's be honest, we 856 00:27:36,120 --> 00:27:36,800 all suck at this. 857 00:27:36,800 --> 00:27:38,700 We all suck at everything he just said. 858 00:27:38,780 --> 00:27:40,060 We all are horrible at this. 859 00:27:40,200 --> 00:27:42,280 We're horrible at really managing our wealth and 860 00:27:42,280 --> 00:27:43,800 our money while we run the business, let 861 00:27:43,800 --> 00:27:45,760 alone have any clue what we're supposed to 862 00:27:45,760 --> 00:27:47,280 do when we exit the business. 863 00:27:47,780 --> 00:27:49,660 And now it's probably too late even. 864 00:27:49,760 --> 00:27:51,680 You need to start taking action right now 865 00:27:51,680 --> 00:27:53,340 because you probably should have, as Tom said, 866 00:27:53,360 --> 00:27:54,240 when you started the business. 867 00:27:54,480 --> 00:27:55,380 So there's a couple of steps I want 868 00:27:55,380 --> 00:27:55,740 you to take. 869 00:27:55,820 --> 00:27:57,320 First of all, you need to talk to 870 00:27:57,320 --> 00:27:57,820 a professional. 871 00:27:58,140 --> 00:27:59,880 The reality is, is that there's no way 872 00:27:59,880 --> 00:28:01,040 you're going to figure this out on your 873 00:28:01,040 --> 00:28:01,280 own. 874 00:28:01,360 --> 00:28:02,820 Even if you listen to every podcast I've 875 00:28:02,820 --> 00:28:04,260 ever done, every expert I've ever talked to, 876 00:28:04,300 --> 00:28:05,200 you're still not gonna figure out this on 877 00:28:05,200 --> 00:28:05,480 your own. 878 00:28:05,480 --> 00:28:08,680 So you need to go to tfwadvisors.us. 879 00:28:08,980 --> 00:28:12,680 That's tfwadvisors.us and talk to somebody. 880 00:28:12,900 --> 00:28:14,760 And be able to develop a strategy, as 881 00:28:14,760 --> 00:28:17,060 Tom said, to get a clear path of 882 00:28:17,060 --> 00:28:17,640 where you're going. 883 00:28:17,720 --> 00:28:19,940 And this'll help you visualize where you want 884 00:28:19,940 --> 00:28:21,480 to go, what it's gonna look like after 885 00:28:21,480 --> 00:28:22,640 you exit, what you're gonna be able to 886 00:28:22,640 --> 00:28:23,100 do with that money. 887 00:28:23,140 --> 00:28:25,180 That's gonna be what's gonna get you excited 888 00:28:25,180 --> 00:28:26,960 about life after your business. 889 00:28:27,040 --> 00:28:28,040 So make sure you check it out at 890 00:28:28,040 --> 00:28:30,660 tfwadvisors.us. The next thing you wanna do 891 00:28:30,660 --> 00:28:31,780 is you wanna go to Tom's website. 892 00:28:31,900 --> 00:28:33,480 And Tom's website is his name. 893 00:28:33,480 --> 00:28:35,620 It is tomwheelwright.com. 894 00:28:35,760 --> 00:28:38,260 That's Tom Wheelwright, W-H-E-E-L 895 00:28:38,260 --> 00:28:40,580 -W-R-I-G-H-T.com. 896 00:28:40,760 --> 00:28:41,920 Tom has a ton of resources. 897 00:28:42,100 --> 00:28:42,820 He does events. 898 00:28:43,000 --> 00:28:43,820 He's got a podcast. 899 00:28:44,260 --> 00:28:45,460 You can get his books there. 900 00:28:45,720 --> 00:28:48,660 There's so much knowledge and information there that 901 00:28:48,660 --> 00:28:50,260 I think will help give you a lot 902 00:28:50,260 --> 00:28:50,740 of guidance. 903 00:28:50,940 --> 00:28:51,980 Look, a lot of people don't wanna talk 904 00:28:51,980 --> 00:28:52,700 to somebody right away. 905 00:28:52,760 --> 00:28:53,180 That's okay. 906 00:28:53,460 --> 00:28:56,420 There's a tremendous amount of resources, including Tom's 907 00:28:56,420 --> 00:28:58,500 podcast, that you can get access to right 908 00:28:58,500 --> 00:28:59,860 there on his website as well. 909 00:29:00,160 --> 00:29:01,780 And that'll help you get everything you need. 910 00:29:01,780 --> 00:29:03,980 And grab both of these books that we've 911 00:29:03,980 --> 00:29:05,520 talked about, because this is gonna give you 912 00:29:05,520 --> 00:29:07,300 an idea of how the tax code works 913 00:29:07,300 --> 00:29:09,220 and how you can actually take advantage of 914 00:29:09,220 --> 00:29:10,720 it to be able to invest wisely. 915 00:29:11,040 --> 00:29:12,200 So make sure you check out those two 916 00:29:12,200 --> 00:29:16,760 resources, tfwadvisors.us and tomwheelwright.com. 917 00:29:16,860 --> 00:29:18,360 Thank you very much for tuning in. 918 00:29:18,520 --> 00:29:18,980 Take care. 919 00:29:19,220 --> 00:29:19,720 Have a great day. 920 00:29:27,790 --> 00:29:30,930 You've been listening to The Business Credit and 921 00:29:30,930 --> 00:29:34,130 Financing Show with your host, Ty Crandall. 922 00:29:34,470 --> 00:29:36,690 Watch for our next episode to get even 923 00:29:36,690 --> 00:29:40,230 more insight on financing and growing your business. 924 00:29:40,470 --> 00:29:42,710 And don't forget to check us out online 925 00:29:42,710 --> 00:29:46,230 at CreditSuite.com for even more business growth 926 00:29:46,230 --> 00:29:46,770 strategies.